Canadian Goods & Services Tax
Canadian sales tax compliance is an administrative and resource burden that can be alleviated by outsourcing the function to tax professionals with experience and expertise. Sales tax compliance is a time sensitive function with GST/PST/HST/QST filing requirements and deadlines. Maintaining a good tax calendar and compiling the necessary information is required for accurate and timely filings. Companies not in compliance can be assessed substantial penalties and interest.
Few corporate tax departments have the expertise or resources to effectively manage and minimize their Canadian sales taxes. A-SALT Group brings to the table professionals and resources that leverage experience and technology to streamline your processes and budget dollars. Successful compliance is ultimately driven by experience, knowledge of Canadian sales tax, and the ability to efficiently manage critical information associated with your returns.
A-SALT Group’s Canadian Sales Tax Compliance Services will:
- Work with the client in creating and maintaining an accurate and current tax calendar.
- Obtain all appropriate sales tax information posted and submitted by taxpayer through the various ERP or manual systems for incorporation into the returns.
- Analyze and reconcile specific accounts.
- Timely prepare, review, sign (on behalf of client) and file all required returns.
- Remit payment on behalf of the client through ACH credit, ACH debit, or check request through client’s own A/P group or through separately funded account maintained by A-SALT Group.
- Provide client with a monthly reconciliation schedule or tax remitted to tax dollars funded.
- Provide customized management reports to meet client’s needs.
- Provide web based client account information, payments, reconciliation schedules and management reports.
- Respond to all questions or notices from tax jurisdictions regarding the returns filed or other related items. Provide client with a monthly notification of any extraordinary items that may occur.
Undergoing a Canadian Sales Tax or Goods and Services (VAT) audit can prove to be a very unsettling experience. Most audits can cause a department’s staff to spend countless hours analyzing historical records, obtaining clarification on old issues, debating with auditors on interpretation of laws. Depending on the results of the audit the manager is quite often left questioning themselves or their staff.
The reality of the matter is that most companies do not have the personnel who have both the expertise and the time to effectively manage a Canadian Sales Tax or Goods and Services (VAT) audit.
At A-SALT Group our audit services like our other services are scalable to meet your needs. Generally, our audit services fall into three types of offerings:
Audit Management – An A-SALT Group team manages the audit from the opening conference with the auditor through the audit’s conclusion. We work interactively with the auditor throughout the audit process. This includes such activities as meeting with the auditor on a regular basis, providing the auditor with appropriate documentation, addressing the application of various rules of law as they may apply to the client’s business, and lastly to oversee the activity of the auditor to ensure that the audit is brought to a swift and satisfactory conclusion. The A-SALT Group performs these tasks while simultaneously keeping the client apprised of the audit’s status with regularly scheduled updates.
Audit Defense – This service typically comes into play when the client’s audit is already underway but the client would like the A-SALT Group to apply its expertise to help reduce any potential liabilities. This is accomplished by reviewing an auditor’s preliminary workpapers to identify items that should not be included due to exemptions, or discrepancies. The audit can also be reduced by searching for additional credits that can be used to offset any liabilities.
Audit Support – A-SALT Group will customize our audit service and approach to meet the needs of our clients. We will support our clients and their audits as needed, from research to negotiations. There are many aspects of an audit that our experience and resources may be appropriate to utilize in order to support an audit. We are available and here to assist. A-Salt Group is experienced in dealing regularly with HM Revenue & Customs and Provincial audit divisions. It truly makes sense to have A-Salt Group on your side as an extension of your department.
Most tax and accounting professionals will tell you that their departments suffer from having too much work and not enough qualified staff. If you are one of those companies then perhaps A-SALT Group can be an extension of your department.
Nexus Analysis - Perhaps you are a growing company that is not sure whether or not you are carrying on business in Canada and should be registered to collect and remit GST/PST/HST/QST that you should. If this sounds like your company then perhaps you need a Canadian nexus review?
- This study will include what constitutes nexus within particular provinces and determine the requirements to register.
Matrices - In today’s fast paced environment there are many companies that offer a variety of products and services packaged and delivered in unique ways. Sometimes this can create confusion as to their taxability. In these instances it makes sense to have a taxability matrix created to ensure proper taxing is taking place.
- All areas can be mapped out in a matrix to improve your processes and procedures.
Research - Most companies are unique in one way or another and unfortunately the tax laws don’t always provide clear direction. If you find yourself in a position seeking clarity in how the tax laws may affect your company, but don’t have the professional staff to do the work then perhaps you need A-SALT Group to do the research for you.
- Assist in identifying all tax savings opportunities.
- Help maintain compliance when the rules change.