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International mail order business is not easy, whether you use eBay or other venues. I took a look at one of your listings and would like to suggest;
1) Drop the ""Item is marked as gift when sent". It is illegal. Learn from eBay how to sell internationally at this http://pages.ebay.com/sellerinformation/growing/international/sellingtips.html
2) Indicate clearly where the products are shipped from (City). Using "Canada, Canada" implies you are trying to hide where you are shipping from.
3) Clearly state tax responsibilities in your listings. Are you registered with GST/HST? If you, you have the choice to absorb the taxes or charge the appropriate percentage 5% or 13% to your buyers. In fairness, that should be indicated in your listings. If you are not registered with GST/HST, it is illegal for you to charge the tax. Are you registered for PST in your province? (by law you should be except Alberta).
4) Your shipping information to Canada states "varies for items shipped from an international location" with a US$15 shipping charge within Canada without indication of the service provided. As a buyer, it implies you are less than candid about where you are shipping from and how you are shipping. This may explain your 4.6 DSR for shipping charge. Also, US$15 seems to be on the high side for shipment within Canada for a small and light package (watch).
"What do you guys do?"
If you check what other Canadian PowerSellers are doing, you will find most avoid the four points I raised above.
1) Drop the ""Item is marked as gift when sent". It is illegal. Learn from eBay how to sell internationally at this http://pages.ebay.com/sellerinformation/growing/international/sellingtips.html
2) Indicate clearly where the products are shipped from (City). Using "Canada, Canada" implies you are trying to hide where you are shipping from.
3) Clearly state tax responsibilities in your listings. Are you registered with GST/HST? If you, you have the choice to absorb the taxes or charge the appropriate percentage 5% or 13% to your buyers. In fairness, that should be indicated in your listings. If you are not registered with GST/HST, it is illegal for you to charge the tax. Are you registered for PST in your province? (by law you should be except Alberta).
4) Your shipping information to Canada states "varies for items shipped from an international location" with a US$15 shipping charge within Canada without indication of the service provided. As a buyer, it implies you are less than candid about where you are shipping from and how you are shipping. This may explain your 4.6 DSR for shipping charge. Also, US$15 seems to be on the high side for shipment within Canada for a small and light package (watch).
"What do you guys do?"
If you check what other Canadian PowerSellers are doing, you will find most avoid the four points I raised above.
If your company is registered with GST, in addition to taxes in QC, you need to remit 13% HST for sales of taxable goods to NB, NL and NS and 5% to the rest of Canada (until June 30th).
Effective July 1st 2010, you will need to remit 13% HST for sales of taxable goods made to Ontario and 12% HST to BC.
From July 1st (subject to further changes) only PE, MB, SK and AB will be subject to 5% GST in addition to the Territories.
I most strongly suggest you contact a competent accountant, experienced in mail order, to guide you and help you set up your accounting systems properly.
Sales outside Canada are zero rated (0%).
Effective July 1st 2010, you will need to remit 13% HST for sales of taxable goods made to Ontario and 12% HST to BC.
From July 1st (subject to further changes) only PE, MB, SK and AB will be subject to 5% GST in addition to the Territories.
I most strongly suggest you contact a competent accountant, experienced in mail order, to guide you and help you set up your accounting systems properly.
Sales outside Canada are zero rated (0%).
"How does one filter through a list of accountants to find a competent one experienced in mail order"
A quick phone call.
Most individual accountants are NOT experienced in GST/HST. Many handle retail clients with point-of-sale GST - no HST involved. Large firms will most likely have a GST/HST experienced accountant on staff but the fees may be higher than you need or wish to pay.
Accountants typically charge by the hour at first until you have a relationship with them and can offer an annual fee for their services.
A quick phone call.
Most individual accountants are NOT experienced in GST/HST. Many handle retail clients with point-of-sale GST - no HST involved. Large firms will most likely have a GST/HST experienced accountant on staff but the fees may be higher than you need or wish to pay.
Accountants typically charge by the hour at first until you have a relationship with them and can offer an annual fee for their services.
You can start here - http://canada411.yellowpages.ca/search/si/1/accountant/hamilton+ontario
Personally, I would avoid the first ten names on the list as they paid extra to be listed on top of the list and their fees will reflect their advertising costs.
Personally, I would avoid the first ten names on the list as they paid extra to be listed on top of the list and their fees will reflect their advertising costs.
" It has always been my belief that it is only mandatory, like the GST, after one has made over $30000 in sales "
... except for Quebec of course. There the GST is managed by Revenue Quebec and is somehow incorporated with TVQ where registration is compulsary at the $30,000 level (like the GST for the rest of Canada)
In most other provinces, like Ontario, the current laws require to obtain a Vendor Permit and collect/remit PST on ALL sales of taxable products made within the province (from the FIRST dollar). There is no minimum.
The rules will change on July 1st as Ontario and BC go the HST way. I understand the $30,000 requirement will then take effect and Vendor Permits eliminated.
In any case, most eBay sellers would benefit financially (through Input Tax Credits) from registration with GST/HST even for sales level as low as $5,000 if a substantial portion of their sales is shipped outside Canada.
... except for Quebec of course. There the GST is managed by Revenue Quebec and is somehow incorporated with TVQ where registration is compulsary at the $30,000 level (like the GST for the rest of Canada)
In most other provinces, like Ontario, the current laws require to obtain a Vendor Permit and collect/remit PST on ALL sales of taxable products made within the province (from the FIRST dollar). There is no minimum.
The rules will change on July 1st as Ontario and BC go the HST way. I understand the $30,000 requirement will then take effect and Vendor Permits eliminated.
In any case, most eBay sellers would benefit financially (through Input Tax Credits) from registration with GST/HST even for sales level as low as $5,000 if a substantial portion of their sales is shipped outside Canada.
