P.E.I. to implement new HST on April 1
HST will use same tax base, structure as GST, with some exceptions
03/28/2013|payroll-reporter.com|Last Updated: 03/28/2013
Prince Edward Island will implement a harmonized sales tax (HST) in the province effective April 1. The combined HST rate in P.E.I. will be 14 per cent, of which five per cent is the federal portion and nine per cent is the provincial portion.
The HST will use the same tax base and structure as the goods and services tax (GST), with some exceptions.
Businesses should take note of the following:
• All GST/HST registrants across Canada should update accounting and point-of-sale systems by April 1 to accommodate the change in rate for taxable supplies of property and services that are made in P.E.I.
• Some GST/HST registrants across Canada may need to update point-of-sale systems by April 1 to accommodate the new point-of-sale rebates in P.E.I.
• Current GST registrants located in P.E.I. will automatically become HST registrants and report their HST according to their current GST filing frequency
• Changes will also occur to the rebates for housing and public service bodies — such as charities, public institutions and qualifying non-profit organizations
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