How GPSCity.ca Collects Sales Tax
We are required by law to collect sales taxes in accordance with the guidelines established by the Canada Revenue Agency.
Showroom & Pickups
If you are shopping or picking up your order at our retail store in Calgary,
the sales tax applicable on all purchases is 5% GST only.
Provincial Taxes
By law, we are required to collect GST/HST based on the shipping destination province as shown. In no case do we collect PST.
Alberta: 5% GST
British Columbia: 12% HST
Manitoba: 5% GST
New Brunswick: 13% HST
Newfoundland: 13% HST
Northwest Territories: 5% GST
Nova Scotia: 15% HST
Nunavut: 5% GST
Ontario: 13% HST
Prince Edward Island: 5% GST
Quebec: 5% GST
Saskatchewan: 5% GST
Yukon: 5% GST
Tax Exempt
We do not collect taxes if you are an eligible tax-exempt agency.
Why we collect HST for delivery in other provinces
The Canada Revenue Agency (CRA) has ruled that taxes must be collected on the basis of 'place of supply', which they have defined to generally mean the province in which legal delivery of the goods
to the recipient occurs. They also further define that this includes 'property sent by mail or courier to an address in another particular province'.
Here is an example from the CRA website: A store in Ontario agrees to sell goods to a purchaser in British Columbia (BC). Based on the terms of delivery in the agreement for the sale of the goods, legal delivery of the goods to the purchaser occurs in BC. Because legal delivery of the goods to the purchaser occurs in BC, the supply of the goods is made in BC and is subject to HST at a rate of 12%.
All taxes collected by us are remitted to the federal government and they are responsible for administering and distributing the HST in the other provinces.
Here is the link to the CRA document explaining this: http://www.cra-arc.gc.ca/tx/bsnss/tpcs/gst-tps/gnrl/hst-tvh/gds-eng.html.
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