Prince Edward Island has released transitional rules for its upcoming increase of the HST to 15% (from 14%) effective October 1, 2016.
Certain businesses, especially builders, are affected by these rules starting June 16, 2016. The province provides general descriptions of the rules on its website.
For many supplies, the transitional rules generally require suppliers to collect 15% HST on the consideration that becomes due without having been paid, or is paid without having become due, on or after October 1, 2016. For GST/HST purposes, the consideration for a supply generally becomes due on the earliest of:
The province also notes other specific transitional rules that apply for certain transactions, including real property transactions.
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