How to Do a GST Return: Step-by-Step Guide for NZ and Canada
Filing a GST return is straightforward until you factor in country-specific deadlines and penalty regimes — whether you are a small business owner in New Zealand or a consultant in Canada. The core task remains the same: report sales and purchases, then settle the difference with the tax authority, and this guide walks through the exact steps for both regimes.
NZ due date: 28th of the following month ·
Canada due date (monthly/quarterly): 1 month after period end ·
NZ late penalty: Penalties apply ·
Canada late-filing penalty: 1% of amount owing + 25% of that per month (max 12) ·
Both: Nil returns still require filing
Quick snapshot
- A GST return requires reporting sales, GST collected, purchases, and GST paid, then calculating net payable or refundable (New Zealand Inland Revenue – tax authority guidance)
- Canada requires most GST/HST registrants to file electronically (Canada Revenue Agency – federal tax regulator)
- Exact future changes to return composition (e.g., proposed invoice-matching revival) are not yet settled
- Individual state-level variations in late-fee leniency remain unclear for some jurisdictions
- New Zealand generally requires GST returns by the 28th day of the month following the taxable period (New Zealand Inland Revenue – official deadlines)
- Canada’s monthly/quarterly returns are due one month after the reporting period ends (Canada Revenue Agency – filing deadlines)
- Both tax agencies expect digital filing; paper returns are exceptions
- Non-filing for long periods can lead to registration cancellation or legal notices
The table below compares the key filing attributes across the two jurisdictions.
| Attribute | New Zealand | Canada |
|---|---|---|
| Filing channels | myIR, accounting software, paper (limited) (NZ Inland Revenue – filing methods) | Electronic filing (mandatory for most) (Canada Revenue Agency – electronic requirement) |
| Standard due date | 28th day after period end (exceptions for Mar & Nov periods) (NZ Inland Revenue – due dates) | One month after period end (monthly/quarterly); three months after fiscal year (annual) (Canada Revenue Agency – annual filer deadlines) |
| Late-filing penalty | Penalties may be charged (NZ Inland Revenue – penalty warning) | 1% of amount owing + 25% of that 1% per month (max 12 months) (Canada Revenue Agency – penalty formula) |
| Late-payment interest | Late-payment penalty may apply (NZ Inland Revenue – payment deadline) | Interest charged on overdue amounts (Canada Revenue Agency – consequences) |
| Nil return required? | Yes, for every taxable period (NZ Inland Revenue – nil return requirement) | Yes, must file even if no activity (Canada Revenue Agency – electronic filing) |
How do we file a GST return?
Gather necessary documents
- Sales invoices and GST collected records
- Purchase invoices and GST paid or recoverable
- Any credit notes or adjustments
The core of any GST return is comparing the GST you collected from customers with the GST you paid on business purchases. New Zealand Inland Revenue (tax authority guidance) explains that you report taxable sales, GST collected, business purchases, and GST paid, then calculate the net amount payable or refundable.
Log in to the GST portal
- New Zealand: use myIR (NZ Inland Revenue – myIR access)
- Canada: use the CRA’s My Business Account or authorized software (Canada Revenue Agency – electronic filing)
For more on the New Zealand process, check our How to Do a GST Return: NZ IRD Guide, Costs & Penalties.
Select the correct return form
- New Zealand: GST101A (standard) or GST102 (for some special cases) – via myIR
- Canada: the main return is Form GST34 (for all filers), with schedules for specific scenarios
Both countries require at least one return per taxable period. NZ Inland Revenue (official requirements) states that a return must be filed for every period, including nil periods.
Enter invoice details and file
- Input total sales and purchases (including GST components)
- System calculates net GST owing
- Review and submit
NZ Inland Revenue (filing guidance) notes that accounting software can auto-populate many fields, reducing manual errors.
See the comprehensive Step-by-Step Guide for 2025 for the full filing workflow.
Pay any due tax and submit
- New Zealand: payment due same day as return (NZ Inland Revenue – payment deadline)
- Canada: payment due on the return due date; late payment accrues interest
In both countries, filing alone is not enough — the payment must arrive by the deadline or penalties kick in.
The implication: timely submission of both return and payment is the default expectation in both countries, with little room for leniency.
Who is mandatory to file a GST return?
Registered businesses under GST
- New Zealand: businesses with turnover above NZD 60,000 must register and file (NZ Inland Revenue – registration requirement)
- Canada: businesses with worldwide taxable supplies over CAD 30,000 must register (Canada Revenue Agency – mandatory registration)
Check our specialised NZ guide for local thresholds.
Composition scheme dealers
Both jurisdictions have simplified schemes for small businesses: New Zealand has the “Payments Basis” for those with turnover under a limit; Canada has the “Quick Method” for GST/HST. These reduce filing complexity but still require periodic returns.
Special entities
- Non‑resident taxable persons (both countries require filing if they carry on business and meet thresholds)
- E‑commerce operators and platforms may have additional reporting obligations
Canada Revenue Agency (GST/HST overview) clarifies that any person registered for GST/HST must file returns, regardless of whether any tax is owed.
The catch: the threshold-based approach means that growing businesses must monitor their turnover closely to avoid falling behind on obligations.
What is the easiest way to file your own GST return?
