Foreign VAT Refunds Guide from Canada
The following information details the requirements needed to be eligible for a VAT refund in Canada. These include claimable expense types, the Austria VAT rates and deadlines, as well as claiming periods.
What Expenses are Claimable for VAT Refund in Canada?
Hotel & Accommodation
0
%
Restaurants
0
%
Conf, Trade Shows & Expo
0
%
Public Transport
0
%
Fuel
5-13-14-
0
%
Marketing Costs
0
%
Professional Fees
0
%
Car Rental
0
%
Training, Courses & Seminar
0
%
What are the Canada VAT Rates?
Canada imposes a Goods and Services Tax (GST) and, in certain provinces, a Harmonized Sales Tax (HST). Unlike a VAT, these taxes are not normally deductible by businesses. Here is Canada’s HST/GST breakdown:
Applies to all goods and services.
Depending on the province, the rate varies from 13% to 15%.
The HST is a combined tax structure that includes the federal GST and a provincial sales tax component. It is implemented in the following provinces:
• New Brunswick
• Newfoundland and Labrador
• Nova Scotia
• Ontario
• Prince Edward Island
In provinces where HST is not applied, a separate Provincial Sales Tax (PST) must be paid. Rates vary by province.
How to Get VAT Refunds from the Canada for Your Business?
- Confirm Eligibility: Your business needs to be eligible to claim a GST/HST rebate. You must primarily consider whether you qualify as a non-resident or public service body (PSB).
- Collect Documentation: Maintain your original invoices and any other relevant documents for all business transactions.
- File a GST/HST Rebate: If you qualify, you can file for a GST/HST rebate directly through the Canada Revenue Agency.
- Check Status: You can check the status of your GST/HST rebate claim by signing into 'My Business Account' or calling 1-800-959-5525.
- Wait for Rebate: The time for processing varies depending on the nature and complexity of your claim.
- Please be aware that, according to one source, the refund for GST was phased out for visitors back in 2007.
- You may want to confirm this and gather the most current information directly from Canada's Revenue Agency or a tax consultant.
Frequently Asked Questions About Canada VAT Recovery
A specific deadline does not exist because a domestic/local registration is mandated. Thus, clients are assisted based on their individual VAT return deadlines.
Claims are possible from all countries, but registration is a mandatory.
VAT refunds are often processed by Canada Revenue Agencies within 4 months.
Need Help with Your VAT Refund from Canada?
We have helped companies reclaim €200+ M in VAT refunds over the last eight years. Our expertise and technology allow us to process your refund quickly and automatically.
