Does the HST of a write off from a bad debt go on line 103 or line 107?
If anyone has specific references that would be great.
Thanks
Lets assume you only have 1 sale for $100 + $5 GST and no ITC’s, and the sale turns about to be on bad credit. This is how the CRA wants the GST return completed:
Line 101: $100
Line 103: $5
Line 105: $5
Line 106: $0
Line 107: $5
Line 108: $5
Line 109: $0
If you collect on the sale in a future period, and no other sales or ITC in the period you collect.
Line 101: $0
Line 104: $5
Line 105: $5
Line 106: $0
Line 108: $0
Line 109: $5
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