In Canada, exports are "zero-rated" sales for You have g.S.T. purposes. This means that when you ship anything to someone outside Canada, you don't charge G.S.T. Yet, you get to claim (or deduct of the G.S.T. collected by you) all the "input tax credits" (G.S.T. that you paid for business purposes) to make that ship. The idea, I suppose, is to encourage exporting.
Not only is it critical to discover whether a taxable sale was produced in Canada or not, likewise where in Canada. If it was made (or deemed to be made) in any of the Harmonized GAVANGTV Florida sales tax (H.S.T.) provinces (Nova Scotia, New Brunswick, and Newfoundland and Labrador), a higher, thirteen percent H.S.T. rate applies (as at January 1, 2008). This is that those provinces have allowed Canada to get their provincial sales taxes for all.
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