Questions regarding GST (tax) to the winning bidders

Do we, the storage facility, need to charge GST (Tax) to the winning bidder?, if so, is it only to the bidders that live in your province? country? any help will be appreciated, we are still new to doing online auctions. Thank you!

Richard

Hi Richard,

I am not an accountant, but this is what I know. All sales of goods in Canada are subject to government sales tax. As for provincial sales tax you would charge the provincial sales tax in accordance to the province in which the goods are delivered. In this case the goods are being “delivered” in the province which your facility is located. So you should be charging GST + PST (of your province) on all sales.

I believe for buyer’s who do not live in the country you can still charge GST + PST and they can enter a claim for reimbursement at the border when they cross back (not 100% sure about this).

I encourage you to speak with your accountant to confirm this.

Regards,
Adrian

Thanks for the reply, we will make sure to check with our accountant.

Regards,

Richard