New registrants

If you are a new registrant whether you have voluntarily registered or were required to register, you can claim an input tax credit (ITC) for the GST/HST you paid or owe on goods that you had on hand for use in your commercial activities when you became a registrant. These goods can include:

• capital property;
• real property; and
• inventory.

We consider that you bought the property then and paid GST/HST equal to the basic tax content of the property.

You can also claim an ITC for any GST/HST you prepaid for rent, royalties, or similar payments that relate to the period after you became a registrant. You cannot claim an ITC for the GST/HST you paid or owe on services or accommodation you consumed, used, or supplied during a period before you became a registrant, even if you paid that GST/HST after you became a registrant.

Forms and publications

• Guide RC4022, General Information for GST/HST Registrants
• GST/HST Memoranda Series Chapter 8-1, General Eligibility Rules
• GST/HST Memoranda Series Chapter 8-2, General Restrictions and Limitations

Date modified:

2014-01-13