keep this website free for you. TaxTips.ca does
not research or endorse any product or service appearing in
ads on this site.
Before making a major financial decision you
should consult a qualified professional.
GST/HST Place of Supply Rules
Canadian Tax and
If you use an ad blocker, please consider a
small contribution to
help keep TaxTips.ca free for everyone.
Place of Supply Rules, Self-Assessment and Rebate for
Excise Tax Act Schedule IX
Place of Supply (GST/HST) Regulations
All vendors who are registered to collect GST are
automatically registered to collect HST.
A participating province is a province which charges
HST, which includes a federal component (5%) and a provincial
component. A non-participating province charges 5% GST only, and no
provincial component. For rates by province/territory, see Sales
Tax Rates in Canadian Provinces and Territories.
Generally, a GST
registrant in a non-participating province who sells goods (tangible
personal property) which are
delivered to a participating province must collect the HST, at the rate in effect in the
province to which the goods are delivered, if that province is where legal
delivery of the goods occurs. A registrant in a participating
province who sells goods which are delivered to a non-participating province would
collect GST, not HST, if that province is where legal delivery of the goods
occurs. For more on this subject, see GST/HST
News Winter 2011.
New rules are now in effect regarding HST
place of supply rules for intangible personal property and services.
The revised rules apply to any supply made on or after May 1, 2010, and to any
supply made after February 25, 2010 and before May 1, 2010 if the amount for the
supply has not become payable, and has not been paid, before May 1, 2010.
Previous place of supply rules for intangible personal
property and services mainly relied on the location of the supplier in determining
whether the provincial component would be charged. The new rules put
greater reliance on the location of the consumer of the intangible
personal property or service.