The Department of Finance and the Prime Minister, Justin Trudeau, announced new support for small businesses on Friday, March 27, 2020. These measures come as part of the COVID-19 Economic Response Plan and aim to provide direct support and tax deferrals to Canadian workers and businesses to help them in these difficult times:
GST/HST for Canadian Businesses
- GST/HST remittances and customs duty payments are deferred to June 30, 2020.
- The deferral of payment to June 30, 2020 will extend the time that:
Customs Duty and Sales Tax
With respect to the payment of GST and customs duties on goods imported by businesses:
- section 33.7(1) of the Customs Act is being used to defer payment deadlines of statements of accounts for March, April, and May until June 30, 2020.
The Customs Act is overseen by the Minister of Public Safety and Emergency Preparedness and administered by the Canada Border Services Agency. Typically, payments owing for customs duties and the GST on imports are due before the first day of the month following the month in which the Statements of Accounts are issued.
The author would like to acknowledge and thank articling student Antoine Killin for his contributions to this article.
The information contained in this article is intended to provide information and comment, in a general fashion, about recent cases and related practice points of interest. The information and views expressed are not intended to provide legal advice. For specific legal advice, please contact us.