|
 |
| | | Author: | Emporiosa  | | Posted: | Jan 10, 2023 08:52 | | Subject: | "Canada Tax" - Possible error for some | | Viewed: | 278 times | | Topic: | Taxes | |
|
| To whomever it may concern at BrickLink (I'll also send a copy to support)
- Primarily a heads-up as this could have a financial impact for BrickLink if
they are in error of collection from some sellers:
I was checking the receipt for the Nov/Dec because I am registered for GST/HST
and I am refunded as an ITC credit for these amounts paid (whether it be a service,
for goods, etc..). The newsletter made me realize it was already starting to
be collected. I noticed the receipt had no GST # on it, which in Canada is usually
required when you collect GST/HST. I'm not exactly sure how it works for
the cross-border digital tax like this one (and I'm not talking about the
ones you guys will implement in the future - just the one on the seller's
commissions), but when researching, I found this (and BrickLink is most definitely
aware that I'm GST/HST registered as I'm the one who keeps pushing for
tax settings for Canada  ):
_____
Determining the status of your customers
Your customer is considered a specified Canadian recipient if:
-the usual place of residence of the customer is situated in Canada, and
-the customer does not provide you with satisfactory evidence that the customer
is registered for the GST/HST under the normal GST/HST regime.
If you obtain the GST/HST registration number of your customer who is registered
for the GST/HST under the normal GST/HST regime, you are not required to charge
and collect the GST/HST on the specified supply that you make to this customer.
If the GST/HST registered customer provides their GST/HST registration number
and the GST/HST is still charged and collected, the customer is able to request
a refund from you. Any GST/HST paid by the registered customer in such cases
is not recoverable by claiming an input tax credit or by filing a rebate application
for an amount paid as tax paid in error.
___
If I'm interpreting this correctly, and I'll verify with CRA today, BrickLink
wasn't supposed to be collecting this tax on sellers who were already registered
for GST/HST and we can request a refund not from the CRA, but from BrickLink
and BrickLink will not be able to reclaim this from the CRA because it was an
error in how they collected.
Reference: https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/digital-economy-gsthst/charge-collect/cross-border.html
(that blurb came from the "Who charges and collects the GST/HST"
|
|
|
| | | | | |
| | | | | Author: | BRICK_CHICK | | Posted: | Jan 10, 2023 10:20 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 52 times | | Topic: | Taxes | |
|
| Thanks for doing this!
We have beenGST registered for many years and appreciate all of your efforts
on this
-Jenn & Steven
In Taxes, Emporiosa writes:
| | To whomever it may concern at BrickLink (I'll also send a copy to support)
- Primarily a heads-up as this could have a financial impact for BrickLink if
they are in error of collection from some sellers:
Snip…
|
|
|
| | | | | |
| | | | | Author: | Janeandbin | | Posted: | Jan 10, 2023 12:30 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 38 times | | Topic: | Taxes | |
|
| I would support.
In Taxes, Emporiosa writes:
| | To whomever it may concern at BrickLink (I'll also send a copy to support)
- Primarily a heads-up as this could have a financial impact for BrickLink if
they are in error of collection from some sellers:
I was checking the receipt for the Nov/Dec because I am registered for GST/HST
and I am refunded as an ITC credit for these amounts paid (whether it be a service,
for goods, etc..). The newsletter made me realize it was already starting to
be collected. I noticed the receipt had no GST # on it, which in Canada is usually
required when you collect GST/HST. I'm not exactly sure how it works for
the cross-border digital tax like this one (and I'm not talking about the
ones you guys will implement in the future - just the one on the seller's
commissions), but when researching, I found this (and BrickLink is most definitely
aware that I'm GST/HST registered as I'm the one who keeps pushing for
tax settings for Canada ):
_____
Determining the status of your customers
Your customer is considered a specified Canadian recipient if:
-the usual place of residence of the customer is situated in Canada, and
-the customer does not provide you with satisfactory evidence that the customer
is registered for the GST/HST under the normal GST/HST regime.
If you obtain the GST/HST registration number of your customer who is registered
for the GST/HST under the normal GST/HST regime, you are not required to charge
and collect the GST/HST on the specified supply that you make to this customer.
If the GST/HST registered customer provides their GST/HST registration number
and the GST/HST is still charged and collected, the customer is able to request
a refund from you. Any GST/HST paid by the registered customer in such cases
is not recoverable by claiming an input tax credit or by filing a rebate application
for an amount paid as tax paid in error.
