CRA small-supplier threshold explained for POD sellers

The threshold is based on taxable supplies, not profit

For most businesses, the small-supplier threshold is $30,000 of worldwide taxable supplies, including zero-rated supplies, before expenses. Add relevant revenue across Etsy, Shopify, wholesale, markets, and other channels; do not subtract POD production costs or platform fees when testing the threshold.

Associated persons may need to be considered together. Exempt supplies and certain financial services are treated differently, so a mixed business should get advice on its facts.

Two tests run at the same time

The first test asks whether you exceed $30,000 in a single calendar quarter. The second asks whether you exceed $30,000 over the last four consecutive calendar quarters. The registration timing is not identical, which is why a rolling dashboard is more useful than a year-end total.

• Record gross taxable sales by transaction date and channel.
• Reconcile refunds and cancelled orders consistently.
• Review the current quarter and rolling four-quarter total every month.
• Save the calculation that supported your registration decision.

After registration

Once registered, you generally charge GST/HST on taxable supplies according to the applicable rules, file returns, and may claim eligible input tax credits supported by proper documentation. Provincial PST and QST systems are separate; GST/HST registration does not automatically settle every provincial obligation.

Voluntary registration can be possible before the threshold, but it also creates collection, filing, and recordkeeping duties. Compare the input-tax-credit benefit with the administrative cost before deciding.