Manage sales tax easily

Automatically calculate sales tax on transactions and generate sales tax return reports.

Sales tax

Localized sales tax rates

Commonly used Canadian sales tax rates are already set up, or you can create and customize to fit your needs.

Automated calculations

Sales tax on transactions is recorded for you.

Sales tax return reports

Generate sales tax return reports for specific filing periods.

Localized sales tax rates

The relevant tax rates for sales and purchases come set up in Xero and are updated automatically.

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    Set a rate as the default for accounts, contacts or items
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    Alter the sales tax on any line item if needed
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    Add or customize tax rates
A list of tax rates in the Xero application, with the 'Exempt sales' and 'MB - GST/RST' options highlighted.

Automated calculations

Calculate sales tax on each line item in your invoices, quotes, purchase orders, and bills.

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    The tax rate selected for each line item is used to calculate the sales tax
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    Sales tax on a transaction can be tax inclusive or exclusive, or no tax
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    Set up default rates for contacts, inventory items, and accounts
A consultant speaks to a client, with the tax rate option 'BC - GST/PST on Sales' highlighted.

Sales tax return reports

You can generate sales tax return reports for select tax periods with automatic calculations.

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    Default tax rates are automatically mapped to corresponding lines or boxes of the return reports
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    Easily view individual transactions within each return line or box number
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    Track prior period adjustments to account for added, deleted, or edited transactions
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    GST/HST, British Columbia PST, Manitoba RST, and Saskatchewan PST return reports are currently available
The sales tax summary report in Xero, with a summary of taxes by tax component.

More about sales tax

Canada sales tax return reports automatically include transactions that relate to prior return periods – transactions you enter or alter after the return for that period was finalized – from the date you start using the return in Xero.

See how prior period adjustments work

View all your returns along with their status, date, and amount owing or owed. Xero retains historic sales tax return reports so it’s simple to look back and keep business records in Xero.

See available Canadian sales tax return reports

Xero is actively releasing Canadian provincial sales tax return reports province by province. Currently, British Columbia PST, Manitoba RST, and Saskatchewan PST return reports are available.

Start using Xero for free

Access all Xero features for 30 days, then decide which plan best suits your business.

  • Included
    Safe and secure
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    Cancel any time
  • Included
    24/7 online support

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