TAX Ebay Canada 2 2

[shane1956]

So I just got a notice that items on EBAY Canada  will now be subjected to  Provincial taxes which range between 7% and 15 %. I'm not sure about the rest of the Canadian buyers around here but on high priced books that's going to alter my buying habits. Is this really necessary ? Add in a 30-35 percent exchange rate and duty on top ; you end up paying higher than 50 percent to get a book out of the U.S ! Where does the madness stop ?  

 

[ThothAmon]

Yowza.    All these centrally planned programs don't come cheap.  I do appreciate they are doing whatever it takes to keep the loons happy.  Sadly, for me, as a summer cottager the American dollar isn't so strong as last summer.  Those 10 foot cedar boards don't come cheap (but only 1/4 the cost of buying in the US)  Your solution is buying and selling right here on the boards.

[CKinTO]

Are you sure about that? I tried googling and only recent news that I found was:

http://www.ecommercebytes.com/cab/abn/y17/m05/i11/s01

Which says that because Ebay Canada is switching its contracting entity (ie. I think that's the actual corporation you as a seller enter into a contract with), from an offshore corp to a Canadian corp, just the Ebay seller fees (ie. The 10-12% commission) will be charged GST now. 

If I missed it and they are now going to charge all Canadian buyers sales tax on full purchase price, I agree that's a pretty big deal... to be clear, are they charging Canadian buyers who buy from a Canadian seller on Ebay (in which case customs duties and FX isn't a factor), or to all Canadian buyers period (even if purchased from someone in the US on Ebay.com but shipped to a Canadian address?) in which case that would really hurt to your point re: customs and FX! 

[VintageComics]

2 hours ago, shane1956 said:

So I just got a notice that items on EBAY Canada  will now be subjected to  Provincial taxes which range between 7% and 15 %. I'm not sure about the rest of the Canadian buyers around here but on high priced books that's going to alter my buying habits. Is this really necessary ? Add in a 30-35 percent exchange rate and duty on top ; you end up paying higher than 50 percent to get a book out of the U.S ! Where does the madness stop ?  

 

I pay a tax of 5% for all comics I bring across the border from show purchases.

Why would eBay charge 7-15%?

[Quicksilver Signs]

33 minutes ago, VintageComics said:

I pay a tax of 5% for all comics I bring across the border from show purchases.

Why would eBay charge 7-15%?

That 5% would be GST, OP is talking provincial tax which would make no sense as anything you sell and ship out of your own province is PST exempt. You also need a business number to collect provincial or GST.

So... ??

[Lobo1969]

2 hours ago, shane1956 said:

So I just got a notice that items on EBAY Canada  will now be subjected to  Provincial taxes which range between 7% and 15 %. I'm not sure about the rest of the Canadian buyers around here but on high priced books that's going to alter my buying habits. Is this really necessary ? Add in a 30-35 percent exchange rate and duty on top ; you end up paying higher than 50 percent to get a book out of the U.S ! Where does the madness stop ?  

 

Are you sure the notice was sales tax applied to eBay FEES only, that starts July 1? This is not on final sale prices, seller's are supposed to report sales and collect GST/prov taxes separately...

[Bronty]

2 hours ago, CKinTO said:

 

Which says that because Ebay Canada is switching its contracting entity (ie. I think that's the actual corporation you as a seller enter into a contract with), from an offshore corp to a Canadian corp, just the Ebay seller fees (ie. The 10-12% commission) will be charged GST now. 

 

That makes sense.   All ebay charges you with is you is the seller fees; that's all they would have the right to charge you GST/HST on.

Whether or not GST/HST is charged on the purchase would be up the individual seller, and most small sellers on ebay won't be GST registrants and therefore not required to charge.

From Canadian Tire selling something on ebay though?   Sure, you'd owe the GST but it would be Cdn Tire charging you not ebay.

[Tbone911t]

I understood it was only going to be GST/HST on your eBay fees??

[mjc71]

1 hour ago, Tbone911t said:

I understood it was only going to be GST/HST on your eBay fees??

That's what I heard

[whisp]

I don't get where they get that 7-15% for pst.  I can see the 15% because we have hst but the low should be 6% unless I am missing something.  If its based off gst as mentioned above then its 5%.

(2) Saskatchewan increased the provincial sales tax rate effective March 23, 2017, as per their 2017 Budget. 

 

Edited June 29, 2017 by whisp

[romanheart]

Yes, the seller fee is taxed.

There was also a shipping label change announcement that will allow you to pay shipping fees through Shippo or payPal. Clearly they want you to use their new Shippo affiliate and claim lower shipping costs, but I remain dubious to those claims.

[Fan Boy]

Huh... well, I haven't sell any on eBay since last time I sold one last year. Not really affect me much anyway. But I wonder would I be affected in paying GST taxes if I buy items off eBay and have them shipped to my home address? 

[ecgt]

Here's the email that Power Sellers received. Clearly, the only change is that seller fees are now subject to GST/HST/QST. There is no mention of PST.