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Say you sold a membership for accessing digitized content (from various sources) in your Canadian site a customer in us. Since there are no restrictions in regards to where the intangible personal property end up being used, and the property isn't considered intellectual property (nor the provision of a service), the American customer is at the mercy of G.S.T., whether or not he never comes to Canada.

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Canada has what you call a national sales tax or something added tax (VAT). This Goods and Services Tax (G.S.T.) of 5 percent (as at January 1, 2008) is applicable to many Canadian sales.

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Since they paid the G.S.T., merchandise without knowing think you'll have to charge it again, an individual? "Wrong!", smiles the Cheshire cat. A person are a registrant kept in Canada, you are required to charge and remit the G.S.T.

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