We Handle Your Restaurant GST/HST Filing
Restaurant GST/HST is complicated. Tips vs. service charges, delivery platform matching, Quick Method vs. Regular Method, the 50% meal restriction, gift card redemptions. We handle all of it. Flat fee. No surprises. Filed on time, every time.
What Is Included in Our Restaurant GST/HST Filing Service
Everything your restaurant needs for CRA-compliant HST filing. No extras. No hourly billing.
| Included | What We Do |
|---|---|
| GST/HST return preparation and filing | We prepare and file your GST/HST return (monthly, quarterly or annual) through CRA on your behalf, on time, every period. |
| POS-to-bank reconciliation | We reconcile your daily POS Z-reports to bank deposits. Every dollar of cash and card revenue is accounted for before filing. |
| Delivery platform matching | We reconcile UberEats, DoorDash and SkipTheDishes statements to your accounting records. Platform revenue, commissions and tips separated correctly. |
| ITC recovery (every eligible credit claimed) | We claim ITCs on food purchases, rent, utilities, equipment, delivery platform commissions, cleaning supplies, liquor and professional fees. |
| Owner meal vs. staff meal separation | We separate owner meals (50% ITC) from staff meals (100% ITC) so you claim the maximum legal amount without over-claiming. |
| Quick Method vs. Regular Method analysis | We calculate both methods for your restaurant and recommend the one that produces the lower HST remittance. Reviewed annually. |
| Mandatory service charge HST handling | We configure your accounting to correctly apply 13% HST on mandatory gratuities while excluding voluntary tips. |
| Gift card HST tracking | We track HST on gift card redemptions (taxable) separately from gift card sales (not taxable). |
| CRA correspondence and notices | We respond to CRA notices, assessments and review letters related to your HST account on your behalf. |
| Annual T2 corporate tax return | Filed FREE for every restaurant GST/HST filing client. No additional charge. |
How It Works
Four steps. No complexity on your end.
Connect
We connect to your QBO or Xero and POS system. If you do not have accounting software yet, we set it up for you.
Reconcile
We reconcile POS Z-reports to bank deposits, match delivery platform statements and categorise every transaction.
Calculate
We calculate HST collected, ITCs claimable, apply the 50% meal restriction and determine net tax owing or refund.
File
We file your GST/HST return through CRA, confirm the filing, and notify you of the amount owing or refund expected.
Restaurant GST/GST/HST Filing from $150 / Filing
Flat fee. POS reconciliation, delivery platform matching, ITC recovery and T2 filed FREE.
The Restaurant GST/HST Rules We Handle for You
Restaurant GST/HST is more complex than most industries. The following rules determine what you owe CRA each filing period. We apply every one of them correctly, every time.
| Item | HST Status | How We Handle It |
|---|---|---|
| Dine-in and takeout food | Taxable at 13% | Verified against POS Z-reports and bank deposits each period |
| Alcoholic beverages | Taxable at 13% | Tracked separately from food revenue for COGS accuracy |
| Voluntary tips | Not subject to HST | Excluded from taxable revenue. POS configured to separate tips from sales. |
| Mandatory service charges | Taxable at 13% | HST calculated on the service charge amount and included in HST collected |
| Gift card sales | Not taxable at sale | No HST recorded at point of gift card sale |
| Gift card redemptions | HST on redeemed items | HST applied on the food purchased, not the card value |
| UberEats / DoorDash / SkipTheDishes revenue | Platform collects HST | Gross revenue reconciled to your books. Platform commission ITCs claimed. |
| Delivery fees | Taxable at 13% | Included in taxable supply total on your HST return |
| Owner meals | 50% ITC only | Separated from staff meals. 50% restriction applied to both income tax and HST. |
| Staff meals (regular benefit) | 100% ITC | Full ITC claimed. Documented as regular employment benefit. |
We Calculate Quick Method vs. Regular Method for Every Client
Many restaurants use the wrong HST method and overpay CRA by thousands per year. The Quick Method (8.8% remittance rate for Ontario restaurants) is simpler but not always cheaper. We run both calculations for your restaurant and recommend the method that produces the lower remittance.
