Received this email from eBay today and it could be a game changer for those that buy banknotes on eBay. Applicable sales tax will be charged and collected by eBay on every item sold on eBay Canada to Canadian Buyers.
Dear eBay Canada Buyer,
Due to legislative changes in Canada’s tax laws, eBay will be required to charge and collect Canadian GST/HST, QST, and PST on applicable sales to Canada-based buyers, effective July 1, 2022. Please note that these changes will affect most e-commerce companies that operate in Canada.
Starting on July 1, 2022, for all sales of tangible goods sold within Canada, eBay will be collecting the Canadian sales taxes (GST/HST/QST/ PST) from Canada-based buyers on behalf of Canada-based sellers (irrespective of their tax registration status) and remitting the tax to the appropriate tax authorities. eBay will also be responsible for collection of the Canadian sales taxes on supplies to Canada-based buyers of digitally downloaded goods, including sales from non-Canadian sellers.
To ensure that the correct amount of tax is applied on your eBay purchases, please confirm that your account information is up to date. Upon the launch of this sales tax implementation, eBay won’t be able to support and accept exemptions for buyers who qualify for the First Nations or resale exemptions. First Nations buyers can apply for a rebate to the CRA on exempt purchases. For provincial exemptions, buyers can go to the respective tax authority for a refund.
eBay’s Terms & Conditions have been will be updated to implement these changes and provide for compliance with applicable laws.
Additional information about the federal measures can be found at the CRA site or by calling their hotline: Notification and information reporting: GST/HST for digital economy businesses - Canada.ca
Please consult with your tax advisor if you have specific questions or concerns about these changes.
As always, thank you for buying on eBay.
The eBay Canada Team
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Arthur Richards
Contributor, Charlton Catalogue of Canadian Government Paper Money, 19th, 20th, 21st, 22nd and 29th Edition
Pricing Panel Member, Charlton Catalogue of Canadian Government Paper Money, 21st Edition 2009