I'm a freelance florist and make my wages by invoicing the floral companies I work for. I'm confused about the $30 000 threshold relating to GST/HST and registering my business, can you help me?
As a self-employed contractor, you are responsible for keeping track of all of your income and expenses related to the business for the year. This means keeping receipts for invoices to companies, and any receipts that relate to your cost of business expenses.
You are also responsible for calculating and deducting your own federal and provincial required deductions, such as taxes and CPP. The Canada Revenue Agency (CRA) provides a calculator for Calculating deductions. These amounts will be due on April 30th.
The CRA stipulates that once a self-employed individual or small business earns more than $30 000 from that business during the year, they are required to register for a GST/HST account and being charging their clients for GST/HST. More information is available on the CRA website about Registering for a GST/HST account
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