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keepoffthegrass
03-19-2007, 03:36 PM
I was wondering, when billing a customer and calculating GST, lets say on a yard of mulch for example. How would you calculate GST if you charge by the yard installed with the labour and material cost combined.

CLARK LAWN
03-19-2007, 04:24 PM
what is GST?

keepoffthegrass
03-19-2007, 04:31 PM
Government sales tax(GST 7%) its candian so a lot of people on here may not now what it is.

I was just wondering how you would charge tax(GST) on a Yard Of Mulch installed for 70$. And it would typically cost me 25$ a yard..

CLARK LAWN
03-19-2007, 05:08 PM
if there is no tax on labor then just charge it on the RETAIL cost of the mulch.

keepoffthegrass
03-19-2007, 05:57 PM
Sorry, I was mistaken. I meant "goods & service tax" we have to collect 7% on all goods and service we perform. Its different in each province. I was just wondering if we charge it on the full (lets say) $75/yard or just the labour . But now that i think of it, since we the contractor pay 7% when purchasing the material it makes sense to charge the customer 7% , correct?