Commodity and sales taxes (GST/HST) are a significant consideration in Canada. These taxes are often called indirect taxes or sales and use taxes in other countries.
In Canada, commodity taxes generally include customs, the goods and services tax/harmonized sales (GST/HST) and provincial taxes such as the gasoline, alcohol, tobacco taxes, and other excise taxes. This area of tax law is becoming increasingly complex and commercially significant to transactions with persons in or associated to Canada.
When engaged in a corporate or commercial transaction whether it is the import or export of goods, rendering services in Canada or between the provincially in Canada, it is advisable to speak with a commodity tax or HST lawyer as to the various obligations to charge, collect or remit tax to the Canada Revenue Agency.
To somewhat simplify the major divisions in commodity taxes, we have broken down the types of taxes into provincial and federal:
TaxChambers LLP is collaborating with Andersen Global® in Canada.