The Value Added Tax, or VAT, is a tax on consumption & is collected on business transactions and imports. The basic principle is to charge VAT at each stage in the supply of goods and services (output tax).
As a partially exempt business you’re required to review the VAT you’ve reclaimed over the previous twelve months and make an annual adjustment. What should you be looking out for to ensure you’ve maximized your claim?
Owning and operating a business in Canada means you have some legal responsibilities.
CRA requires regular reporting of Canadian sales tax, payroll taxes, and income taxes.
Each province and territory has their own tax related requirements as well.