Under the Quick Method, you remit a flat percentage of your tax-included sales instead of calculating the difference between GST/HST collected and GST/HST paid on expenses. For many service businesses it may mean lower remittances and less paperwork — but it is not always the better choice. This calculator helps you estimate the difference for your situation.
Not registered for GST/HST yet? In general, many small suppliers do not have to register until they exceed the $30,000 small supplier threshold in a calendar quarter or over four consecutive quarters, but there are exceptions. This calculator is for businesses that are already registered or comparing filing methods after registration.
Based on CRA Quick Method guidance and remittance-rate rules. Last reviewed June 2026.
Two ways to calculate your GST/HST remittance
Quick Method may fit better when…
Quick Method may work well if…
- You mainly sell services
- You have low GST/HST-bearing expenses
- You have few input tax credits
- You want a simpler filing method
- You are an eligible small business (under $400K)
Regular method may be better if…
- You buy inventory or materials
- You buy significant equipment
- Your ITCs are large relative to revenue
- Your business has high taxable expenses
- Your bookkeeping already tracks ITCs well
- Your revenue is from eligible taxable supplies
- You are already registered for GST/HST, or comparing methods after registration
- Your sales are mainly made in one GST/HST rate province
- Your business uses one Quick Method remittance rate
- You are not in an excluded profession or excluded business type
- Your ITCs are regular operating expense ITCs, not special capital asset cases
- Your associated businesses, if any, are considered separately for eligibility
If your business has multiple provinces, multiple business lines, exempt supplies, zero-rated supplies, or special ITC rules, your real filing result may differ.
Example: Ontario consultant with $80,000 of revenue
− $1,200 ITCs
− $300 credit (1% of $30,000)
This is an illustration only. Your actual result depends on your province, revenue, ITCs, business type, and eligibility. Use the calculator above to enter your own numbers.
What is the GST/HST Quick Method?
The Quick Method of Accounting is a simplified way for eligible small businesses to calculate and remit GST/HST. Instead of calculating the difference between GST/HST you collected and GST/HST you paid on expenses, you remit a fixed percentage of your GST/HST-included revenue.
The Quick Method is designed to reduce paperwork for eligible small businesses. You still charge your customers the full GST/HST rate (5%, 13%, or 15% depending on your province). What changes is how much of that collected tax you send to the CRA — the Quick Method remittance rate is lower than the GST/HST rate charged to customers, but the difference generally reflects the ITCs you would otherwise have claimed and may affect your business income for income tax purposes.
You also receive a 1% credit on your first $30,000 of eligible GST/HST-included supplies per year. This calculator includes that credit in the Quick Method estimate.
Quick Method vs the regular method
Under the regular method, you remit the difference between GST/HST you collected from clients and GST/HST you paid on business expenses (your Input Tax Credits, or ITCs). This is precise but requires you to track every business purchase and its tax component.
Under the Quick Method, you remit a flat percentage of your tax-included sales — you generally do not claim ITCs on most regular operating expenses. You still need to keep proper business records, and some purchases may still qualify for ITCs under CRA rules. The CRA sets the remittance rates based on your province’s tax rate and whether your business sells services or goods.
Which may be better? It depends on your expense level. If you spend relatively little on GST/HST-bearing expenses, the Quick Method may be cheaper and simpler. If you have high business expenses — like a contractor buying materials — the regular method may be better because your ITCs are large. Use the calculator above to compare your specific numbers.
Who may benefit from the Quick Method?
The Quick Method tends to work best for service businesses with low overhead — because the remittance rate is set assuming you spend a certain portion of revenue on taxable expenses. If you actually spend less, your Quick Method remittance may be lower.
Examples of businesses that often see a benefit:
- Freelancers and independent contractors (writers, designers, developers)
- Consultants and coaches
- Marketing and communications professionals
- IT and software professionals
- Most knowledge-work businesses with minimal physical supplies
If you earn self-employment income alongside a salary, the side hustle tax calculator can help you estimate your full income tax picture alongside your GST/HST obligations.
Who should be careful?
Businesses with high GST/HST-bearing expenses may be better off under the regular method because they can claim back more in ITCs than the Quick Method flat rate may save them.
Examples where the regular method may save more:
- Contractors and tradespeople who buy significant materials
- Retailers who purchase inventory
- Businesses with expensive equipment or substantial recurring supply costs
- Anyone whose Input Tax Credits are large relative to revenue
Use the calculator above to compare. If the regular method appears to save you money, you can continue filing under the standard approach — no special election needed.
Who can use the Quick Method?
To use the Quick Method, your business must have annual taxable supplies of $400,000 or less (including associated businesses) in the previous four consecutive calendar quarters, and you must be a registered GST/HST registrant.
The following types of businesses cannot use the Quick Method:
- Lawyers and notaries
- Chartered professional accountants, bookkeepers, and financial consultants
- Actuaries
- Businesses whose main activity is providing legal, accounting, or similar professional services
- Municipal transit authorities, charities, and certain non-profits (special rules apply)
If you’re unsure, the CRA’s eligibility criteria are published in Guide RC4058.
How to elect the Quick Method
Electing the Quick Method is a formal step — a business does not automatically use it. Generally, you need to elect into it. The effective date of the Quick Method has to be the first day of a GST/HST reporting period. The deadline to make the election depends on whether you file annually, quarterly, or monthly. Confirm the deadline for your specific filing frequency with the CRA or a tax professional before proceeding.
The election can generally be made through one of the following:
- CRA My Business Account: Log in at canada.ca, go to your GST/HST account, and select the Quick Method election option.
- Represent a Client: If your accountant files on your behalf, they can elect through Represent a Client.
- Form GST74: Complete and submit CRA Form GST74 (Election and Revocation of an Election to Use the Quick Method of Accounting).
Once elected, the Quick Method generally stays in effect until you revoke it (also through Form GST74 or My Business Account). Keep records of your election date. Always confirm the specific requirements and deadlines with the CRA or a tax professional for your situation.
Frequently asked questions
- Can I switch back to the regular method?
- Generally, yes. You would need to file a revocation before the start of the reporting period you want the regular method to apply. The revocation can be filed using Form GST74 or through CRA My Business Account. Confirm the deadline for your filing frequency with the CRA.
- Do I still charge customers the full GST/HST?
- Yes. The Quick Method only changes how much you remit to the CRA — you still collect the full rate (5%, 13%, or 15%) from your customers.
- What is the 1% credit?
- Under the Quick Method, the CRA provides a 1% credit on your first $30,000 of eligible GST/HST-included supplies each year. This calculator includes that credit in the estimate.
- Does the Quick Method affect my income tax?
- Yes, indirectly. The difference between what you collect from clients and what you remit under the Quick Method is generally included in your taxable business income. Use the side hustle tax calculator to estimate how your income tax might look alongside your GST/HST.
- Is the Quick Method available in Quebec?
- The Quick Method in Quebec operates under Revenu Québec’s QST rules, not the CRA’s. Consult Revenu Québec directly for QST Quick Method details. Browse the other Sidehub calculators for income tax estimates.