Serving small businesses in BC, currently located in Victoria

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Tips and Updates

Selling Online & Finding Your Way Through the Sales Tax Maze in Canada

Posted on 28 October, 2013 at 17:25

One of my clients contacted me last night about how to charge the correct sales tax when she sells products online.

She lives in BC but most of the info applies to all provinces but it is confusing no matter where you live in Canada!!

 

So here's the simplified version on what taxes to charge:

 

Assuming you are selling goods that are taxable AND you are registered to collect GST and BC PST:

 

- If the order comes from the US and you ship the goods to the US – no taxes :)

- If the order comes from and is shipped to BC – 5% GST and 7% PST

- If the order comes from and ships to Alberta, Northwest Territories, Nunavut or the Yukon – 5% GST

- If the order comes from and is shipped to Ontario, New Brunswick, Newfoundland and Labrador – 13% GST

- If the order comes from and is shipped to PEI – 14% GST

- If the order comes from and is shipped to New Brunswick – 15% GST

 

Here’s where it gets complicated: :roll:

 

Saskatchen, Manitoba and Quebec all have their own PST rules and regulations and you are supposed to register with each of these provinces and collect and remit taxes if you are selling and shipping to those provinces.

 

Lots of extra paperwork and your only out is if your goods are considered non-taxable in that province – and it is different in different provinces

 

Below is the link to each of those provinces official info on their sales tax.

 

Saskatchewan - http://www.finance.gov.sk.ca/taxes/pst/

Manitoba - http://www.gov.mb.ca/finance/taxation/taxes/retail.html

Quebec - http://www.revenuquebec.ca/en/entreprise/taxes/tvq_tps/

 

Get help if you need it to figure this out, you can't afford to get it wrong when it comes to taxes.

 

 

 

 

Categories: Web commerce, GST & PST, Canadian Sales Tax

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