GST, PST and HST in Canada
Canada GST/HST News
GST Relief for First-Time Home Buyers of New Homes Valued Up to $1.5 Million
Canada’s latest GST relief initiative provides first-time home buyers with a complete rebate on federal GST for newly constructed homes priced up to $1 million, alongside a partial rebate for homes priced up to $1.5 million.
Prime Minister Carney to Waive GST for First-Time Home Buyers
In response to Canada’s housing crisis, the new government is taking decisive steps to relieve pressure on prospective homeowners by eliminating GST for those purchasing their first home.
Is GST/HST registration required in Canada?
Whether you need GST/HST registration in Canada depends on your sales channels, product type, and whether you use a marketplace or your own store.
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My B2C business is based outside the EU
For international sellers, Canada’s GST/HST obligations depend on where your goods are located at the point of sale and how they reach your customers.
Get Registered for VAT, Fast
Ready to start selling to Canada customers? Begin your VAT registration today, and we can secure your VAT number in as little as three working days.
Selling goods on a marketplace
Since 2021, Canadian platforms like Amazon.ca collect and remit GST/HST on qualifying B2C sales. Marketplaces handle tax when:
Important: Storing goods in Canada still triggers a VAT registration requirement there, even if the marketplace collects VAT. Orders above threshold limits require your own VAT registration in Canada or a DAP shipment.
Don’t let VAT get in the way of marketplace growth
Expand your marketplace presence in Canada while staying fully VAT compliant. We simplify compliance so you can focus on selling.
Selling Digital Services and Digital Goods to Canada
Digital services in Canada include eBooks, downloadable software, online courses, and streaming services. International sellers providing digital services to Canadian consumers must register for GST once sales exceed CAD 30,000.
To sell digital services to Canada customers, you can choose one of two registration routes depending on how your service is delivered.
Expert advice recommended: Determining whether your offering qualifies as “electronically supplied” is complex and has major VAT implications. We recommend consulting an expert if you sell digital services.
My B2C business is based in the EU
Assuming you are not established in Canada, EU-based sellers can trade up to EUR 10,000 per year to other EU markets before VAT registration is required.
Stock in Canada
Holding inventory in Canada creates a VAT obligation. You must either register there or use the One Stop Shop (OSS) scheme in your home country.
Stock elsewhere in EU
Each EU country where you store goods or have customers may trigger a separate VAT requirement. Either register locally or consolidate via OSS.
Stock outside the EU
For goods delivered from outside the EU, choose among: VAT registration in Canada, IOSS registration, or Delivered at Place (DAP). For services, you must register for OSS with your home tax authority when selling to EU consumers.
Feeling Confused? Take the EU VAT Quiz
There are many variables. In under a minute, discover whether you need IOSS, OSS, Non-Union OSS, or a standard VAT registration.
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GST/HST on Sales to Canadian Businesses
When selling B2B in Canada, tax obligations shift. If your Canadian customer is GST-registered, they may self-assess via reverse charge. Registration may still be required if you store goods in Canada.
🌎 Based outside the country, selling B2B
If your Canada customer is VAT-registered, you generally invoice with the “reverse charge mechanism,” and they declare VAT locally.
🇪🇺 Based in the country, selling B2B
In many cases, cross-border B2B supplies are zero-rated when both parties are VAT-registered. You still must follow Canada invoicing and reporting requirements.