Canada's GST Holiday: What You Need to Know
Between December 14th 2024, and February 15th, 2025, Canada is suspending GST and HST on selected items and services. Our goal with this article is to help you prepare your business for this temporary change.
Get Familiar with the Exemptions
The first step is to make sure that you're familiar with what products are services are going to be exempted from GST/HST by reviewing this list provided by the Canadian government. It's also a good idea to review the additional guidance for businesses that charge GST or HST
Update Your Tax Rates in FlexiBake
We've compiled our articles on updating taxes throughout FlexiBake to help you get set up for this period and then put everything back to normal after February 15th, 2025.
Every business is unique in many ways, and you will have to determine the best way to adjust your tax rates to meet these temporarily changing requirements. The articles below will help you make the change to your tax rates in FlexiBake once you know the way that will work best for your business.
Set Sales Tax Rate to 0%
You may want to edit your tax rates to set the GST or HST rate to 0%. Please note that this will impact all items that this tax applies to.
So if you offer some items that are not eligible for the tax break, then it is likely you will need to adjust the tax profiles instead.
Set Up a PST-Only Tax Profile
If you charge PST and GST, you may need to set up a PST-only tax profile
Adjust Tax Profile on Products, Sales Orders, or Customers
You may also need to adjust the tax profiles assigned to your products, sales orders or customers
Taxes on Delivery Fees and Freight Charges