Using the official portal directly
- New Zealand: myIR provides a guided step‑by‑step interface (NZ Inland Revenue – online filing)
- Canada: My Business Account offers a similar guided experience (Canada Revenue Agency – electronic filing)
Offline utilities and bulk upload
New Zealand provides a bulk upload option via myIR for businesses with many transactions. Canada supports file upload formats through its “GST/HST NETFILE” system.
Third‑party accounting software
- Software like Xero, MYOB, QuickBooks, and Sage can auto‑populate return data from your transactions
- This eliminates manual data entry and reduces transcription errors
NZ Inland Revenue (filing options) acknowledges that accounting software integration is the most efficient path for businesses with high transaction volume.
For a sole trader with a handful of invoices, the free government portal works fine. For anyone processing more than 20 transactions a month, accounting software saves hours and catches errors.
The pattern: choosing the right filing method depends on transaction volume, but the official portals remain the free and reliable baseline.
Do I need an accountant for GST return?
When self‑filing is sufficient
- Simple transactions (mostly domestic, few purchases)
- Nil returns (no activity in the period)
- One‑person business with no international sales
Our beginner’s walkthrough covers the entire process for solo filers.
When to hire a GST practitioner
- Export or import transactions with cross‑border GST nuances
- Multiple business branches or registrations
- Complex input tax credit reconciliation
- Receiving a demand to file from the tax authority – the CRA notes a separate $250 penalty for failure to file after a demand (Canada Revenue Agency – demand penalty)
Cost comparison
- Self‑filing: free (portal) or subscription fee for software (typically $20–$50/month)
- Professional: fees vary widely from $150 to $500 per return, depending on complexity
For many small businesses, the cost of an accountant is justified only when the risk of error (and resulting penalties) outweighs the fee.
The distinction: the decision ultimately rests on complexity — the simpler the business, the stronger the case for self-filing.
What happens if I don’t file a GST return?
Late fee and interest
- New Zealand: penalties may be charged on late returns and late payments (NZ Inland Revenue – penalty warning)
- Canada: late‑filing penalty = 1% of amount owing + 25% of that 1% per month, capped at 12 months. Plus interest on unpaid tax (Canada Revenue Agency – penalty formula)
Notice from tax authorities
- Both NZ Inland Revenue and CRA will send reminders and, eventually, demands
- Canada imposes a separate $250 penalty if a demand is ignored (Canada Revenue Agency – demand penalty)
Cancellation of registration
- New Zealand: persistent non‑filing can lead to deregistration
- Canada: CRA may cancel your GST/HST registration if you fail to file for a prolonged period
NZ Inland Revenue (consequences) warns that extensions of time are not generally granted, so missing a deadline is considered a violation.
Even a nil return must be filed. Skipping it triggers the same penalty clock as a return with tax owing. In Canada, if your return is late and you owe tax, the penalty escalates quickly: 1% of the amount plus 0.25% per month.
The takeaway: the escalating penalty structure in both countries is designed to deter non-compliance, making timely filing the only safe strategy.
Frequently asked questions
What documents are needed to file a GST return?
You need sales invoices showing GST collected, purchase invoices showing GST paid, any credit or debit notes, and your business’s GST registration number. Both NZ and Canada require records of all taxable supplies and inputs for the period.
Can I revise a filed GST return?
Yes. In New Zealand you can amend a return via myIR within a certain period. The CRA allows adjustments using Form GST20 or online. Amendments may be subject to review and additional interest if they increase tax payable.
What is the difference between the main forms in each country?
New Zealand uses GST101 (standard) and GST102 (for special cases). Canada uses GST34 (standard return) with optional schedules. Both serve the same purpose: reporting totals, not individual invoices.
How do I file a nil GST return?
Both countries require nil returns if you have no activity. In New Zealand, you can file a nil return through myIR quickly. In Canada, you must still submit a return indicating zero amounts. Failing to file a nil return incurs penalties.
Is there a fee for using the GST portal?
No. The official portals (myIR for NZ, My Business Account for Canada) are free. Third‑party software or professional fees are optional costs.
What is the filing frequency for annual filers?
In Canada, annual filers must file three months after the fiscal year end. New Zealand also permits annual filing for certain small businesses, with the return due 28 days after the year‑end.
How can I check the status of my filed GST return?
Both NZ and Canada allow you to check filing history and refund/payment status via online accounts (myIR or My Business Account). Processing times vary; refunds in Canada may take 2–4 weeks.
“In New Zealand, you must file a GST return for every taxable period, including nil returns. Deadlines are strict — extensions are not generally granted.”
New Zealand Inland Revenue (official guidance)
“For Canadian businesses, electronic filing is mandatory for most registrants. The penalty for late filing can escalate quickly if tax is owing.”
Canada Revenue Agency (filing requirements)
The pattern across both countries is clear: filing a GST return is a routine obligation, not a disaster — but only if you meet the deadlines. For the small business owner in New Zealand, missing the 28th means facing penalties that compound. For the Canadian registrant, the penalty formula (1% + 0.25% per month) makes every overdue month more expensive. The takeaway: file on time, even if you owe nothing. If your business is growing or has international transactions, a one‑hour consultation with a GST practitioner can save you more in penalties than it costs.
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