Question 1

Is GST/HST charged on catering services in Canada?

Accepted Answer

Yes. Under the Excise Tax Act, catering services are considered taxable supplies. GST (5%) applies in all provinces, and HST applies in participating provinces (e.g., 13% in Ontario, 15% in Nova Scotia). Mandatory service charges on invoices are also subject to GST/HST, while voluntary tips are not.

Question 2

What food safety regulations apply to caterers in Canada?

Accepted Answer

Caterers must comply with the federal Food and Drugs Act and Safe Food for Canadians Act, as well as provincial food safety legislation such as Ontario's Health Protection and Promotion Act, BC's Food Safety Act, or Alberta's Public Health Act. All food handlers typically need valid food handler certification, and caterers must hold a food premises permit from their local public health authority.

Question 3

Do I need a liquor licence to serve alcohol at a catered event in Canada?

Accepted Answer

Yes. Each province has its own liquor licensing requirements. In Ontario, a Special Occasion Permit (SOP) from the AGCO is typically required. In BC, a special event permit from the BCLDB is needed. Staff serving alcohol must hold valid certification such as Smart Serve (Ontario), Serving It Right (BC), or ProServe (Alberta). The contract should specify who is responsible for obtaining the licence.

Question 4

What happens if I need to cancel the catering contract?

Accepted Answer

Cancellation terms are specified in the contract, including the notice period and refund percentage. Provincial Consumer Protection Acts provide additional rights, such as the right to cancel future performance contracts. In BC, if a contract is missing required contents, you may have up to one year to cancel. The deposit is typically non-refundable, but the caterer must refund it if they cancel without cause.

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