GST/HST invoice requirements: what a Canadian invoice must include

Once you're registered for GST/HST, your invoices do a second job: your business customers use them to claim input tax credits (ITCs) for the tax you charged. The CRA doesn't prescribe a layout, but the Input Tax Credit Information Regulations set out what the invoice must show, and the list gets longer as the amount goes up.

This guide walks through the three tiers ($100 and $500 are the cut-offs), the format of your GST/HST number, how to show HST, rounding, and credit notes. The free invoice generator always prints the fullest tier, so your invoice is valid at any amount.

What the invoice must show, by amount

The information your customer needs depends on the total of the sale:

These thresholds have applied since April 20, 2021. Older material, including the CRA's Memorandum 8.4, still quotes $30 and $150, which are out of date.

On top of this list, most businesses add an invoice number, both addresses, quantities and unit prices, a due date and payment details. There's no prescribed numbering format, but a unique, sequential number (INV-0001, INV-0002) keeps your records easy to follow.

Your GST/HST number

Your GST/HST number is your 9-digit Business Number (BN) followed by the program identifier RT and a 4-digit reference number:

GST/HST No. 123456782 RT0001

Print the full number, not just the 9-digit BN. Invoice Native checks the format as you type and prints it this way under your name.

Your name, or a trade name

The name on the invoice can be your legal name or a trade name you actually use, which satisfies the CRA's name requirement. A sole proprietor often shows both, and Invoice Native prints "Jane Tremblay, operating as Tremblay Design". A corporation prints its legal name with the trading name underneath.

Showing the tax: GST, HST and provincial taxes

RC4022 says to show that the price includes tax, the tax amount, or the rate. In practice, a clear invoice shows each tax on its own line with its rate:

For HST, show the total rate as one line ("HST 13%"), not the federal and provincial parts. Which row applies depends on where your client is, not where you are; see which sales tax to charge.

Worked example: an Ontario invoice

A registered designer bills an Ontario client:

Because the total is over $500, the invoice also needs the client's name, a description of each line and the payment terms, such as "Net 30".

When an invoice mixes taxable, zero-rated and exempt items, mark each line's status. Invoice Native adds a mark only when statuses are mixed ("Z" zero-rated, "E" exempt) and prints a key under the lines.

Rounding

RC4022's rule is simple: less than half a cent rounds down, half a cent or more rounds up. You can total the items taxed at the same rate before rounding. Invoice Native works out each tax once on its total and rounds it to the cent: $33.33 at 13% is $4.3329, which becomes $4.33.

An early-payment discount you offer doesn't reduce the tax on the invoice.

Credit notes

To correct an overcharge or give a refund, issue a credit note. Section 232 of the Excise Tax Act generally gives you two years to credit overcharged tax. The credit note must show:

• a statement that it is a credit note;
• your name and BN;
• your customer's name;
• the date;
• the tax being adjusted, or a statement that the total includes tax and at what rates;
• enough detail to identify the adjustment.

The CRA recommends referencing the original invoice. Invoice Native's credit notes print the original invoice's number and date, each tax credited at its rate, and a reason such as "Goods returned" or "Overcharge / pricing error".

Checklist

• ✅ Your name or trading name, and the invoice date
• ✅ GST/HST number in full, such as 123456782 RT0001
• ✅ Your customer's name, a description of each line and payment terms
• ✅ Each tax on its own line with its rate, HST as one combined rate
• ✅ Line status marks when taxable, zero-rated and exempt items are mixed
• ✅ Tax rounded to the cent; credit notes within two years

Rules can change, so check the CRA's guidance or ask an accountant about your situation. Keep your records for six years from the end of the tax year they relate to.