The GST and QST are payable on the earlier of the following dates:
Payment (whether in money or some other form, such as another property or service) is deemed to have been made when it is received by the supplier.
Payment is considered to be due, in whole or in part, on the earliest of the following dates:
Specific rules stem from this general rule.
Payment made in instalments
Where payment is received in instalments by the supplier, the taxes on each instalment must, as a rule, be collected on the earlier of the following dates:
However, when corporeal movable property is sold and ownership or possession is transferred to the buyer before payment in full, the taxes on instalments not yet made are payable no later than the last day of the month following the month of the transfer.
Rental property
The taxes are payable no later than the date on which the lessee is required to pay the rent under the written contract.
Vending machines
The taxes are considered to be payable on the date the vending machine operator collects the money from the machine.
Conditional sales and instalment sales
Conditional sales are sales that are subject to one or more conditions. Sales made on a trial basis are the most common type of conditional sale. The sale becomes final only after possession on a trial basis has yielded conclusive results. Instalment sales are similar, in that ownership of the property is transferred only after all instalments have been paid.
On such sales, the GST and QST are payable on the last day of the month following the month in which ownership or possession of the property is transferred to the purchaser. The taxes apply to amounts that have not already become payable or have not been paid in the meantime.
Deposits
The GST and QST do not apply to a deposit, but must be calculated on the deposit when the supplier applies the deposit to the partial payment of the sales price of the property.
If a customer forfeits the deposit by not purchasing the item or service, the taxes are considered to be included in the deposit.
Construction contract
In the case of a construction contract, a portion of the payment is often withheld as security, in conformity with a federal or provincial law or a written agreement concerning construction, renovation, alteration or repair of the real property, until the transaction is completed. The GST and QST are therefore payable, in respect of the amount withheld, on the earlier of the following dates: