GST
GST Quick Method explained
By Michelle Duford, CPB · Updated: October 2026
The Quick Method lets eligible small businesses remit a set percentage of their GST-included sales, instead of tracking the GST paid on every expense. For an Alberta business that sells services, that rate is 3.6%.
How it works
Under the regular method, you remit the GST you collected minus the GST you paid on business expenses (input tax credits). Under the Quick Method, you multiply your GST-included sales by a fixed rate, and you get a 1% credit on the first $30,000 of eligible sales each year.
Example: consultant with $100,000 in fees
Regular method: GST collected (5%) $5,000, less GST paid on $20,000 of expenses ($1,000). GST to remit: $4,000.
Quick Method: 3.6% of $105,000 (sales including GST) is $3,780.
Less the 1% credit on the first $30,000: ($300).
GST to remit under the Quick Method: $3,480.
An illustration only. Your result depends on your sales and how much GST you pay on expenses.
Who can use it
Annual taxable sales of $400,000 or less, including GST, counting any associated businesses.
In business for at least a year (new registrants have separate rules).
A permanent establishment in Canada.
Who can’t use it: businesses that provide legal, accounting, actuarial, bookkeeping, financial consulting, tax consulting or tax return preparation services, plus financial institutions, charities and some public bodies. Engineers, architects, consultants, agencies and realtors aren’t on CRA’s exclusion list, but confirm your situation with your accountant.
Rates for Alberta businesses
3.6% for businesses that mainly provide services.
1.8% for businesses that buy goods to resell, when those purchases are at least 40% of revenue.
You can still claim input tax credits on capital purchases such as computers and vehicles (but not real property).
How to sign up
Elect through CRA My Business Account, or file Form GST74.
Monthly and quarterly filers must elect by the due date of the first return that uses the Quick Method. Annual filers must elect by the first day of their second fiscal quarter.
You must stay on the Quick Method for at least one year before you can switch back.
Is it right for you?
It usually saves money for service businesses with few expenses that carry GST. It can cost more if you have large GST-bearing expenses. Every AccountingMD plan includes GST filing, and we can look at your numbers to see which method fits.
General information, checked October 2026. Source: CRA guide RC4058, Quick Method of Accounting for GST/HST.
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