Should I register for GST/HST?

Posted on: November 14th, 2012 by Real Estate Accountants No Comments

The “should I register for GST/HST” question is a common one we get from our clients, which normally goes like this:

I have received forms from CRA for GST/HST registration, I am not sure if I should register a GST/HST number for a parent corporation and a real estate holding company. There is no income other than long-term residential rental income from the real estate holding company, but we don’t charge GST/HST on rentals.

Answer:

Most people find that they are not required or not allowed to register the companies for GST/HST. However, generally speaking I try and register the companies because I’m never sure if there’s going to be a transaction in the future which requires registration that I forget about until it’s too late.

That being said. If you’re renting out¬†residentially¬†on a long-term basis, odds are you’ll never need the registration.


George E. Dube, MAcc, CA

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