Recovery of the GST/HST Under the Digital Economy Measures

GST/HST Notices - Notice 322
April 2022

This notice provides information about how a recipient can recover the GST/HST paid on supplies of cross-border digital products and services, as well as platform-based short-term accommodation.

Except as otherwise noted, all statutory references in this publication are to the provisions of the Excise Tax Act (ETA). The information in this publication does not replace the law found in the ETA and its regulations.

If this information does not completely address your particular situation, you may wish to refer to the ETA or relevant regulation, or call GST/HST Rulings at 1‑800‑959‑8287 for additional information. If you require certainty with respect to any particular GST/HST matter, you may request a ruling. GST/HST Memorandum 1-4, Excise and GST/HST Rulings and Interpretations Service, explains how to obtain a ruling or an interpretation and lists the GST/HST rulings centres.

If you are located in Quebec and wish to request a ruling related to the GST/HST, please call Revenu Québec at 1‑800‑567‑4692. You may also visit the Revenu Québec website at to obtain general information.

For listed financial institutions that are selected listed financial institutions (SLFIs) for GST/HST or Quebec sales tax (QST) purposes or both, whether or not they are located in Quebec, the CRA administers the GST/HST and the QST. If you wish to make a technical GST/HST or QST enquiry related to SLFIs, please call 1‑855‑666‑5166.

GST/HST rates

Reference in this publication is made to supplies that are subject to the GST or the HST. The HST applies in the participating provinces at the following rates: 13% in Ontario and 15% in New Brunswick, Newfoundland and Labrador, Nova Scotia and Prince Edward Island. The GST applies in the rest of Canada at the rate of 5%. If you are uncertain as to whether a supply is made in a participating province, refer to GST/HST Technical Information Bulletin B-103, Harmonized Sales Tax – Place of Supply Rules for Determining Whether a Supply is Made in a Province.

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New GST/HST measures in respect of supplies of cross-border digital products and services, as well as platform-based short-term accommodation, became effective on July 1, 2021. Under those measures, non-resident businesses, including digital platform operators, are generally required to register under a simplified GST/HST framework and collect the GST/HST in respect of those supplies, as explained in Excise and GST/HST News No. 109.

Collection of the GST/HST

A key component of the measures is that a business or platform is not required to collect the GST/HST in respect of those supplies if the recipient is registered under the normal GST/HST rules and provides their GST/HST registration number to the business or platform when the supply is made. If such a recipient does not provide their registration number at that time, the business or platform is required to collect tax in respect of those supplies.

Recovery of the GST/HST

Pursuant to section 211.17 of the ETA, a recipient is generally not allowed to claim an input tax credit, rebate, refund or remission in respect of any GST/HST that is required to be collected by a person that is registered under the simplified GST/HST regime. However, a number of exceptions exist; in particular, where a recipient that is registered under the normal GST/HST rules has paid the GST/HST to a supplier that is registered under the simplified GST/HST regime, the recipient may approach the business or platform and seek a refund or credit of the amount that was paid, pursuant to section 232 of the ETA. The recipient would need to demonstrate to the supplier that their registration under the normal GST/HST rules was in effect at the time the supply was made.

Additional information

Additional information on procedures for refunds and adjustments of the GST/HST may be found in GST/HST Memorandum 12-2, Refund, Adjustment, or Credit of the GST/HST under Section 232 of the Excise Tax Act.

For more information on the digital economy measures, please go to GST/HST for digital economy businesses or contact the Canada Revenue Agency (CRA) either by calling 1‑833‑585‑1463 in Canada and the U.S. (toll-free) or 613‑221‑3154 if calling from elsewhere (collect calls are accepted), or by emailing the CRA at

Further information

All GST/HST technical publications are available at GST/HST technical information.

To make a GST/HST enquiry by telephone:

  • for GST/HST general enquiries, call Business Enquiries at 1‑800‑959‑5525
  • for GST/HST technical enquiries, call GST/HST Rulings at 1‑800‑959‑8287

If you are located in Quebec, call Revenu Québec at 1‑800‑567‑4692 or visit their website at

If you are a selected listed financial institution (whether or not you are located in Quebec) and require information on the GST/HST or the QST, go to GST/HST and QST - Financial institutions, including selected listed financial institutions or:

  • for general GST/HST or QST enquiries, call Business Enquiries at 1‑800‑959‑5525
  • for technical GST/HST or QST enquiries, call GST/HST Rulings SLFI at 1‑855‑666‑5166
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