Define the Matter
6. REFLECT: Step back and take a holistic view of the judgment process undertaken and the conclusion reached.
Alberta
Retailers operating in or selling/delivering goods to Alberta collect 5% GST.
Total tax: 5%
Tax type: GST
PST Requirements: Alberta does not have PST.
Saskatchewan
Retailers operating in or selling/delivering goods to Saskatchewan collect 5% GST and 6% PST.
Total tax: 11%
Tax type: GST and PST
PST Requirements: Out-of-province retailers collect PST on goods used or consumed in, or delivered to Saskatchewan, and/or if they solicit orders through advertising or other means to purchasers in, or accept purchase orders from customers in Saskatchewan.
Manitoba
Retailers operating in or selling/delivering goods to Manitoba collect 5% GST and 8% PST*.
Total tax: 13%
Tax type: GST and PST
PST Requirements: Out-of-province retailers collect PST on goods used in (and not for resale) or delivered to Manitoba, and/or if they solicit orders through advertising or other means to purchasers in, or accept purchase orders from customers in Manitoba.
*Manitoba will reduce PST to 7% effective July 1, 2019. Retailers will need to adjust their POS and other back office systems.
Ontario
Retailers operating in or selling/delivering goods to Ontario collect 13% HST.
Total tax: 13%
Tax type: HST
PST Requirements: While there is no PST in Ontario, GST registrants are automatically registered for and must collect Ontario’s HST.
Québec
Retailers operating in or selling/delivering goods to Québec collect 5% GST and 9.975% QST.
Total tax: 14.97%
Tax type: GST and QST
PST Requirements: Out-of-province retailers collect QST on all taxable goods sold to customers in Québec. This includes the sale of digital goods.
Newfoundland & Labrador
Retailers operating in or selling/delivering goods to Newfoundland & Labrador collect 15% HST.
Total tax: 15%
Tax type: HST
PST Requirements: While there is no PST in Newfoundland and Labrador, GST registrants are required to collect the province’s HST.
New Brunswick
Retailers operating in or selling/delivering goods to New Brunswick collect 15% HST.
Total tax: 15%
Tax type: HST
PST Requirements: While there is no PST in New Brunswick, GST registrants must collect New Brunswick’s HST.
Prince Edward Island
Retailers operating in or selling/delivering goods to P.E.I. collect 15% HST.
Total tax: 15%
Tax type: HST
PST Requirements: While there is no PST in P.E.I., GST registrants are required to collect the province’s HST.
Nova Scotia
Retailers operating in or selling/delivering goods to Nova Scotia 15% HST.
Total tax: 15%
Tax type: HST
PST Requirements: While there is no PST in Novtia, GST registrants are required to collect the province’s HST.
Yukon
Retailers operating in or selling/delivering goods to Yukon collect 5% GST.
Total tax: 5%
Tax type: GST
PST Requirements: Yukon does not have PST.
Northwest Territories
Retailers operating in or selling/delivering goods to Northwest Territories collect 5% GST.
Total tax: 5%
Tax type: GST
PST Requirements: Northwest Territories does not have PST.
Nunavut
Retailers operating in or delivering goods to Nunavut collect 5% GST.
Total tax: 5%
Tax type: GST
PST Requirements: Nunavut does not have PST.
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PROFESSIONAL JUDGMENT
Specify
Objectives
Define
the Matter
Identify
Possibilities
Gather and Analyze Info
Reach
Conclusion
Reflect
coach
consult
avoid traps and biases
document
communicate
communicate
document
avoid traps and biases
consult
coach
Reflect
Reach
Conclusion
Gather and Analyze Info
Identify
Possibilities
Specify
Objectives
Define
the Matter
BUSINESS ACUMEN: A broad-based understanding of the entity’s business and the industry and macroeconomic climate in which it operates, as well as
the emotional intelligence to navigate interpersonal interactions professionally and effectively.
APPROPRIATE MINDSET: Appropriate mindset implies an attitude of professional skepticism—an attitude that includes being thoughtful, questioning, and evaluative, and critically assessing the appropriateness and sufficiency of audit evidence.
TECHNICAL KNOWLEDGE: A thorough understanding of the applicable accounting and auditing standards, and audit methodology, as well as any other specialized skills or knowledge that are relevant to a particular judgment.
Baseline Attributes
COMMUNICATE: Appropriately conveying outputs of the judgment process to relevant parties in order to satisfy professional standards and expectations of the firm and all stakeholders.
DOCUMENT: Creating a sufficient record of the approach to making a judgment, including important aspects of the baseline attributes brought to bear, the essential iterative actions taken, and the steps involved in a sound judgment process.
AVOID TRAPS AND BIASES: Proactively identifying where a judgment might be compromised by systematic judgment traps and biases and taking steps to mitigate their potential to undermine the quality of the judgment. Refer to the Mini-Guide for Common Biases & Traps.
CONSULT: Making use of resources outside of the team to ensure adequate levels of the baseline attributes are present, provide alternative perspectives, and appropriately involve the firm in judgments that involve the management of significant risks.
COACH: Using the process of engaging in a significant judgment as an opportunity to develop and accelerate the judgment and business maturity of our professionals.
Iterative Actions
6. REFLECT: Step back and take a holistic view of the judgment process undertaken and the conclusion reached.
5. REACH CONCLUSION: Reach a judgment conclusion or decide on an action to be taken based on the information gathered and analyzed in Step 4.
4. GATHER AND ANALYZE INFO: Identify, gather, and analyze the information in terms of how each conclusion or action might lead to the achievement of objectives specified.
3. IDENTIFY POSSIBILITIES: Identify all the possible conclusions or actions that allow us to achieve the objective. The judgment is only as good as the possibilities considered.
Specify
Objectives
2. SPECIFY OBJECTIVES: Clearly specify what is to be achieved by making a judgment or coming to a conclusion.
Define
the Matter
Judgment Steps
1. DEFINE THE MATTER: Clearly and comprehensively articulate the matter to be addressed, the risks involved, and the judgment to be made.
Identify
Possibilities
Gather and Analyze Info
Reach
Conclusion
Reflect
coach
consult
avoid traps and biases
document
communicate
Judgment Steps
Judgment Steps
Judgment Steps
Judgment Steps
Judgment Steps
Iterative Actions
Iterative Actions
Iterative Actions
Iterative Actions
Baseline Attributes
Baseline Attributes