HST in Ontario: Helping Business Grow

Shutterstock 55469020On July 1st, 2010, the Harmonized Sales Tax (HST) came into effect in Ontario and changed the way your business collects and reports taxes. But did you know that these changes to Ontario's tax system can help you grow your business?

The 13% HST combines the 5% Goods and Services Tax and the 8% Provincial Sales Tax into one tax collected by the federal government.

Your business can take advantage of the new tax rates for capital investments under the HST. By having lower tax rates, you can save money on purchases of new equipment and use the savings to invest in growing your business.

Some of the other changes to Ontario's tax rates include:

An easy way to help your business grow is to lower your day to day costs. The less money you spend on daily operations, the more money you may have for business expansion.

Save money by claiming back what you spent on supplies and services, and in some cases, the expenses incurred while running your business which could be tax-free (i.e. employee uniforms, cleaning services, and fixtures).

You can also take advantage of input tax credits. Input tax credits reimburse your business for purchases that were previously PST-exempt but are now covered by the HST.

To learn more about tax and business programs, you can attend one of the Ministry of Revenue's Tax Information Forums or visit the Taxes section of our website.


Posted by philip on February 4, 2011
When will the Ontario government get on the same page as the federal government? I went to register for the spring seminar but was given the options to register for seminars on October 26, 2010 in Kitchener and November 2, 2010 in Hamilton. Go figure.

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