Guides
Do Residential Cleaners Charge GST/HST? A Canadian Tax Guide for Maid Teams
GST/HST for residential cleaning services in Canada: who must register, when to charge tax, and how input tax credits work for maid teams filing returns.
What to take away
- GST/HST applies to most residential cleaning services in Canada; maid teams must register after crossing the $30,000 small supplier threshold.
- You can register voluntarily below the threshold to claim input tax credits on cleaning supplies.
- Rates vary by province, from 5% GST in Alberta and BC to 15% HST in Atlantic provinces and Ontario at 13%.
- Skipping registration exposes you to CRA assessments for uncollected tax plus penalties and interest.
Who has jurisdiction over GST and HST
CRA administers the federal GST and provincial HST under one system. Participating provinces harmonize their tax with GST, so CRA collects a single HST. Non-participating provinces charge GST only, and Quebec adds QST. British Columbia and Alberta charge 5% GST, Ontario charges 13% HST, and Atlantic provinces charge 15% HST.
| Location | Rate you charge |
|---|---|
| Ontario | 13% HST |
| New Brunswick, Newfoundland and Labrador, Nova Scotia, Prince Edward Island | 15% HST |
| Quebec | 5% GST plus 9.975% QST |
| All other provinces and territories | 5% GST |
Confirm the rate where the service is performed, not where your business is based. CRA list of GST/HST rates lists current rates. For teams in condos, also review Canadian provincial strata rules, which add access rules.
What triggers registration
You must register when worldwide taxable supplies exceed $30,000 in one calendar quarter or over four consecutive quarters. Worldwide taxable supplies include all cleaning services invoiced in Canada, regardless of customer type. The threshold is invoiced amounts, not profit or cash received.
Voluntary registration is allowed below $30,000. Once registered, you must charge GST/HST on all taxable supplies, including residential cleaning. You cannot turn registration on and off for individual jobs.
Referrals do not lower the threshold. A home cleaning business that grows by word of mouth still follows the same rule.
GST/HST registration is separate from Ontario Employment Standards Act guide rules on vacation and public holiday pay for employees.
What to submit to register
You need a business number first. CRA uses the same number for payroll, income tax, and GST/HST accounts. If you have no business number, complete Business Registration Online or mail Form RC1. The application asks for:
- legal name and trade name
- business type, such as sole proprietorship or partnership
- business address and mailing address
- description of main activity, like residential cleaning
- fiscal year end and preferred reporting period
- effective date of registration
Steps to register:
- Get a business number from CRA if you do not have one.
- Register for a GST/HST account online or by mail using Form RC1.
- Choose an effective date and reporting period.
- Start charging GST/HST on the effective date and show your business number on invoices.
Invoices must show GST/HST separately. A Sample home cleaning quotes layout can help you format that line.
How long approval takes
Most online registrations issue a business number and GST/HST account immediately. You choose an effective date, usually the date you start charging tax or the first day after you exceed the threshold. Do not issue tax invoices before that date.
Paper applications take longer because of mail and manual processing. Use the online system if you need to start charging tax quickly.
What happens if you skip it
If you exceed the threshold and keep operating without an account, CRA can treat you as a registrant from the date you should have registered. You owe the tax you should have charged, even if customers never paid it.
CRA can assess you for GST/HST you failed to collect as if you had collected it. You cannot use the fact that customers never paid the tax as a defence.
Late-filing penalties start at 1% of the amount owing, plus 25% of that 1% for each complete month late, up to 12 months. Interest compounds daily. The business owner is personally liable if the business cannot pay.
Example
A Toronto maid team has taxable supplies of $24,000 in Q1, $5,000 in Q2, $3,000 in Q3, and $6,000 in Q4. The four-quarter total is $38,000, above $30,000. The team must register and charge 13% HST on later supplies. The owner can then claim input tax credits on purchases of supplies and equipment.
Input tax credits on cleaning supplies
Once registered, recover GST/HST paid on purchases used in commercial activity. Eligible inputs include cleaning chemicals, paper towels, mops, vacuums, and scheduling software. Vehicle fuel for business travel also qualifies. Keep invoices showing the supplier's business number and GST/HST paid. Claim these amounts on each return.
If you register voluntarily below the threshold, you cannot claim ITCs on most purchases made before registration. Some exceptions apply for capital property and inventory.
Staff who buy supplies need to know what a valid receipt looks like. Use a home cleaning staff checklist during onboarding.
Common questions
Do I have to charge GST/HST if I earn under $30,000? No, not unless you register voluntarily. Once registered, you must charge on all taxable cleaning services.
Can I claim input tax credits for supplies I bought before registering? Generally no. You can only claim ITCs for expenses after your registration date, with limited exceptions for capital property and inventory.
Do I charge GST or HST for a cleaning job in Quebec? If registered, charge 5% GST and Quebec's 9.975% QST. In HST provinces, charge the combined HST.
What if I only clean residential homes and never bill businesses? GST/HST applies to most services regardless of customer type. Residential cleaning is taxable, not exempt.
