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Tractor Talk Discussion Board

Re: Canadian Income Tax Question: GST and Diesel


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Posted by RodInNS on March 14, 2008 at 20:28:01 from (24.224.246.156):

In Reply to: Canadian Income Tax Question: GST and Diesel posted by Rod in Smiths Falls, on March 14, 2008 at 20:10:58:

Did you get a business number from Canada Revenue Agency? That would be the first step...
If you want to get the GST/HST back then you must be a registered business. The flip side is that you then must collect the GST on everything you do.
If you are doing more than $30000 per gross on the business you are REQUIRED to collect GST as well.... so get the business number. I'd start by looking at Canada Revenue's website.

The diesel issue is a provincial issue. I dont' know how Ontario handles that but here in NS we are required to buy a fuel permit that is good for three years. I think the permit costs something like 150 bucks so it tends to discourage small operators... but the way it works here is that once we have the permit, our supplier simply gets a copy on file and the road tax is held back at the point of sale. There is also a claim process to go through should you buy clear fuel at the pump that is claimed on an annual basis.
For what it's worth, # 2 heating oil is the same weight as #2 diesel... hint, hint...

Rod


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