GST/HST registration is required once your taxable sales pass $30,000. Stay under $30,000 across four calendar quarters in a row and you do not have to register. Go over in a single quarter and you charge GST/HST from that very sale.
Last updated October 16, 2026. Reviewed by Aryan Patel, founder of Senvora Group, a bookkeeping firm for CPA firms and business owners in the US and Canada. The facts below come from the CRA page on when to register for and start charging the GST/HST. Here are the two tests, the dates that matter and a simple way to track your running total.
Once you register, you can start claiming GST/HST back on business costs. Here is what you can claim as input tax credits and the records CRA expects.
New to Canadian bookkeeping rules? Our Canada bookkeeping guide puts GST/HST, payroll and T4 dates in one place.
Key takeaways
- Under $30,000 in total over four calendar quarters in a row: you are a small supplier and do not have to register. You can still choose to.
- Over $30,000 in a single calendar quarter: you stop being a small supplier on that sale and must charge GST/HST from that sale on.
- Over $30,000 across the previous four quarters, but not in one quarter: you stop being a small supplier at the end of the month after the quarter you crossed.
- Once you pass the line, you have 29 days from your effective date to register.
- Taxi and commercial ride sharing drivers must register even if they are under $30,000.
The two tests, in plain words
The CRA looks at your taxable sales by calendar quarter. A calendar quarter ends on March 31, June 30, September 30 or December 31. There are two ways to cross the line, and they have different start dates.
| Situation | What happens | When you start charging |
|---|---|---|
| You never pass $30,000 in four calendar quarters in a row | You are a small supplier. Registering is optional | Only if you register by choice |
| You pass $30,000 in a single calendar quarter | You stop being a small supplier on that sale | On the sale that put you over, including that sale |
| You pass $30,000 across the previous four quarters, but not inside one quarter | You stop being a small supplier at the end of the month after the quarter you crossed | No later than your first sale after that point |
A simple example
These numbers are made up to show the logic. A freelance designer earns $8,000 a quarter for three quarters. That is $24,000, so she is still a small supplier. In the fourth quarter one client pays her $10,000. Her four quarter total is now $34,000, but she did not pass $30,000 inside one quarter. She stops being a small supplier at the end of the month after that quarter ends, and she charges GST/HST from her first sale after that point.
Now change the story. A different business sells $31,000 in a single quarter. It crossed inside one quarter, so it must charge GST/HST on the sale that pushed it over $30,000. It then has 29 days from its effective date to register.
What register means, in dates
If you must register, the CRA page says you have to do it within 29 days of your effective date. If you register voluntarily as a small supplier, your effective date is usually the day you request your GST/HST account, or up to 30 days before that day.
Do not wait. You still owe GST/HST on sales from your effective date, even if you only registered later. Read how this plays out for filing in our Canada GST/HST Q3 deadline guide.
Who follows different rules
- Taxi and commercial ride sharing drivers: they must register even if they are small suppliers. The effective date is the day they start supplying taxable passenger transportation.
- Charities and public institutions: they use a $250,000 gross revenue test and a $50,000 taxable supplies test.
- Other public service bodies: the threshold is $50,000.
- Non residents: a non resident who carries on business in Canada and is not a small supplier must register. A non resident who sponsors a convention in Canada with more than 25% resident attendees, or sells admissions to events in Canada, must register even if they are small suppliers.
Should you register before you have to?
Registering early is allowed. The tradeoff is that you must start charging your customers GST/HST and filing returns. Whether that helps or hurts depends on who you sell to, so talk to your accountant before you choose.
The bookkeeping side: track your running total
Most owners get caught because nobody watches the four quarter total. Here is the habit we use with clients at Senvora Group.
- Keep a taxable sales report by calendar quarter, not by fiscal year.
- Add the last four quarters together every month.
- Set an alert at $25,000, so you have time to decide before you cross.
- Write down the date you cross, because your effective date depends on it.
Weak sales tax setup shows up often in the files we review. In the QuickBooks files we review, the same five setup errors keep showing up. See the full breakdown here: the 5 QuickBooks setup errors we see most. If you also run payroll, check the Canada payroll remittance deadlines too.
Frequently asked questions
Do I need a GST/HST number if I earn under $30,000?
No. If you stay under $30,000 over four calendar quarters in a row, you are a small supplier and do not have to register. You can register voluntarily.
What happens if I go over $30,000 in one quarter?
You stop being a small supplier on the sale that put you over. You must charge GST/HST from that sale and register within 29 days of your effective date.
Does the $30,000 count my total income or only taxable sales?
The test looks at your taxable sales. Check the CRA definitions of taxable supply and zero rated supplies to see what counts for your business.
Can I register before I reach $30,000?
Yes. You can register voluntarily. Your effective date is usually the day you request your account, or up to 30 days before that day.
Do taxi and ride sharing drivers have to register?
Yes. They must register even if they are small suppliers. Their effective date is the day they start supplying taxable passenger transportation.
Sources
- CRA page on when to register for and start charging the GST/HST (canada.ca)
- CRA GST/HST for businesses (canada.ca)
Want help with your sales tax setup?
Senvora Group sets up GST/HST tracking and closes the books every month, so you see the $30,000 line coming. See our outsourced bookkeeping service or send a message, or DM Aryan. How close are you to $30,000 in the last four quarters?
Related reading: Canada GST/HST Q3 deadline guide, Canada payroll remittance deadlines and the 5 QuickBooks setup errors we see most.
