As far as eBay is concerned, the service they provide "listing an item for sale through their websites (.com .ca etc)" is done is San Jose, California.
In January 2002 I visited the "War Room" where all the 'stuff' takes place. It was huge then and I can only imagine how huge it is today. The .ca is only an extension and the 'stuff' is on the same servers.
Having back up or mirror servers elsewhere would not legally change the status of the service being provided from sources outsice Canada, hence not taxable.
Foreign ownership has nothing to do with GST/HST. It is strictly where is the service provided. These things are highly technical.
For example, did you know that if you are located in Ontario and you ship a parcel to a buyer in New Brunswick by regular parcel post, Canada Post will charge you 5% GST at time of purchasing the postage.
If you ship the same parcel to the same buyer through the same Canada Post outlet in Ontario but shipping by Priority Post or Purolator, you will be charged 13% HST.
That is the law. It is based on technicalities involving "bill of lading".
Want to beat the system? Purchase postage stamps, pay 5% GST and lick them to the parcel! .
In January 2002 I visited the "War Room" where all the 'stuff' takes place. It was huge then and I can only imagine how huge it is today. The .ca is only an extension and the 'stuff' is on the same servers.
Having back up or mirror servers elsewhere would not legally change the status of the service being provided from sources outsice Canada, hence not taxable.
Foreign ownership has nothing to do with GST/HST. It is strictly where is the service provided. These things are highly technical.
For example, did you know that if you are located in Ontario and you ship a parcel to a buyer in New Brunswick by regular parcel post, Canada Post will charge you 5% GST at time of purchasing the postage.
If you ship the same parcel to the same buyer through the same Canada Post outlet in Ontario but shipping by Priority Post or Purolator, you will be charged 13% HST.
That is the law. It is based on technicalities involving "bill of lading".
Want to beat the system? Purchase postage stamps, pay 5% GST and lick them to the parcel! .
Happy reading:
http://www.cra-arc.gc.ca/E/pub/gm/28-2/28-2-e.html .
http://www.cra-arc.gc.ca/E/pub/gm/28-2/28-2-e.html .
Meaning of destination
18. The term "destination" is relevant to the place of supply rules for freight transportation services. Destination means the place specified by the shipper (usually on the bill of lading) where possession of the property is to be transferred to the person to whom the property is consigned or addressed by the shipper. .
18. The term "destination" is relevant to the place of supply rules for freight transportation services. Destination means the place specified by the shipper (usually on the bill of lading) where possession of the property is to be transferred to the person to whom the property is consigned or addressed by the shipper. .
"They both have Canadian billing, DigiKey in Alberta and Newark in Ontario."
The difference here is that these guys sell goods (not services), delivery of the goods taking place in Canada where the goods will be used.
Many US based exporters of goods are registered with GST/HST for the convenience of their Canadian customers (importers), allowing them to prepay taxes, speed up the process and avoid brokerage charge and delays. Dell Computers is one of the largest, shipping from Texas and registered to charge both taxes.
As far as eBay is concerned, the service itself is performed (delivered) in California, not in Canada. While the service may be for the benefit of a Canadian, the service itself is performed in the USA, just as when I buy an advertisement in the Scott Catalogue or in Linns magazine, even when some of these publications reach Canadian buyers.
eBay pays their legal firm zillions of dollars every year to take care of their stuff. I wish I could do the same. 😉
In Europe (and possibly elsewhere), the governments changed the rules forcing eBay to remit VAT (equivalent to our GST) on fees collected from British and Europeans. .
The difference here is that these guys sell goods (not services), delivery of the goods taking place in Canada where the goods will be used.
Many US based exporters of goods are registered with GST/HST for the convenience of their Canadian customers (importers), allowing them to prepay taxes, speed up the process and avoid brokerage charge and delays. Dell Computers is one of the largest, shipping from Texas and registered to charge both taxes.
As far as eBay is concerned, the service itself is performed (delivered) in California, not in Canada. While the service may be for the benefit of a Canadian, the service itself is performed in the USA, just as when I buy an advertisement in the Scott Catalogue or in Linns magazine, even when some of these publications reach Canadian buyers.
eBay pays their legal firm zillions of dollars every year to take care of their stuff. I wish I could do the same. 😉
In Europe (and possibly elsewhere), the governments changed the rules forcing eBay to remit VAT (equivalent to our GST) on fees collected from British and Europeans. .
"my listing state paypal only "
If you mean that you should change your preferences to PayPal required, eliminating the problem. .
If you mean that you should change your preferences to PayPal required, eliminating the problem. .
