How can I owe money on the gst/hstc?

Question

I recently filed my taxes and received my info back in the mail saying I owe about $90, About a week later I received another letter fabout the gst/hstc stating that I owe $120. How do I owe money for this? I thought these were applications for the credit, either you get a credit or you don't? Also, i thought everyone was getting some sort of hst credit. anyone know anything about this?

Answer 1

You really don't give enough details. What did the assessments say???

Answer 2

If the CRA asks for some of the credit back, it's because you were assessed (or reassessed) and they discovered that you were not entitled to receive it.



This usually happens when the income you reported on your tax form wasn't correct according to their information, or because you claimed you were single when you were not as the credit is based on family income.



You should read over the Notice of Reassessment that they mailed you, or call them up and ask them why the amount is due.

Answer 3

"How do I owe money for this?"



The likely scenario is that you were overpaid in the past, and CRA wants its money back.



The GST credit is based on your income. If your return shows more income than was previously reported, then CRA has to recalculate your entitlement. If you've been overpaid, they'll ask for the money back.



This situation normally happens only when you file your returns late.