GST/HST Payment to the CRA in Canada: A Complete Guide to Methods, Deadlines, and Penalties

If your business is registered for GST/HST, check both the return-filing deadline and the payment deadline for its reporting period. They are not always the same. This guide explains payment options, timing, annual-filer exceptions and where to check the CRA’s current instructions. Filing a return and paying its balance are separate obligations, even where a service lets you do both together. Our GST/HST services can help you prepare and file your return.

GST/HST Payment Methods Accepted by the CRA

The CRA accepts several methods for paying your GST/HST balance owing. Payments of $10,000 or more must generally be made electronically. Here are all the ways you can pay:

Online Banking (Most Common)

You can pay GST/HST through a participating financial institution’s online or mobile banking service. Select the appropriate CRA GST/HST payee and enter the 15-character GST/HST account number exactly as shown on your CRA correspondence. Payee names and processing cut-offs vary by institution. Check how long your chosen payment method takes, allow enough time before the due date, and keep the confirmation.

CRA My Payment

CRA My Payment supports eligible debit-card and digital-wallet options from participating financial institutions; it does not accept credit cards. Check the CRA’s current supported methods and your institution’s limits. A payment is usually dated the same business day, but the date can move to the next business day after the stated cut-off, on weekends or on holidays. Your CRA account may take up to three business days to show it. Keep the confirmation. See CRA My Payment instructions and processing times.

Pre-Authorized Debit (PAD)

You can set up a pre-authorized debit agreement through CRA My Business Account to have payments automatically withdrawn from your bank account on scheduled dates. This is useful for businesses that want to automate their GST/HST remittances and avoid the risk of missing a deadline. You control the payment amount and schedule, and you can modify or cancel the agreement at any time.

At Your Financial Institution

You can make GST/HST payments in person at your bank or credit union using your GST/HST remittance voucher. You can also pay by mail using a cheque payable to the Receiver General for Canada, mailed with your remittance voucher to the address on the form. Allow sufficient mailing time as the payment must be received by the due date.

GST/HST Filing and Payment Deadlines

Your GST/HST filing frequency depends on your annual taxable revenue. The CRA assigns you a reporting period when you register, and you can request a change. Here are the deadlines for each filing frequency:

Monthly Filers

Businesses with annual taxable revenue over $6 million must file monthly. Your GST/HST return and payment are due one month after the end of each reporting period. For example, your January return and payment are due by the last day of February.

Quarterly Filers

Businesses with annual taxable revenue between $1.5 million and $6 million typically file quarterly. Your return and payment are due one month after the end of each fiscal quarter.

Annual Filers

For most annual GST/HST filers, both the return and final payment are due three months after fiscal year-end. A sole proprietor with a December 31 year-end and business income for that year generally pays by April 30 and files by June 15. That exception should not be applied to every partnership. Listed financial institutions have additional rules. Some annual filers must also make quarterly instalments; check the rules for the business concerned. See CRA reporting requirements and deadlines.

Penalties for Late GST/HST Filing and Payment

The CRA imposes separate penalties for late filing and late payment of GST/HST:

Late filing penalty: If you owe a balance and file your return late, the penalty is 1% of the amount owing plus 0.25% for each complete month the return is late, up to a maximum of 12 months, for a maximum total penalty of 4% of the balance owing.

Late GST/HST payment interest: Interest applies to overdue GST/HST at the CRA’s applicable overdue rate and compounds daily. The rate changes quarterly. The CRA describes that rate as its basic rate plus four percentage points; do not add another four points to a rate already labelled as the overdue rate. Check CRA guidance on GST/HST interest for the period concerned.

Director liability: If your corporation fails to remit GST/HST collected from customers, the CRA can hold corporate directors personally liable for the unremitted amounts plus penalties and interest. This is because collected GST/HST is considered trust funds held on behalf of the government.

Input Tax Credits: Getting Your GST/HST Back

When you file your GST/HST return, you can claim Input Tax Credits (ITCs) to recover the GST/HST you paid on business purchases. This includes HST on office supplies, professional services, equipment, software subscriptions, business travel, and other eligible expenses. Some items are restricted: you cannot claim ITCs on personal expenses, club memberships, or more than 50% of the HST on meals and entertainment. If we keep your books, we track your ITCs throughout the year so nothing is missed at filing time.

Quick Method of Accounting for GST/HST

Some eligible businesses can elect to use the Quick Method. The $400,000 revenue test includes GST/HST, zero-rated supplies and associates’ relevant revenue, using the CRA’s specified four-quarter test periods. Other conditions and excluded business types apply. The remittance rate depends on the business and its circumstances; the method is not automatically available or beneficial. Check eligibility and compare the outcome before making an election. See the CRA Quick Method guide.

Get Help With Your GST/HST Filing

Managing your GST/HST payment and filing obligations is one of the most time-consuming aspects of running a business in Ontario. Our GST/HST services handle registration, return preparation, filing, and payment for Toronto businesses. Combined with our bookkeeping and corporate tax services, we provide a complete financial solution. Contact us at (437) 410-7999 or use our remote tax filing service. For official CRA information on GST/HST, visit the Canada Revenue Agency GST/HST page.