May 9th, 2024
Following the announcement in the latest federal budget, supplies of masks and face shields made after April 2024 will be subject to GST/HST.
GST/HST on masks and face shields
The 2024 Budget proposes to amend the Excise Tax Act to repeal the temporary zero-rating of certain masks, respirators and certain face shields under the GST/HST. It was suggested that the temporary relief announced in the Fall 2020 Economic Statement be in effect until the use of face coverings is no longer widely recommended by public health officials for the purposes of the COVID-19 pandemic.
This measure would apply to supplies made on or after May 1, 2024.
QST
In keeping with the general principle of harmonizing the Quebec Sales Tax (QST) with the Goods and Services Tax/Harmonized Sales Tax (GST/HST), the Ministère des Finances du Québec is also announcing that the QST will be amended to incorporate the federal measure to abolish the temporary zero-rating of face masks and screens, while adapting it to the general principles of the QST. The amendment to the QST regime will be adopted only after any federal legislation giving effect to this measure has been assented to, taking into account any technical amendments that may be made prior to assent.
This amendment will apply from the same date as the federal measure to which it harmonizes.
