HST Best practices-Canadian Non-Profit Users

[KENNEY]

This post is specific to Canadian users in ON, BC NS and Nfld.

In Ontario we are about to combine our Federal(GST) and Provincial Sales tax into one single Tax(HST).

We currently remit our taxes to two seperate agencies, we will now remit it to a single agency.

My question to other effected users on this list is how are you recording the tax, are you reporting it in the G/L as a single tax or are you breaking it out to two seperate entries.

Would also be interested in getting some contact information for offline discussion.

 

[paulineyick]

Hi Michael,

We are going to post to two separate accounts because our organization is still going to recover a portion of both the "GST" and "PST" portion as we are a qualified not for profit. I imagine you will also have these recoveries.

The only way I will be able to do this is through separate accounts.

Hope this helps!

Pauline Yick
Ontario Institute for Cancer Research

 

[MarieMI]

Hi, how were you able to post to both GST and PST on the Payable side ? in the tax area, i could only post a portion to an expense account and the other to the recoverable account. I was not able to have a the gl distribution to go a GST account and a PST. please see picture?

 

[KENNEY]

Marie
We found the same situation, I was able to define the tax with two recoverable percentages, but when posting it still goes to one account. Right now the only way we will address this issue is make sure we identify the full HST portion with one GL offset account and then extract the data and use Excel to break down the taxes before before filing the rebate.

P.S Pauline, Marie would you be open to setting up a communication offline for discussing this. I will post a private message with my details.