ISBN: 978-1-4249-5482-7 (Print), 978-1-4249-5484-1 (PDF), 978-1-4249-5483-4 (HTML) Published: December 2007
Line 1 Total Sales
Enter your total sales (rounded to the nearest dollar). You must include all taxable and non-taxable sales of goods and services that you made from Ontario locations. If you have locations outside Ontario, you must also include sales made from those locations into Ontario. Do not include GST or RST. If you have no sales to report, you must still file your return. Simply enter 0 on Line 1.
Line 2 Tax Collectable Sales
Determine your total tax collectable on sales during the reporting period and then deduct from that amount the eligible compensation calculated and previously reported at line 5. The result of this calculation must then be entered on line 2 (Tax Collectable on Sales - Compensation = Net amount entered on line 2). Even if you have not yet collected the RST, you still have to report all RST charged to your customers during the filing period. If you have no RST to report, enter 0 on Line 2.
Tax Payable for Own Use
Enter the amount of RST owing on taxable goods or services that you used in your business and that you purchased without paying RST .
This includes items you:
- took from your inventory for your own use
- manufactured for your own use
- brought into Ontario for your own use
- purchased tax-exempt in error
If you are a manufacturing contractor, you will use Line 3 to report the RST you owe on the cost of goods manufactured for use in real property contracts. For further information, please refer to RST Guide 401 - Manufacturing Contractors .
NOTE: Line 3 will never be a negative amount that reduces your RST payable. It will be a 0 or an additional amount of RST owing.
Line 4 Current Penalty
If you file your return after the due date and/or you don't pay what you owe in full, you must pay a penalty and enter the amount on Line 4.
You can calculate the penalty as follows: