ARTICLE · 07 SEPTEMBER 2017

When Do I Have To Pay HST?

Crowe Soberman LLP

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Vendors doing business in Canada and who are located outside of Ontario are usually required to register for GST/HST purposes and collect the appropriate tax, whether it is the Goods and Services Tax (GST) or the Harmonized Sales Tax (HST).

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Frédéric Pansieri, BBA, CPA, CA

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An overview to how HST applies on purchases made outside Ontario by a resident of Ontario. This article was originally published in August 2012 but was updated September 2017 to reflect the new tax rates.

Purchase of goods

Vendors doing business in Canada and who are located outside of Ontario are usually required to register for GST/HST purposes and collect the appropriate tax, whether it is the Goods and Services Tax (GST) or the Harmonized Sales Tax (HST). This is normally based on the province in which the goods are delivered. For instance, vendors who deliver taxable goods to the address of a customer in Ontario must normally collect HST (13%) on the sale. This remains true even if the vendor does not have an establishment or presence in Ontario.

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