Most GST/HST and QST registrants that are a financial institution are required to file an Annual Information Return and those that are a selected listed financial institution (SLFI) are required to file a SLFI Return. These returns must be filed within six months of a registrant’s fiscal year end. Registrants with a December 31, 2020 year end must file these returns by June 30, 2021.
Banks, credit unions, insurers, security dealers, insurance brokers, public trustees, trust and loan corporations, investment plans and regular businesses that are a de minimis financial institution as a result of having financial revenues that exceed certain thresholds may be affected.
Because the definition of “financial institution” is very broad, all GST/HST and QST registrants should:
- determine whether they are required to file an Annual Information Return and/or a SLFI Return
- consider whether any past non-compliance should be rectified by filing a voluntary disclosure
Certain banks, insurers and security dealers whose input tax credit (ITC) claims exceed certain thresholds are also required to apply to the Canada Revenue Agency (CRA) to use a particular allocation method; the deadline to apply is 180 days before the first day of their fiscal year.
Source PwC