___
If I'm interpreting this correctly, and I'll verify with CRA today, BrickLink
wasn't supposed to be collecting this tax on sellers who were already registered
for GST/HST and we can request a refund not from the CRA, but from BrickLink
and BrickLink will not be able to reclaim this from the CRA because it was an
error in how they collected.
Reference: https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/digital-economy-gsthst/charge-collect/cross-border.html
(that blurb came from the "Who charges and collects the GST/HST"
|
|
|
|
| | | | | |
| | | | | Author: | Admin_Russell | | Posted: | Jan 10, 2023 13:57 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 122 times | | Topic: | Taxes | |
|
|
BrickLink
ID CardAdmin_Russell
|
Location:  USA, California |
| Member Since |
Contact |
Type |
Status |
| May 9, 2017 |
 |
Admin |
|
|
| BrickLink Administrator |
|
| In Taxes, Emporiosa writes:
| | To whomever it may concern at BrickLink (I'll also send a copy to support)
- Primarily a heads-up as this could have a financial impact for BrickLink if
they are in error of collection from some sellers:
I was checking the receipt for the Nov/Dec because I am registered for GST/HST
and I am refunded as an ITC credit for these amounts paid (whether it be a service,
for goods, etc..). The newsletter made me realize it was already starting to
be collected. I noticed the receipt had no GST # on it, which in Canada is usually
required when you collect GST/HST. I'm not exactly sure how it works for
the cross-border digital tax like this one (and I'm not talking about the
ones you guys will implement in the future - just the one on the seller's
commissions), but when researching, I found this (and BrickLink is most definitely
aware that I'm GST/HST registered as I'm the one who keeps pushing for
tax settings for Canada ):
_____
Determining the status of your customers
Your customer is considered a specified Canadian recipient if:
-the usual place of residence of the customer is situated in Canada, and
-the customer does not provide you with satisfactory evidence that the customer
is registered for the GST/HST under the normal GST/HST regime.
If you obtain the GST/HST registration number of your customer who is registered
for the GST/HST under the normal GST/HST regime, you are not required to charge
and collect the GST/HST on the specified supply that you make to this customer.
If the GST/HST registered customer provides their GST/HST registration number
and the GST/HST is still charged and collected, the customer is able to request
a refund from you. Any GST/HST paid by the registered customer in such cases
is not recoverable by claiming an input tax credit or by filing a rebate application
for an amount paid as tax paid in error.
___
If I'm interpreting this correctly, and I'll verify with CRA today, BrickLink
wasn't supposed to be collecting this tax on sellers who were already registered
for GST/HST and we can request a refund not from the CRA, but from BrickLink
and BrickLink will not be able to reclaim this from the CRA because it was an
error in how they collected.
Reference: https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/digital-economy-gsthst/charge-collect/cross-border.html
(that blurb came from the "Who charges and collects the GST/HST"
|
We have received your message and passed it along to the appropriate team. Just
to clarify, the tax BrickLink is charging Canadian sellers now is tax on the
fees, not tax on the orders. Charging the tax due on an order is a separate matter,
and BrickLink is working with the Canadian authorities to determine our obligation
in this area. We will share the result of that discussion when it is settled.
|
|
|
| | | | | | | | | |
| | | | | | | Author: | Bricklord | | Posted: | Jan 10, 2023 14:14 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 52 times | | Topic: | Taxes | |
|
| Admin Russell,
To clarify what the issue on the Sellers end is that Emporiosa is seeking
to have addressed is that any entity collecting GST either for a Goods or a Service,
as in the case of the fees Bricklink collects, that entity is obliged to provide
their GST# on the bill/receipt they issue for that collection. An entity that
charges for GST on an eligible Goods or Service that either fails or refuses
to provide their GST# when billing for it will run afoul of the CRA. Those of
us who already collect GST on our sales on Bricklink and are registered businesses
with the CRA will obviously be claiming our ITC's, of which any GST Bricklink
collects for its services will be a part. CRA will very quickly realize that
Bricklink is doing so without providing its GST #.
In Taxes, Admin_Russell writes:
| | In Taxes, Emporiosa writes:
| | To whomever it may concern at BrickLink (I'll also send a copy to support)
- Primarily a heads-up as this could have a financial impact for BrickLink if
they are in error of collection from some sellers:
I was checking the receipt for the Nov/Dec because I am registered for GST/HST
and I am refunded as an ITC credit for these amounts paid (whether it be a service,
for goods, etc..). The newsletter made me realize it was already starting to
be collected. I noticed the receipt had no GST # on it, which in Canada is usually
required when you collect GST/HST. I'm not exactly sure how it works for
the cross-border digital tax like this one (and I'm not talking about the
ones you guys will implement in the future - just the one on the seller's
commissions), but when researching, I found this (and BrickLink is most definitely
aware that I'm GST/HST registered as I'm the one who keeps pushing for
tax settings for Canada ):
_____
Determining the status of your customers
Your customer is considered a specified Canadian recipient if:
-the usual place of residence of the customer is situated in Canada, and
-the customer does not provide you with satisfactory evidence that the customer
is registered for the GST/HST under the normal GST/HST regime.
