If registration is required, how should it be done? Is registration good for the business or not? If registration is not required, will it lead to more problems? So what is the best way to deal with it? Let's see what the accountants say.

• HST is a sales tax, so the HST account is naturally used to collect and report income tax.

As a boss, your primary goal is to make a profit. However, when your company's annual revenue exceeds $30,000, you need to collect HST sales tax from buyers and report each HST you collect to CRA through the HST account. Of course, HST can also generate tax refunds. To give a simple and boring example, if you set up a purchasing agency, and your main business in Canada is shopping every year, you pay a lot of HST to other merchants, which will be refunded to you by CRA when you report.

• So when should HST be reported each year?

HST can be declared on a monthly, quarterly, or annual basis. Except for some large taxpayers, the government has rigid requirements. Generally speaking, companies can choose by themselves. We recommend that you refer to the company's operating conditions and business types. For example, for the purchasing agency mentioned earlier, we recommend that you report monthly and get the tax refund as soon as possible.

Finally, don’t forget that you must apply to CRA for an HST account opening invitation within 30 days after receiving your business number. Once you receive the invitation, your account will be approved on the same day. However, if the efficient CRA still has no response after more than 20 days of your application, you can call directly to urge them.