Most freelancers and side businesses need to charge the Goods and Services Tax (GST) or Harmonized Sales Tax (HST) once taxable sales pass $30,000. You count that over any four consecutive calendar quarters, or within a single quarter. Below it, you are a small supplier and registering is optional.
This post covers what counts toward the $30,000, when you start charging, and whether to register early. I confirmed the threshold and rates against canada.ca and Revenu Québec on 25 September 2026.
Do I need to charge GST/HST below $30,000?
Generally no. A small supplier does not have to register, and an unregistered business does not charge GST or HST. You can still register voluntarily at any time.
Some businesses must register from their first sale, even as small suppliers. Self-employed taxi and commercial ride-sharing drivers are one example. Non-residents who sell admissions to events, seminars or places of amusement in Canada are another, as are non-residents hosting a convention in Canada where more than 25% of attendees are Canadian residents.
Public service bodies, such as charities and non-profits, use a $50,000 threshold instead. Charities can also qualify as small suppliers if their gross revenue for the previous fiscal year was $250,000 or less.
What counts toward the $30,000
The test uses revenue from taxable sales, not profit. Count sales made in Canada and outside it, including zero-rated sales such as exports. Add the sales of any business associated with yours, such as a corporation you control.
Leave out exempt sales, financial services, goodwill and sales of capital property such as business equipment. Employment income on a T4 does not count either, because it is not a sale.
When you have to start charging GST/HST
There are two tests, and crossing either one ends small supplier status.
Over four quarters. If your last four calendar quarters total more than $30,000, you stay a small supplier until the end of the following month. You start charging the day after. Your first taxable sale from then on is your effective date of registration, and you have 29 days from it to register.
In one quarter. If your sales pass $30,000 within a single calendar quarter, you stop being a small supplier with the sale that crossed the line. That sale is your effective date: you charge GST or HST on it and register within 29 days.
Take a designer in Ontario who started freelancing in October 2025 and bills Ontario clients. No single quarter passes $30,000, but four quarters together do.
She passes $30,000 in the quarter ending 30 September 2026. She stays a small supplier until 31 October 2026 and charges 13% HST from 1 November 2026. A $2,000.00 invoice in November becomes $2,260.00, with $260.00 of HST.
The CRA’s When to register for and start charging the GST/HST page sets out both tests in full, with the rules for charities and public service bodies.
For services, the rate generally follows where your customer is. The HST calculator covers which provinces charge HST and at what rate.
Should you register before you reach $30,000?
Registering early lets you claim input tax credits, which recover the GST or HST you pay on business expenses. In exchange, you charge tax on every taxable sale and file returns.
It often suits businesses whose clients are registered, because those clients claim the tax back. It suits less when you sell to consumers, who pay the full tax. If you register voluntarily, you generally must stay registered for at least one year.
Quebec and provincial sales taxes
In Quebec, Revenu Québec administers the GST and the Quebec Sales Tax (QST) for most businesses. The QST has its own $30,000 small supplier threshold, and you generally register for both at the same time.
BC and Saskatchewan charge a Provincial Sales Tax (PST), and Manitoba charges a Retail Sales Tax (RST). Each has its own registration rules, separate from the GST threshold. BC’s planned PST on accounting, bookkeeping and other professional services is paused; BC PST changes on 1 October 2026 covers what still takes effect.
The GST calculator covers how the federal tax works in every province, and GST, HST, PST or QST explains which one applies where.
Frequently asked questions
Is the $30,000 GST threshold based on revenue or profit? Revenue. Count your taxable sales before expenses, including zero-rated sales and the sales of associated businesses.
Do I owe GST/HST on sales before I crossed $30,000? Generally no, under the four-quarter test. Under the single-quarter test, you charge tax on the sale that took you over the threshold.
Can I stop charging GST/HST if my sales drop? You can ask the Canada Revenue Agency (CRA) to cancel your registration once you qualify as a small supplier again. In Quebec, you ask Revenu Québec. Either way, you must stay registered for at least one year first, whether you registered voluntarily or had to.
When you must register depends on your sales, your associates and the type of business you run. Do your own research, and verify anything you are filing against canada.ca and your provincial revenue agency. Check with an accountant or tax professional before you act on it. This is not formal accounting or tax advice.
Once you charge tax, the sales tax calculator adds GST, HST, PST or QST to an invoice and shows each tax separately. For every province’s rate, see the 2026 rate card.