Taxes (HST/GST/PST)

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Hey Wanstalls,

Normally when I order from BC, I pay only 5% GST. When I use the checkout on your website, it says 13%.

What's the story, morning glory?
 
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I am in Quebec and all the dealers i do business with, only charge the GST, if the dealers want to charge both taxes, i just take my business elswere... JP.
 
caramel said:
I am in Quebec and all the dealers i do business with, only charge the GST, if the dealers want to charge both taxes, i just take my business elswere... JP.
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I can understand if you're looking for the lowest price point but you do realize they aren't pocketing the money right? It's not a matter of them "wanting" to, it's a matter of legalities and accounting. Shipping methods make a difference depending on how they are paid for. (Shipping can technically change where you take ownership depending on who pays for it) I know this from experience. It's stupid and complicated but it's the way it is. Why would they "want" to charge you money they don't get? It all shows as taxes collected from an accounting standpoint. Unless someones fudging receipts.
 
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1300_stainless said:
I can understand if you're looking for the lowest price point but you do realize they aren't pocketing the money right? It's not a matter of them "wanting" to, it's a matter of legalities and accounting. Shipping methods make a difference depending on how they are paid for. (Shipping can technically change where you take ownership depending on who pays for it) I know this from experience. It's stupid and complicated but it's the way it is. Why would they "want" to charge you money they don't get? It all shows as taxes collected from an accounting standpoint. Unless someones fudging receipts.
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Maybe it is a question of shipping method....I've had two BC dealers charge me 13% on items shipped to me here in NB while a third BC store charged 5%.

My understanding was that all business must register for GST collection and if they ship to a "HST" province they must charge that province's HST rate (13% in NB). I'm really not sure why I got that one shipment charged at 5%.....
 
Tax sucks, I'm in BC, and I constantly have to compare the prices including tax differences between provinces.... a LOT of the times, as much as I would like to support my local stores, I choose to shop elsewhere because even when I pay for shipping, say from Alberta, and pay only 5% tax it's cheaper than stuff in BC that might actually be on sale!.

BC tax rates are ridiculous, especially when Vancouver residence are also one of the lowest paid in many different professions compared to other provinces
 
sailor723 said:
Maybe it is a question of shipping method....I've had two BC dealers charge me 13% on items shipped to me here in NB while a third BC store charged 5%.

My understanding was that all business must register for GST collection and if they ship to a "HST" province they must charge that province's HST rate (13% in NB). I'm really not sure why I got that one shipment charged at 5%.....
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I think that if we (the business) paid the shipping technically ownership took place in our province, but if the customer paid for shipping it took place in theirs. I don't recall to be honest but I know it was something tricky and foolish like that, and it took a lot of phone calls for us to find out how to do it properly.
 
1300_stainless said:
I think that if we (the business) paid the shipping technically ownership took place in our province, but if the customer paid for shipping it took place in theirs. I don't recall to be honest but I know it was something tricky and foolish like that, and it took a lot of phone calls for us to find out how to do it properly.
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That might well be it. In the case where I was only charged the 5% the business paid the shipping (free shipping promo ). In the other two cases where i was charged 13% shipping was charged to me as an extra.
 
sailor723 said:
Maybe it is a question of shipping method....I've had two BC dealers charge me 13% on items shipped to me here in NB while a third BC store charged 5%.

My understanding was that all business must register for GST collection and if they ship to a "HST" province they must charge that province's HST rate (13% in NB). I'm really not sure why I got that one shipment charged at 5%.....
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My first inclination here, is that someone made an error. I know this from experience, as I literally just made the same mistake yesterday, and had to call a customer back to fix it.
The business that only charges you 5% is probably stuck eating the additional taxes as an employees error.

From http://www.canadabusiness.ca/eng/page/2651/
Charging sales tax to out-of-province/territory customers and to foreign customers↑Top

If you are a vendor in one province or territory and you make sales to residents of another province or territory, what sales taxes do you charge them? When you sell and ship or deliver taxable goods and services to out-of-province/territory customers, the sales tax that applies in your customer's province or territory is generally applicable.
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This thread was answered correctly and very helpfully by 4n2t0 in the very first reply, so we're gonna shut it down. We must abide by tax law. We cannot comment on the practices of any other business who may not be in compliance with the laws of taxation; they might need to chat with their accountants. As has been noted in the thread, we certainly don't like taxes and we would love to not have to pay the accountants to sort it out for us year-round and remit the money to the proper authorities, but until tax laws change we must follow them properly! ;)

Cheers,
Daniel
 
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