eBay

inuitgifts · ‎02-01-2011

Hi,
I am soooo lost... Need some help.

I am in Quebec, just got registered with Revenue for GST and QST and now not sure how much to charge my buyers.
Do I charge all canadians GST and all buyers from Quebec QST on top of that?
Do I have to charge PST 13% for example buyers from Toronto and Labrador where they have PST or charge them only GST 5%?

Not even sure how to charge Quebec buyers, do I first add 5% and then add 8.5% to the total including 5%? Is there an easier way to calculate both taxes in one step?

inuitgifts · ‎02-01-2011

Oh, and another question. Do I have to charge taxes on shipping?

pierrelebel · ‎02-01-2011

If you are registered with GST/QST, they have already advised you of the rate of tax you must charge to your buyers. Check carefully all the information given to you at time of registration.

In summary, the following table may help you when selling taxable products within Canada (except for QC which you should already know as rates went up last month):

NL 15% HST

ON NB NL 13% HST

BC 12% HST

Rest of Canada 5% GST

The tax is payable on the total amount of the transaction, including shipping, packing and handling charges.

You should consult your tax department for more information.

The rates shown above represent what you MUST remit to the government. You are free to absorb the tax if you wish (to be competitive), but the tax must be remitted, whether you charge it or not.

No GST/HST/QST is payable when the goods are shipped outside Canada.

Also, I most strongly suggest you clearly state in your listings that GST/HST will be charged for Canadian buyers.

inuitgifts · ‎02-01-2011

Thank you Pierre,
I registered online and didn't receive any information yet, only gst and qst numbers.
One last question, what do I charge NL - 15% or 13%?

pierrelebel · ‎02-01-2011

As shown above, NL (Newfoundland and Labrador) is currently at 13% HST.

Please take a look at this http://www.taxtips.ca/salestaxes/salestaxrates2011.htm