ITCs claimed at 100%
Because most dental revenue is exempt, most input tax credits aren't claimable. Claiming HST back on everything feels efficient right up until it's reassessed with interest.
Apportioned, documented, defensible
Dentists · orthodontists · hygiene clinics
Dental books with the HST split done right.
Your exams and fillings are exempt. Whitening and retail are taxable. Some appliances are zero-rated. That mix decides what HST you charge and what credits you can claim, and almost every practice we review has it wrong in one direction or the other. We map it, document it, and keep it right, alongside associate splits and hygiene payroll.
Exempt clinical careZero-rated appliancesTaxable cosmetic & retailAssociate splitsHygiene payroll
Where dental books go wrong
Three habits that build audit exposure.
None of these show up on a bank statement. All of them show up in a CRA review, or as cash you quietly gave away.
Taxable revenue buried
Whitening, cosmetic work and product sales blended into one "revenue" line. Nobody notices taxable sales crossing $30,000, and unregistered means uncollected HST you still owe.
Taxable streams tracked against the threshold
Associate math on a napkin
Percentage of collections, minus lab fees, adjusted for write-offs, computed differently every month. Disputes with associates and messy T1 season follow.
Splits computed consistently, in writing
The split that drives everything
One month of production, mapped.
Every revenue stream in a dental practice has its own HST personality. Exempt care charges no HST and earns no credits. Zero-rated supplies charge 0% but keep their credits. Taxable work charges 13% and keeps its credits too.
We build your chart of accounts around that map, so the right share of every expense's HST is claimed, with a worksheet on file that survives a review.
Read the clinic HST guide →June · revenue by HST treatment
Exempt · exams, restorations, hygiene$128,400
Zero-rated · qualifying orthodontic appliances$6,200
Taxable · whitening, cosmetic, retail$4,850
HST collected on the taxable slice$630.50
ITCs claimable · only the taxable + zero-rated shareapportioned
Claim 100% of your ITCs with a book like this and you're overclaiming on the 86% of inputs that serve exempt care. That's reassessment territory.
What we handle
The full practice back office.
One flat monthly price. Your practice management software stays the clinical source of truth; we make the money side agree with it.
Exempt vs taxable mapping
Every revenue stream classified once, correctly, in the chart of accounts, so HST treatment is automatic instead of a year-end argument.
ITC apportionment
A documented, consistent method for claiming the claimable share of input tax credits, with the worksheet on file for the day someone asks.
Associate & hygiene pay
Associate percentages computed consistently with lab fees and adjustments handled the same way every month; employed staff on proper payroll with T4s.
Threshold watching
Taxable revenue tracked against the $30,000 registration threshold, so HST registration is a planned step, never a retroactive surprise.
Overhead ratio reporting
The number every practice advisor asks for, computed the same way every month, with drift flagged before it becomes a trend.
Catch-up & CPA handoff
Behind years? We rebuild and document. At year-end, your file goes to your accountant clean, or to our partner CPA for the T2.
What it costs
Most single-location practices land between $400 and $900 per month, flat, including QuickBooks, reconciliation, the exempt-vs-taxable tracking and monthly reporting. Payroll adds $150 end to end.
Dental FAQ
Asked by every practice owner we meet.
Core clinical care, exams, fillings, hygiene, is exempt. Some orthodontic appliances are zero-rated. Whitening and other cosmetic work, plus retail products, are taxable. Most practices are a mix, and the mix drives what you charge and what credits you can claim. Our clinic HST guide walks through it.
Only if taxable supplies, whitening, cosmetic, products, exceed $30,000 over four consecutive quarters. Many practices stay under; some cross it without noticing, which means uncollected HST you still owe. We track the number so registration is a decision, not a discovery.
Most associates are independent contractors on a percentage of collections or production, but the arrangement needs documentation and consistent math: same treatment of lab fees, adjustments and write-offs every month. Employed staff, hygienists, assistants, admin, run through proper payroll with CPP, EI and T4s. We do both sides.
Most single-location practices land between $400 and $900 per month flat, including QuickBooks Online, reconciliation, exempt-vs-taxable tracking and monthly overhead reporting. No hourly billing.
Keep reading
Related reading & services.
Thirty minutes on your HST treatment.
Findings in writing, free.
We'll review how your revenue streams and input tax credits are handled today and hand you a written summary, including anything worth fixing before the CRA finds it.
On a call or in person · no passwords · findings are yours either way