This guide is for e-commerce companies that sell online via web-stores or at marketplaces.
The goods and services tax (GST) / The harmonized sales tax (GST).
The rate for other taxable supplies depends on the region or area.
The current rates are:
- GST – Alberta (5% GST), Nunavut (5% GST), Northwest Territories (5% GST), Yukon (5% GST);
- GST + PST – British Columbia (5% GST + 7% PST), Manitoba (5% GST + 7% PST), Quebec (5% GST + 9,975% QST), Saskatchewan (5% GST + 6% PST);
- HST – Ontario (13% = 5% federal component and 8% provincial component), New Brunswick (15%), Newfoundland (15%), Nova Scotia (15%), Prince Edward Island (15% = 5% federal component and 10% regional component).
30 000 CAD (about 23 000 USD) over 4 consecutive calendar quarter periods.
If goods or services were used to make chargeable supplies in Canada, VAT in input invoices might be credited. For example:
- VAT paid at custom clearance with your business number;
- VAT paid to Canadian suppliers.
If you paid invoices before VAT registration you may deduct them after your registration.