Question
Candace started a proprietorship to provide consulting services in 2019 and is expected to receive $20,000 in fees from clients for the whole year.Her expenses
Candace started a proprietorship to provide consulting services in 2019 and is expected to receive $20,000 in fees from clients for the whole year.Her expenses for the year totaled $5,000 primarily because of start-up expenses.Going forward, she expects annual revenues in the range of $20,000 to $30,000 and expenses to approximate 10% of revenues.Assume that all operations have been and will continue in B.C. and that all provided figures are without GST but are subject to GST, if registered.
Based on your answers to Question 10 and above information regarding Candace, should she have registered for GST?Justify your answer.
No, she doesn't have to register for GST.
Because her business is small, and the annual revenues is less than 30,000.
However, she might register for GST even though it's not required.
Assuming Candace has registered for GST, calculate her GST Payable liability for 2019 under two alternatives (with or without the Quick Method) and make a supported recommendation regarding Candace's course of action.
For your supported recommendation above, prepare the 2019 GST Return for Candace, commenting on filing and payment deadlines applicable to her.
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