The $30K Milestone: What Changes When Your Side Hustle Crosses the GST Threshold
In Canada, the $30,000 gross revenue threshold is the invisible line where a hobby becomes a business in the eyes of the CRA.
Key Rules
Revenue, Not Profit
The threshold is based on your total sales before expenses. It doesn't matter if you're barely breaking even — if your gross revenue hits $30K, you're on the CRA's radar.
Four Consecutive Quarters
It's calculated on a rolling basis, not just the calendar year. The CRA looks at any four consecutive calendar quarters to determine if you've crossed the line.
The 30-Day Window
Once you hit the limit, you have 30 days to register for a GST/HST account. Miss this window and you'll owe back-taxes on sales you already made — without having collected the tax from your customers.
Quick Method GST/HST
NorthOS is built around the Quick Method — the CRA-approved simplified approach for most small businesses. Instead of tracking every individual expense for GST/HST purposes, you remit a flat percentage of your gross revenue. Less math, less paperwork, and your remittance is always calculated automatically.