Check the documents behind a Canadian GST/HST input tax credit

A Canadian GST/HST input tax credit needs support before it enters the return. Build the review from the proposed credit population, then open the actual invoice, receipt, contract or other supporting papers. A payment reference proves that money moved; it may leave the supplier's registration, tax treatment or identity of the purchaser unresolved.

CRA's current documentation table uses sale-value tiers of under CAD100, CAD100 to CAD499.99, and CAD500 or more. Its published update explains that these replaced the older CAD30 and CAD150 thresholds, effective April 20, 2021. Check the version of any checklist carried forward from an earlier engagement before relying on it.

The current CRA table requires the supplier's business or trading name, a relevant date and the total paid or payable in every tier. At CAD100 and above, it adds specified tax information and the supplier or intermediary's GST/HST registration number. At CAD500 and above, the purchaser or authorized representative's name, a description and payment terms are also required.

Use the purchase value before tax to determine the applicable documentation tier. Where several papers together provide the information, retain their relationship. An order confirmation and an invoice should identify the same transaction, not merely a similar amount from the same vendor.

For an illustrative equipment purchase of CAD620 before tax, a card receipt showing only the merchant and total would leave questions for the higher documentation tier. Ask for the missing details with the original invoice reference. Avoid creating a replacement invoice internally or typing guessed information onto the supplier's document.

Compare the supplier's legal or trading identity with the vendor record and registration evidence. Record the verification date and the name searched. A mismatch can come from a trading name, an intermediary, an incorrect number or a different entity; the explanation should be supported before the reviewer accepts it.

Check which business actually bought the item. If an invoice names an owner or a related company, provide the purchasing arrangement and reimbursement history to the tax reviewer. Changing the customer name in the accounting system does not change the underlying transaction.

Recalculate the documented tax and separate taxable, exempt and zero-rated components where present. Keep credits, refunds and duplicate invoice versions attached to the original item so the credit calculation uses the final commercial amount.

CRA also requires the relevant registrant status, tax paid or payable, and commercial-activity connection. A complete invoice therefore answers the evidence question without settling every eligibility or allocation issue. Have the reviewer record any restricted portion and the reason for it.

Give each unresolved proposed credit a clear status: supplier correction requested, identity check outstanding, eligibility review needed, or ready for the return. Retain the amount, owner and next review date. When evidence arrives later, check the applicable claiming period and ensure the same credit has not already been included through another document.