What is Canada PST?
What is PST/RST?
In addition to a federal value-added tax (Goods and Services Tax (GST)), the provinces of British Columbia (BC), Saskatchewan (SK) and Manitoba (MB) levy and separately administer a provincial level sales tax on the sales or use of most goods in those provinces. This type of tax is known as Provincial Sales Tax (PST) and Retail Sales Tax (RST).
Tax rates
·Saskatchewan
Saskatchewan levies a 6% Provincial Sales Tax (PST) and requires a marketplace operator register, collect and remit the PST on the sales of goods by third-party sellers through the marketplace to the tax authority of Saskatchewan. See below link for details.
https://www.sets.saskatchewan.ca/rptp/portal/footer/taxinformation/provincial-sales-tax
·Manitoba
Manitoba levies a 7% Retail Sales Tax (RST) and requires a marketplace operator register, collect and remit the PST on the sales of goods by third-party sellers through the marketplace to the tax authority of Manitoba. See below link for details.
https://www.gov.mb.ca/finance/taxation/taxes/retail.html
https://gov.mb.ca/finance/taxation/pubs/bulletins/064.pdf
PST/RST calculation
PST/RST is calculated based on the final price, including the price for the goods and the shipping charges.
Marketplace tax collection obligation
In general, marketplace facilitator is a platform who contracts with third-party sellers to facilitate the sale of the sellers' products through the marketplace. Alibaba.com is thus deemed to be a marketplace facilitator to promote the sales of third-party sellers through the Alibaba.com online platform.
The marketplace facilitator rules and legislation have shifted the liability for GST collection and remittance from a third-party seller to the marketplace facilitator. As a result, Alibaba.com is responsible for collecting and remitting the GST/PST/RST/HST for goods sold by third-party sellers through the online platform to Canada where marketplace facilitator rules and legislation are effective.
How can I add PST tax information and get tax exemption status?
1. Sign into My Alibaba> Orders>Tax Information > +Add PST information. Sign in to your account here.
2. Fill in your tax information. For Manitoba, fill in the RST number; for Saskatchewan, fill in your registered legal name. Click “Verify” to finish completing the form.
Tips
To make sure your submission is successful, you can first visit PST Lookup website to check that your PST status is valid before you make a submission.
Step 1: Open the website above and scroll down to the bottom of the page, click "PST Lookup".
If you PST is valid, you can see the picture below.
For more information on how to submitor verify (US sales tax/VAT/GST/PST)tax information on our platform, please visit our Live Chat, Facebook group (Buyer Empower Program)or email us at [email protected]. Our expertteam is here to provide assistance for your application process:
1. Orientation and quick start
2. Faster submission
3. Status update