eBay

ricarmic · ‎10-25-2017

Got an ebay message this morning* advising that under the new privacy agreement they can share my GST registration number with CRA (which I thought they were already doing and is fine by me), however my question is:

I don't remember ever adding my GST number to my account anywhere, nor can I find a place where it would be when I looked around my account information. Now I haven't had my morning coffee yet so that will be my excuse if it is in an easy to see/find place....

*Key update to the eBay user privacy notice: if you have a GST registration number, we may disclose it to partners and buyers for tax documentation, verification and related purposes. For more information on GST visit the Canada Revenue Agency's page here.

lukey9 · ‎10-25-2017

I just received the same notice from E-Bay about sharing your GST Number with CRA. Since I all ready have been audited I just assumed they all ready had it as I don't remember ever be asked for it.

pierrelebel · ‎10-25-2017

It may be that eBay-Canada is finally listening to a suggestion I made ten or twelve years ago:

Require sellers to provide their GST/HST registration number to eBay and buyers if they want to use eBay's invoicing facilities to charge sales tax to Canadian buyers. The number would automatically show on the invoice.

We all know some crooked sellers charge tax although they are not registered to do so. They keep the amount (to help cover their fees is how one such seller explained to me long time ago) instead of remitting it to the government.

All honest sellers would benefit from such move.

ricarmic · ‎10-25-2017

There is no place to put our GST/HST number at this time in our account information etc though right? If there is, I can't find the place for it....so far.....

cumos55 · ‎10-25-2017

CRA may be looking for sellers that charge GST/HST but do not remit the amount to CRA.

They are not registered with CRA.

There are rule about what should be in an invoice..... that is when your business number should be included in an invoice..

When I remit to CRA each year, I provide a summary of GST/HST in relation to total sales, sales to Canadian buyers.... and then a breakdown in relation to GST = 5 %, and then HST = 13 % or HST = 15 %.

This next year will be my first inclusion of GST charged by eBay. CRA may not know this new reality as it applies to each eBay seller and a seller may be flagged for such a difference for Input Tax Credit (ITC), 2017 versus 2016.

Many eBay sellers could have decided to register to collect GST/HST all in relation to eBay's charging GST/HST/QST on fees

It is best to report everything to the last penny...

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(1) The most critical thing is those sellers that charge GST/HST and are not registered to do so.....

(2) There is also a situation where sellers charge the full amount for HST on books, and the buyer has to apply for a refund of tax charged. This refers to a point of sale rebate. (This was something new for me)

The seller may charge the full amount specifically HST = 13 % or 15 %, but pretend it is a point of sale rebate... and keep the difference between 13 % or 15 % and 5%

(3) ITC in relation to a tax on eBay fees.... 2017 versus 2016.... a new ITC Value.....

lukey9 · ‎10-25-2017

I would not be surprised if that is what CRA is looking for, sellers that charge tax but don't remit it in their total.

rose-dee · ‎10-26-2017

@ricarmic wrote:

I don't remember ever adding my GST number to my account anywhere, nor can I find a place where it would be when I looked around my account information. Now I haven't had my morning coffee yet so that will be my excuse if it is in an easy to see/find place....

Yes, this does seem a bit of a puzzle. I thought a seller's (any seller, not just eBay) GST # had to be shown on the transaction details that the buyer sees when they pay tax? If so, eBay would have to be picking it up from somewhere. But if you haven't entered it on eBay's system, then is eBay getting it from CRA?? That doesn't make sense. My morning caffeine (tea) doesn't seem to be doing me much good either.

katlover1952 · ‎10-27-2017

Never noticed this but I know I never supplied a GST # to eBay. I do not charge it as my annual sales are not in an amount required to collect & remit. I am surprised a seller would collect GST if they are not required to do so. To collect & then not remit is asking for trouble.

ricarmic · ‎10-27-2017

It will be interesting to see what happens.

My estimation is that this is phase 1

Phase 2 will be them asking us to add our GST/HST number to our account information.

Phase 3 will be putting GST number on the invoices? That will be interesting because one can sell "GST included" (my stuff is GST included) so in that case the receipt only has to advise the GST number (and or notification that the GST is included, my receipts do but I can't recall if one has to do that or not). So they'll have to have the ability to do that as well as actually add it....if it is being charged on top.....

Time will tell.....