Charities and the HST Rebate

 
 
On July 1, 2010 the HST will come into effect in BC (can anyone have missed this with all the media coverage it has received).


For charities and some non-profits (those receiving more than 40% of their revenue from the province) who currently receive a GST rebate, this will mean a change in the rebate calculation.

The province has set the PST portion of the HST rebate at 57% for charities. Thus when paying an invoice, the rebate will be calculated by taking 57% of the 7% PST portion and 50% of the 5% GST portion (as you do currently) and adding these together.

A quick look at the CRA website indicates that the rebate form, Application for GST/HST Public Service Bodies’ Rebate, has not yet been updated. This form is only filed twice a year, at the mid point and end of a charity’s fiscal year, so charities will need to check the CRA site when their next rebate filing date comes up.

The Government of Canada number to contact for questions about GST / HST is 1.800.959-5525. For specific questions about the rebate form the number is 1.800.565.9353.Websites that provide additional information and bulletins about the HST include:

BC Government – Rebates for Public Bodies and Charities

CRA – Goods and services tax/harmonized sales tax (GST/HST) checklist for charities

CRA – HST Information Sheets (under Quick Links, click on Charities & Public Institutions)

CRA – HST for British Columbia

by Val Green, Executive Director
Volunteer Victoria