Canada: CRA Announces Major Updates to GST/HST Filing and Payment Procedures
The Canadian Revenue Agency (CRA) has introduced new guidelines regarding the electronic filing and payment of Goods and Services Tax/Harmonized Sales Tax (GST/HST). The updates include significant changes aimed at streamlining the process for businesses and ensuring compliance with electronic payment methods.
Key updates include:
- Removal of Mandatory Electronic Filing Threshold: Effective January 1, 2024, the CRA has eliminated the mandatory electronic filing threshold of C$1.5 million (US$1.1 million) in annual revenue. This change applies to all reporting periods beginning on or after January 1, providing greater flexibility for businesses in how they choose to file their GST/HST returns.
- Electronic Payment Requirement: Starting January 1, 2024, any GST/HST remittances or payments to the Receiver General of Canada exceeding C$10,000 (US$7,423) must be made electronically.
- Enhancements to the Progressive Tracker Service: The CRA has also announced updates to its Progressive Tracker service. These enhancements allow users of the My Business Account platform, along with their authorized representatives, to monitor the progress of their GST/HST returns and reassessments more effectively.
Source: canada.ca
VAT/GST rates 2024 in Americas
| Country | Standard VAT/GST Rate | Reduced Rates |
| Antigua and Barbuda | No VAT tax but standard sales tax is set at 15% | Reduced rate of 14% |
| Argentina | The standard VAT rate is 21%. (enhanced rate of 27% for several metered utilities) | Reduced rate of 10.5% |
| Bahamas | Standard VAT rate of 10% | |
| Barbados | The standard VAT rate is 17.5% (Super rate of 22% mobile voice & text services) | A reduced rate of 22%, 10%, 7,5% |
| Belize | There is no value-added tax as such. Belize instead introduced a General Sales Tax in January 2006, which applies to a wide range of goods and services at a 12.5% rate. | |
| Bolivia | The standard VAT (IVA) rate is 13% under Article 15 of the VAT Law | |
| Brazil | Brazil imposes a state tax equivalent to VAT (ICMS) This rate is imposed by each state and is subject to a limit set by the federal senate. The rates can vary in the states from 17% to 18% (Rio de Janeiro has 20% as an exception). and the highest rate can typically reach 25%. | 7% |
| Canada | The standard federal Goods and Services Tax (GST) rate is 5% | |
| Chile | The standard VAT rate is 19%. | |
| Colombia | The standard VAT (IVA – Impuesto sobre las Ventas) rate is 19% | 5% |
| Costa Rica | The standard VAT rate is 13%, the same rate as the sales tax. | 4%, 2%, 0,5% |
| Ecuador | The standard VAT rate is 15% | 5% |
| El Salvador | The standard VAT (IVA) rate is 13% | |
| Faroe Islands | The standard VAT rate is 25% | |
| Guatemala | The standard VAT rate is 12% | |
| Mexico | The standard VAT rate is 16% | 8% |
| Panama | The standard VAT rate in Panama is 7%. There are supplementary rates of 10% and 15% | |
| Peru | The standard VAT rate is 18% | Effective September 1, 2022 until December 31, 2024, a 8% reduced rate will apply to micro and small suppliers of restaurant, hotel, and tourist accommodation services that receive at least 70% of their income from these supplies. |
| Puerto Rico | The sales and use tax (SUT) rate is 11.5% | 1% |
| Uruguay | The standard VAT rate is 22% | 10% |
| USA | There is no VAT in the USA. U.S. state sales and use tax rates vary between 2.9% and 7.25% | Reduced rates are offered for sales of specific products. |
| Venezuela | The standard VAT rate is 16% | 8% |