How to Remit GST/QST via Online Banking or Credit Card

Introduction
Remitting GST (Goods and Services Tax) and QST (Quebec Sales Tax) is a critical part of staying compliant with the Canada Revenue Agency (CRA) and Revenu Québec (ARQ). Fortunately, businesses in Quebec can now remit both taxes conveniently through online banking or credit card payments. These electronic methods are fast, secure, and reduce the risk of late payment penalties caused by mail or manual delays.

However, many small business owners make simple mistakes using the wrong payee name, entering an incorrect account number, or remitting to the wrong tax agency. These errors can lead to missed payments, system mismatches, or audit red flags.

At Mackisen CPA Montreal, we help Quebec businesses streamline their remittance process using approved online systems and ensure payments are correctly applied to the proper tax accounts. This guide walks you step-by-step through how to remit your GST and QST electronically, the legal rules behind it, and the compliance standards that protect your business.

Legal and Regulatory Framework
Your obligation to remit taxes accurately and on time is governed by both federal and provincial legislation:

• Excise Tax Act (Canada) s.225 & s.228(1) — requires registrants to remit GST/HST within their reporting period.

• Taxation Act (Quebec) s.407 — obliges QST registrants to remit collected taxes on schedule.

• Tax Administration Act (Quebec) s.59(3) — authorizes daily compounded interest for late payments.

• Excise Tax Act s.280(1) — enforces compounding daily interest and penalties for missed remittances.

These laws give both CRA and Revenu Québec full authority to apply penalties or freeze refunds for late or misapplied payments. The best defense? A precise, documented, and traceable electronic payment system.

Step-by-Step: How to Remit GST/QST via Online Banking or Credit Card

1. Confirm Your Payment Frequency and Amount

   • CRA and Revenu Québec assign your remittance frequency (monthly, quarterly, or annually) based on your sales volume.

   • Check your filing period in CRA’s My Business Account or Revenu Québec’s Mon Dossier.

   • Calculate the exact amount payable after claiming all eligible Input Tax Credits (ITCs) and Input Tax Refunds (ITRs).

2. Set Up CRA and Revenu Québec as Payees in Online Banking

   • Log in to your business online banking portal.

   • Add new payees:

     • For CRA: “CRA GST/HST Payment” or “Receiver General for Canada – GST/HST”.

     • For Revenu Québec: “Revenu Québec – QST/TVQ”.

   • Enter your registration numbers:

     • CRA GST/HST account: 9-digit business number + RT0001 (e.g., 123456789RT0001).

     • Revenu Québec QST account: prefix TQ + 10 digits (e.g., TQ1234567890).

   • Verify that the payee codes match your business accounts exactly.

3. Make the Payment Electronically

   • Choose the correct account and reporting period.

   • Enter the payment amount due.

   • Confirm submission and save the confirmation number or screenshot.

   • Payments are typically applied to your CRA and ARQ accounts within 24–48 hours.

4. Remit via Credit Card (Alternative Method)

   • CRA and Revenu Québec accept credit card payments through third-party service providers such as:

     • PaySimply.ca

     • Plastiq.com

     • Telpay.ca

   • Visit the provider’s site, select GST/HST or QST, and enter your business tax account details.

   • Review processing fees (usually 1.5%–2.5%).

   • Keep proof of payment and transaction ID for your records.

5. Reconcile and Confirm

   • Log back into CRA My Business Account and Revenu Québec Mon Dossier within two business days to confirm payment receipt.

   • If your payment isn’t posted, contact your bank or the relevant agency immediately with your confirmation number.

Jurisprudence and Legal Insight
Courts have reaffirmed the taxpayer’s duty to remit taxes accurately and on time:

• Hickman Motors Ltd. v. Canada (SCC 1997) — taxpayers bear the burden of proving that payments were made correctly.

• Canderel Ltd. v. Canada (SCC 1998) — compliance with filing and payment requirements must reflect commercial reality.

• Royal Bank of Canada v. The Queen (FCA 2012) — even small remittance errors can create enforceable tax liabilities.

These rulings make clear that online payment convenience does not absolve your responsibility to remit precisely and on time.

Documentation: Keeping Proof of Payment and Compliance
Always maintain verifiable proof of every payment, including:

• Online banking or credit card payment confirmations.

• Screenshots or PDFs showing payee name, account number, and payment date.

• CRA and Revenu Québec portal statements showing payment applied.

• Bank statements proving the transaction.

• Correspondence with CRA/ARQ if a payment correction or adjustment was required.

At Mackisen CPA Montreal, we build a Tax Remittance Archive for every client—organizing payment confirmations, portal screenshots, and reconciliations—so if CRA or Revenu Québec ever audits, your proof is complete and immediate.

How CRA and Revenu Québec Audit Payment Compliance
During audits, both agencies verify:

• Whether taxes were remitted on time and in full.

• That payments were applied to the correct account and period.

• That refunds claimed match remitted amounts.

• Whether there are patterns of delayed remittances or missing reporting periods.

Auditors can cross-check your bank records with CRA and ARQ ledgers. If discrepancies are found, penalties and interest are applied retroactively, and future refunds may be withheld.

Winning With CRA and Revenu Québec
At Mackisen CPA Montreal, we ensure every client’s remittances are made correctly, securely, and on time. Our strategic process includes:

1. Remittance Forecasting – We calculate upcoming tax obligations based on current sales and expenses.

2. Online Payee Setup – We configure CRA and ARQ payees in your online banking system.

3. Payment Verification – We confirm that all remittances have been posted correctly in government accounts.

4. Audit-Ready Proof – We compile and archive electronic proof for each remittance.

5. Penalty Relief – If delays occur, we file relief applications under Tax Administration Act s.94.1 or CRA’s Policy P-148.

Mackisen Service Hub: Remittance Management and Compliance
Our Mackisen Service Hub manages tax payments end-to-end. Services include:

• Online remittance setup and testing.

• Monthly, quarterly, or annual remittance scheduling.

• CRA and Revenu Québec payment reconciliation.

• Audit response and penalty mitigation.

• Secure digital archiving for all tax proof documents.

Our bilingual professionals CPA auditors, tax lawyers, and compliance specialists are graduates of McGill, Université de Montréal, and Concordia University, bringing unparalleled experience to Quebec businesses.

Real Client Example
A Montreal marketing agency mistakenly sent its QST remittance to the CRA instead of Revenu Québec, resulting in a $6,400 late-payment penalty. Mackisen CPA coordinated inter-agency payment reallocation, filed a penalty relief application under s.94.1, and secured full penalty cancellation. The firm now remits both taxes via automated online banking, monitored by Mackisen’s Service Hub.

Why Mackisen
With over 35 years of combined CPA and legal experience, Mackisen CPA Montreal is the trusted advisor for electronic GST/QST payment and compliance. We make sure every remittance is accurate, traceable, and compliant, protecting your business from penalties and ensuring smooth, stress-free filing.

When you remit with Mackisen, every payment is on time, every record is complete, and your business runs with total financial confidence and control.