Does my business have to charge
another province's PST when making
retail sales shipped to that province? What about GST/HST?
Generally speaking, a vendor should register to collect
the PST of another province if they have a business presence
(e.g. office, salespeople) in that province. If the vendor does not have a
business presence in a province to which they are shipping,
it is usually the responsibility of the buyer of the goods
to remit the provincial sales tax. For more
information on individual provinces, see below.
a. British Columbia & Manitoba
The provinces of BC & Manitoba indicate that out-of-province
vendors should register to collect provincial sales tax for
a province if all of the following criteria are met:
The vendor solicit sales in the province through
advertising or other means.
The vendor accept orders originating in the
province.
The goods are acquired for consumption and use in the
province, not for resale.
The vendor causes the goods to be delivered to a
location in the province, regardless of who pays the
shipping costs.
For more information, see the following on the provincial
web sites:
Manitoba - Retail
sales tax bulletins See Bulletin #004, Information for
Vendors, and go to Out of Province businesses under Section
2.
b. Ontario
The province of Ontario indicates that out-of-province
businesses selling taxable goods to Ontario residents and
businesses are required to register only if they have a
business "presence" in Ontario. Otherwise,
they can voluntarily register if desired, as a convenience
to their customers in Ontario.
For more information, see the province of Ontario guide:
The Prince Edward Island Revenue Tax Act puts
the onus on the person who brings into, causes to be
brought into, or takes delivery within, the province of
goods for consumption in the province, to self-assess and
remit the tax. There is no legislation in place
requiring out-of-province vendors to register.
However, they do encourage out-of-province vendors to
register and collect the PST on sales to PEI consumers.
d. Saskatchewan
Saskatchewan indicates that non-resident businesses should
consider registering to collect their provincial sales tax,
as a convenience to their customers. For more
information, see the province of Saskatchewan article:
I am a non-resident vendor making sales into the Province. Do I have to
collect tax on my sales? - Go to Common
questions about provincial sales tax on the Government of Saskatchewan
website, and scroll down to this topic.
e. Québec
The province of Québec Retail Sales Tax Act indicates
that out-of-province businesses should register prior to
selling taxable goods to Québec residents and businesses
for use and consumption within Québec. The Act also
indicates that individuals and businesses in Québec who
purchase goods from outside of the province should remit the
Québec sales tax if it has not been collected by the
retailer.
All vendors who are registered to collect GST are
automatically registered to collect HST. A GST
registrant in a non-HST province who sells goods which are
delivered to an HST province must collect the HST. A registrant in an
HST province who sells goods which are delivered to a non-HST province would
collect only the GST, not the HST. For GST and HST rates see the GST
and HST page.
For more information, see Canada Revenue Agency
publications:
The information on this site is not intended to be a
substitute for professional advice. Each person's situation differs, and
a professional advisor can assist you in using the information on this web
site to your best advantage.
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