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As well, each province and territory has some rules. Ontario charges eight percent retail sales tax on many typical Internet transactions whereas Alberta is without a provincial sales tax.

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The rationale behind this follows: Since countries can't collect sales tax on Internet transactions at their borders, the best way they can collect it (other in comparison with self-assessment system) is a good online sales tax. Further, it is claimed that companies in the eu Union suffer a major competitive disadvantage because they've got to collect Value Added Tax (VAT) but others don't.
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