# HST Refund - Taxable?



## Threeboy (Mar 22, 2012)

I'm just curious as to whether you have to report a business HST refund as "other income" and are taxed on the money.

Had a hard time searching the forum for "HST" because the search term is too short, so if there's another thread that answers this please link me up


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## Homerhomer (Oct 18, 2010)

Are you talking about HST transition rebate? Yes, this is taxable income for the business.

If you are asking about refund upon filing then no, it goes against your liability.


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## Threeboy (Mar 22, 2012)

I'm talking a GST remittance refund for business. The HST you collect on sales, minus valid ITC. That refund - is that taxable?


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## Helianthus (Oct 19, 2010)

Threeboy said:


> I'm talking a GST remittance refund for business. The HST you collect on sales, minus valid ITC. That refund - is that taxable?


No.


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## Charlie (May 20, 2011)

on a business statement you're supposed to record your sales and expenses 'net' of HST. If you've done that, there's no need to record additional income of the refund. If you calculated your expenses including HST, then you need to add in the amount of the refund as the HST is an amount that you will recover.


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## Threeboy (Mar 22, 2012)

Thanks Charlie, Helianthus, and HomerHomer


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