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In Canada, exports are "zero-rated" sales for K.S.T. purposes. This means that when you ship a specific thing to someone outside Canada, you don't charge F.S.T. Yet, des moines general contractors get to claim (or deduct of the G.S.T. collected by you) all the "input tax credits" (G.S.T. that you paid for business purposes) to make that upload. The idea, I suppose, is to encourage exporting.
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