| Factor | Regular Method | Quick Method (8.8%) |
|---|---|---|
| How HST is calculated | HST collected minus ITCs on all purchases | HST-inclusive revenue x 8.8%. No ITCs tracked. |
| Better when food costs are | Above 35% of revenue | Below 30% of revenue |
| Better when rent is | High (significant ITC on commercial rent) | Low (rent ITC does not offset Quick Method savings) |
| Revenue threshold | No limit | $400,000 annual taxable revenue or less |
Real Client Example: An Ontario restaurant with $480,000 in annual revenue, 33% food costs and $60,000 in rent was using the Quick Method and remitting $42,240 per year. We switched them to the Regular Method. Their ITCs on food ($20,592), rent ($6,912), utilities ($1,656), platform commissions ($4,680) and supplies ($2,076) totaled $35,916. HST collected was $55,221. Net remittance under Regular Method: $19,305. Annual savings: $22,935. We review this calculation for every restaurant client annually.
Explore our dedicated support for restaurant owners, including bookkeeping, tax planning and compliance guidance: Restaurant Accounting & Tax Services
The 10 GST/HST Errors We Prevent for Restaurant Clients
| # | Error | What It Costs | How We Prevent It |
|---|---|---|---|
| 1 | Charging HST on voluntary tips | Over-collection liability to CRA and customers | POS audit and configuration review at onboarding |
| 2 | Not charging HST on mandatory service charges | CRA reassessment with interest and penalties | Mandatory charges flagged as taxable in POS and accounting |
| 3 | Not registering for HST before opening | $10,000 to $40,000 in lost pre-opening ITCs | HST registration at incorporation, before first purchase |
| 4 | Missing delivery platform commission ITCs | $500 to $3,000 per year | Platform statements reconciled and ITCs claimed every period |
| 5 | Claiming full ITC on owner meals | Over-claimed ITCs reversed on CRA audit | Owner meals coded separately with 50% restriction applied |
| 6 | Mixing staff and owner meal accounts | Under-claiming staff meal ITCs or over-claiming owner ITCs | Separate GL accounts configured at setup |
| 7 | Using Quick Method when Regular saves more | $2,000 to $23,000 per year overpaid | Both methods calculated annually. Lower remittance recommended. |
| 8 | Platform revenue not reconciled to HST return | CRA flags the discrepancy. Audit triggered. | Monthly platform-to-books reconciliation before filing |
| 9 | Filing HST returns late | 1% penalty + 0.25%/month + 8% interest | Calendar managed. Filed before deadline every period. |
| 10 | No HST on gift card redemptions | Under-collected HST on redeemed food items | POS and accounting configured for redemption-time HST |
Transparent Flat-Fee Pricing
No hourly billing. No surprises. You know your exact fee before we start.
| Service | Fee | Includes |
|---|---|---|
| GST/HST return filing (per filing) | From $150 | Return preparation, POS reconciliation, platform matching, ITC recovery, CRA filing |
| Monthly bookkeeping + GST/HST | From $200/month | Full monthly bookkeeping, bank reconciliation, POS matching, HST filing, payroll |
| Annual T2 corporate tax return | FREE | Included for all HST filing and bookkeeping clients at no additional charge |
| QBO or Xero setup | FREE | Chart of accounts configured for restaurants with correct HST codes. Included at onboarding. |
| Quick Method vs. Regular Method analysis | FREE | Both methods calculated. Lower remittance recommended. Reviewed annually. |
Know Your Exact Fee Before We Start
Flat fee, fixed in advance. 30-Day Money-Back Guarantee. 60-Day Fees-Matching Policy.
Restaurant GST/HST Filing — Cities We Serve
We file GST/HST returns for restaurants across every Ontario city and Canada. No distance limits, no extra fees.
Frequently Asked Questions
Stop Guessing Your Restaurant GST/HST. Let a CPA Handle It.
Gondaliya CPA provides restaurant GST/HST filing, POS reconciliation, delivery platform matching and ITC recovery. From $150 per filing. T2 filed FREE.