GST/HST and financial institutions

As of July 1, 2010, Ontario harmonized its retail sales tax with the GST to implement the HST at the rate of 13% and British Columbia harmonized its provincial sales tax with the GST to implement the HST at the rate of 12%. Also, as of July 1, 2010, Nova Scotia increased its HST rate from 13% to 15%.

Financial institutions will be required to self-assess the GST on certain cross-border transactions using a special set of rules. The GST on these transactions will be determined on an annual basis and generally, will become payable six months after the end of the financial institution's tax year. For more information on these, and recent changes, call our GST/HST Rulings Centres at 1-800-959-8287.

If you are a financial institution, a GST/HST registrant, and your total annual revenue is more than $1 million, you have to complete the Form GST111, Financial Institution GST/HST Annual Information Return. The Guide RC4419, Financial Institution GST/HST Annual Information Return, provides definitions and line-by-line instructions on how to complete the return.

Listed financial institutions include chartered banks, investment dealers, trust companies, insurance companies, credit unions, investment plans, tax discounters, or a person whose principal business is the lending of money.

In Quebec, Revenu Québec administers the GST/HST. If your business is located in Quebec, visit the Revenu Québec Web site.

Forms and publications

• GST/HST forms and publications for financial institutions