Invoice for Work Completed in Canada

An invoice for work completed is the final payment request after the agreed work, walkthrough, delivery, or contractual milestone is finished. It should connect the original estimate or contract to what was actually delivered, include approved changes, credit deposits and earlier payments correctly, apply the relevant taxes, and state the remaining balance without ambiguity.

The phrase "work completed" is not evidence by itself. A useful final invoice names the project, actual completion or milestone date, accepted scope, outstanding deficiencies if any, and the documents supporting extras. That detail helps a homeowner understand the bill and helps a business client's accounts-payable team approve it.

Final invoice, progress invoice, paid invoice, or receipt?

Do not label a document "paid" before the funds are confirmed. Do not call a progress draw final when deficiencies, another milestone, or a contractual holdback still remain.

Canadian final invoice example

This Ontario renovation example is illustrative. The contract treats a $3,750 deposit plus HST as a payment against the final taxable contract amount.

Field | Example

HST 13% | $1,722.50

The deposit line identifies what was already paid instead of silently reducing the price. Keep the tax treatment consistent with the deposit document and your records so the same consideration is not taxed twice or omitted.

Completion wording to adapt

Use wording that describes facts you can support

"Final invoice for kitchen renovation under estimate Q-2026-041. Contract work and approved change order CO-02 were completed on August 27, 2026. Final walkthrough completed with the client on the same date. Deposit received July 2, 2026, has been credited below."

If minor deficiencies remain, say so instead of declaring unconditional completion

"Main contract scope reached the final billing milestone on August 27, 2026. The attached deficiency list remains scheduled for September 3, 2026. This invoice follows the payment milestone and warranty terms in the signed agreement."

Do not invent client acceptance, inspection, or warranty language. If no sign-off occurred, state the actual delivery or service date and attach the relevant work record.

What to include on the final invoice

• Contractor legal or operating name and contact information.
• Client name, billing address, and project or service address.
• Unique invoice number, issue date, and exact due date.
• Estimate, contract, purchase-order, or work-order reference.
• Completion date or final milestone reached.
• Clear labour, materials, equipment, permit, and travel lines where relevant.
• Each approved change order with its number and approval reference.
• Original subtotal, applicable credits, prior payments, and remaining balance.
• GST/HST registration number and tax details when required.
• Interac, EFT, cheque, or card-payment instructions.
• Warranty, deficiency, and supporting-document notes that match the agreement.

The CRA's documentation table explains the information a purchaser needs to support an input tax credit. The current table includes the supplier's GST/HST registration number for supplies of $100 or more. For $500 or more, it also includes the purchaser's name, a brief description, and payment terms.

Deposits and earlier draws

Show each earlier payment with a date and document reference. A client should be able to reconcile the contract total to the current balance without opening five PDFs.

For a single deposit, one credit line may be enough. For a longer project, add a cumulative summary:

Use Progress Billing Canada for Contractors | Deposits, Draws & Final Invoices for deposits and milestone draws. The final invoice should not erase those documents; it closes the billing sequence they created.

Change orders belong in the record

Do not hide extra work inside a broad "additional labour" line. Reference the approved change number, description, approval date, and amount. If an extra was not approved according to the agreement, resolve that dispute before representing it as accepted work.

A strong line reads: "CO-02: relocate sink plumbing and add shutoff valves, approved by email August 14, 2026." Attach the signed or written approval when the client or accounts-payable process expects it.

Taxes and the final balance

GST, HST, QST, and provincial sales-tax treatment depends on registration, place of supply, what was sold, and how deposits or progress payments were documented. Use the same tax basis across the estimate, deposit, progress invoices, and final invoice. Do not copy an Ontario HST example into Quebec or British Columbia without checking the applicable rules.

For Quebec, TPS is generally 5% of the selling price and TVQ is 9.975% of the price excluding TPS. For GST/HST invoice documentation, use the current CRA guidance linked above. Your accountant or tax authority should decide unusual timing, holdback, mixed-supply, or credit-note questions.

Construction holdback is province-specific

A final invoice does not automatically make every dollar payable immediately. Construction legislation, the contract, a certificate, deficiencies, and lien or holdback rules may affect the amount due.

Ontario's Construction Act defines a proper invoice, prompt-payment deadlines, and statutory holdback requirements. It generally gives an owner 28 days to pay a proper invoice unless a notice of non-payment is delivered within the statutory time. Do not apply that Ontario rule to every province or project.

If holdback applies, show the gross earned amount, holdback retained, tax treatment, amount payable now, and expected release process separately. Obtain construction-law advice for the province and contract instead of copying a generic 10% line.

Send and close the record

1. Reconcile the estimate, approved changes, deposits, and progress invoices.

2. Confirm the completion or milestone facts with the project record.

3. Verify tax registration numbers, rates, and rounding.

4. Generate the PDF and inspect it on a phone.

5. Send it to the agreed billing contact with supporting documents.

6. Record payment without replacing the original invoice.

7. Send a paid copy or receipt after funds clear.

Use invoice generator to create the PDF, Contractor Invoice Template Canada: Free Example (2026) for a broader contractor template, and Paid Invoice vs Receipt in Canada: What to Send for the document to send after payment.

What should I write for work completed?

A: Name the contract or estimate, delivered scope, actual completion or milestone date, approved changes, and prior payments. Avoid claiming inspection or acceptance that did not occur.

Should a final invoice show the original deposit?

A: Yes. Identify the payment date and reference so the client can reconcile the original price to the remaining balance.

Is an invoice for work completed the same as a receipt?

A: No. The invoice requests the final payment. A paid invoice or receipt confirms payment after funds clear.

Can I add a 10% construction holdback to every final invoice?

A: No. Holdback depends on provincial law, the contract, project type, and payment chain. Confirm the applicable rule before calculating it.