GST/HST for freelancers in Canada: the $30,000 rule

When you have to register, how the small-supplier threshold actually works, and what changes on your invoices once you cross it.

By Gitta Ayu Putri, Hongix Design Labs. Updated 2026.

The short answer

Until your taxable revenue reaches 30,000 dollars you are a small supplier and charging GST/HST is optional. Cross 30,000 dollars and registration becomes mandatory.

GST/HST is separate from your income tax. It is a sales tax you add to your invoices, collect from clients, and hand to the Canada Revenue Agency. It is never your money to keep. The question most freelancers have is simply when they are required to start.

What the $30,000 threshold measures

The threshold looks at your gross taxable revenue, before expenses, across your whole business. A few things to know:

It is revenue, not profit. Your costs do not reduce the number that counts.
It is a rolling figure, not a calendar-year reset. The CRA looks at four consecutive quarters.
It counts worldwide taxable sales, including zero-rated ones such as many exports.

The two ways you cross it

There are two triggers, and they have different timing:

Over four consecutive quarters. If your total passes 30,000 dollars across the last four quarters but not in any single one, you stop being a small supplier and must register soon after. You get a short window to do it.
In a single quarter. If you pass 30,000 dollars within one calendar quarter, you must register right away, and you charge GST/HST on the sale that put you over.

The exact effective dates and grace periods have specific rules. When you are near the line, confirm your registration date with the CRA or an accountant so you do not charge too early or too late.

What "small supplier" means

While you are under 30,000 dollars you are a small supplier. You do not have to register, you do not charge GST/HST, and your invoices are simpler. The trade-off is that you also cannot claim input tax credits, which are refunds of the GST/HST you pay on business purchases.

Should you register voluntarily?

You are allowed to register before you hit 30,000 dollars. It can be worth it if:

You buy a lot of taxable supplies and want input tax credits back.
Your clients are businesses that simply claim the tax back anyway, so charging it costs them nothing.
You would rather not track a threshold and switch mid-year.

It is less attractive if your clients are individuals who cannot recover the tax, since your prices effectively rise, and if you would rather avoid the extra filing while you are small.

What changes once you register

You add GST/HST to invoices at the rate for your client's province, since it follows the place of supply. That is 5 percent GST in some provinces and 13 to 15 percent HST in others.
You put your GST/HST number on your invoices.
You file GST/HST returns and remit what you collected, minus your input tax credits.
The tax you collect is not income. Keep it separate from both your earnings and your income-tax savings.

How this fits with setting aside for income tax

GST/HST sits on top of income tax and CPP, which are the amounts you save out of your own earnings. If you are working out that side too, start here.

Let the app watch the line for you

Logbill tracks your invoiced revenue as you go and flags when you are getting close to the 30,000 dollar threshold, so the registration point does not sneak up on you.

Open the app

Free while in beta. Runs in your browser, nothing to install.

Common questions

At what income do I have to register for GST/HST in Canada?

Once your total taxable revenue passes 30,000 dollars, over four consecutive calendar quarters or in a single quarter, you have to register. Below that you are a small supplier and registering is optional.

Is the $30,000 threshold before or after expenses?

It is based on gross revenue from your taxable sales, before expenses. Business costs do not reduce the number that counts toward the threshold.

Do I have to charge GST/HST before I hit $30,000?

No, not unless you choose to register voluntarily. While you are a small supplier under 30,000 dollars you do not have to charge GST/HST, though you also cannot claim input tax credits until you register.

Do I charge GST/HST to clients in the US or abroad?

Sales to clients outside Canada are usually zero-rated, meaning you charge 0 percent but still report them. The rules depend on what you sell and where it is used, so confirm your case with the CRA or an accountant.