Can't ship to Northern Mariana Islands (MP)

[velvet_vintage89]

I sell to Canada and the US and most recently I sold something to someone in the Northern Mariana Islands which is part of the US. However, I can't ship this to them with Paypal. It doesn't matter which shipping option I select, it just says there is a postal code and province mismatch. I've sent  a message to the buyer to confirm they provided the correct address, but I'm suspecting it's an issue with the state of MP since it isn't physically part of the United States. I really don't have time to go to the post office to mail this so does anyone know why Paypal doesn't recognize that MP is a state?

[toff3]

38e_ave,

I wonder how Canada Post came up with a figure of $3.40 for postage. Base rate is $2.95, right?

Well, at least you didn't get shafted by the Light Packet rate.

Tom

[38e_avenue]

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@toff3 wrote:

38e_ave,

I wonder how Canada Post came up with a figure of $3.40 for postage. Base rate is $2.95, right?

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That's what I paid: 2.95 + 15% tax = 3.40. (or 3.39, I don't really remember...)

[toff3]

Oh right. You live in a province where you have to pay HST or GST + provincial tax on an international mailing. I always think it's really unfair that someone who lives in BC pays only GST and someone in Quebec has to pay GST and QST on an international mailing. Fairest would be to charge no tax of any kind on postage.

At least you didn't have to pay Canada Post a third more in postage. 

Tom

[pierrelebel]

"I always think it's really unfair that someone who lives in BC pays only GST and someone in Quebec has to pay GST and QST "

That decision goes way back to the introduction of the GST twenty-five years ago where the federal government decided that payment for postal services would be taxable from that point on (postal services were not taxable prior to the introduction of the GST in 1991).

As many provinces went into Harmonized Tax (HST), each province had to make the decision to make postage taxable provincially and have the full HST rate charged.  It is interesting to note that provincial governments have different priorities at times.  For example, when Ontario went HST, the provincial government exempted daily newspaper (HST rate on newspapers is only 5% in Ontario) but agreed to the full 13% rate on postal services sold within the province.  Why tax one and not the other?  Ask your elected representatives (good luck getting an accurate answer!)

Now, purchase of postage stamps is taxable, regardless of amount purchased.  However, purchase of postage for item(s) leaving Canada (to the USA or overseas) is exempt of GST or HST if the amount of postage is $5.00 or more.

[toff3]

Canadian governments - federal, provincial and municipal - just love taxes and love to make them as complicated as possible.

I wonder what other countries tax postage. Offhand, I can't think of any, in the industrialized world, at least. Anyone know?

Tom 

[recped]

In the UK basic LetterMail is exempt from VAT but Packages and most extra services are not.

http://www.royalmail.com/information-vat-and-postal-services

[recped]

As far as I know in Australia GST is charged (tax included).

Definitely postage in New Zealand includes GST.

[toff3]

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@recped wrote:

In the UK basic LetterMail is exempt from VAT but Packages and most extra services are not.

http://www.royalmail.com/information-vat-and-postal-services

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Not quite. In the UK, most regular domestic and international mail (letters, Small Packets and parcels) handled by the Royal Mail are VAT (GST) exempt. Certain premium services and Parcelforce parcels (domestic and international) include VAT. 

All in all, fairly complicated...

As for Australia, domestic mail is subject to GST (except mail to remote Ozzie territories like Christmas Island and the Antarctic Territory). All international mail is GST-free. Again, reasonably complicated....God knows why.

Tom