Narston Ltd

Essay

Narston Ltd. operates in Alberta which does not participate in the HST program and has no provincial sales tax. For the current year, Narston Ltd. has GST inclusive sales of $472,500. It has purchases of merchandise and other current expenditures of $320,000 before the inclusion of GST. Capital expenditures consisted of real property in the amount of $85,000 and capital personal property in the amount of $23,000. These amounts are before the inclusion of GST.
Using the simplified method of accounting for input tax credits, calculate Narston's GST payable or refund for the current year.