Sales Recording Module

Revenue Quebec Introduces Mandatory Billing in the Restaurant Sector

As of September 2010, all restaurateurs will be obligated to provide bills to their patrons. The obligation to produce bills via a sales recording module (SRM) will be implemented progressively from September 2010 to November 2011. This is a government initiative aimed at countering tax evasion in the restaurant sector.

Installations will begin first in new restaurants and in establishments whose restaurateurs have failed to fulfill certain tax obligations. Beginning November 1, 2011, all restaurants registered for the QST will have to use a module.

Pilot Project

A pilot project was launched on November 9th, 2009 with the help of 50 or so restaurants throughout the province to help assess the functionality of the sales recording modules, as well as the logistics of implementation into restaurants’ operational processes and billing systems.

What is a Sales Recording Module?

A sales recording module is a microcomputer connected to a point-of-sales (POS) system or a cash register. Its function is to receive data related to commercial transactions. The modules record transaction information (e.g. sales and taxes) in secure data storage. Once the data has been stored, the device produces a digital signature and sends the necessary information to print a digitally signed invoice to a printer.

Why the Restaurant Sector?

Revenue Québec is putting forth initiatives in all sectors of economic activity in which tax evasion prevails, targeting businesses and individuals alike. The restaurant sector, despite major efforts to counter tax evasion, still experiences significant tax losses and thus is one of Revenue Québec’s targeted sectors.

Revenu Québec estimates tax losses to be $417 million dollars for 2007-2008. These losses include approximately $133 million in QST collected by restaurateurs, but not remitted to Revenu Québec, and approximately $84 million in GST.