Do General Contractors charge GST on materials twice?
He is attempting to get another 5-13% from you. The charge on the invoice to you for the materials should be the amount BEFORE GST. If on your invoice the fees you are charge is one lump sum of the Home Depot bill including taxes, and then he chrges taxes on this amount then he is infact added the taxes paid on the Home Depot bill to his profits. Example you have a 100.00 Home Depot bill with 5.00 GST On his invoice to you if he charges 105.00 plus tax the 5.00 becomes profits for him as he claims back the GST he paid on the 100 on his GST report. You do not get the GST credit since you are the end consumer. BTW, I’ve seen A lot of contractors do this to “pad” their invoices. They have hidden an addtional 5% profit built in to their work unless you notice it.