If you obtain the GST/HST registration number of your customer who is registered
for the GST/HST under the normal GST/HST regime, you are not required to charge
and collect the GST/HST on the specified supply that you make to this customer.
If the GST/HST registered customer provides their GST/HST registration number
and the GST/HST is still charged and collected, the customer is able to request
a refund from you. Any GST/HST paid by the registered customer in such cases
is not recoverable by claiming an input tax credit or by filing a rebate application
for an amount paid as tax paid in error.
___
If I'm interpreting this correctly, and I'll verify with CRA today, BrickLink
wasn't supposed to be collecting this tax on sellers who were already registered
for GST/HST and we can request a refund not from the CRA, but from BrickLink
and BrickLink will not be able to reclaim this from the CRA because it was an
error in how they collected.
Reference: https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/digital-economy-gsthst/charge-collect/cross-border.html
(that blurb came from the "Who charges and collects the GST/HST"
|
We have received your message and passed it along to the appropriate team. Just
to clarify, the tax BrickLink is charging Canadian sellers now is tax on the
fees, not tax on the orders. Charging the tax due on an order is a separate matter,
and BrickLink is working with the Canadian authorities to determine our obligation
in this area. We will share the result of that discussion when it is settled.
|
|
|
|
| | | | | | | | | | | | | |
| | | | | | | | | Author: | leopard37 | | Posted: | Jan 10, 2023 14:28 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 36 times | | Topic: | Taxes | |
|
| In Taxes, Bricklord writes:
| | Admin Russell,
To clarify what the issue on the Sellers end is that Emporiosa is seeking
to have addressed is that any entity collecting GST either for a Goods or a Service,
as in the case of the fees Bricklink collects, that entity is obliged to provide
their GST# on the bill/receipt they issue for that collection. An entity that
charges for GST on an eligible Goods or Service that either fails or refuses
to provide their GST# when billing for it will run afoul of the CRA. Those of
us who already collect GST on our sales on Bricklink and are registered businesses
with the CRA will obviously be claiming our ITC's, of which any GST Bricklink
collects for its services will be a part. CRA will very quickly realize that
Bricklink is doing so without providing its GST #.
In Taxes, Admin_Russell writes:
| | In Taxes, Emporiosa writes:
| | To whomever it may concern at BrickLink (I'll also send a copy to support)
- Primarily a heads-up as this could have a financial impact for BrickLink if
they are in error of collection from some sellers:
I was checking the receipt for the Nov/Dec because I am registered for GST/HST
and I am refunded as an ITC credit for these amounts paid (whether it be a service,
for goods, etc..). The newsletter made me realize it was already starting to
be collected. I noticed the receipt had no GST # on it, which in Canada is usually
required when you collect GST/HST. I'm not exactly sure how it works for
the cross-border digital tax like this one (and I'm not talking about the
ones you guys will implement in the future - just the one on the seller's
commissions), but when researching, I found this (and BrickLink is most definitely
aware that I'm GST/HST registered as I'm the one who keeps pushing for
tax settings for Canada ):
_____
Determining the status of your customers
Your customer is considered a specified Canadian recipient if:
-the usual place of residence of the customer is situated in Canada, and
-the customer does not provide you with satisfactory evidence that the customer
is registered for the GST/HST under the normal GST/HST regime.
If you obtain the GST/HST registration number of your customer who is registered
for the GST/HST under the normal GST/HST regime, you are not required to charge
and collect the GST/HST on the specified supply that you make to this customer.
If the GST/HST registered customer provides their GST/HST registration number
and the GST/HST is still charged and collected, the customer is able to request
a refund from you. Any GST/HST paid by the registered customer in such cases
is not recoverable by claiming an input tax credit or by filing a rebate application
for an amount paid as tax paid in error.
___
If I'm interpreting this correctly, and I'll verify with CRA today, BrickLink
wasn't supposed to be collecting this tax on sellers who were already registered
for GST/HST and we can request a refund not from the CRA, but from BrickLink
and BrickLink will not be able to reclaim this from the CRA because it was an
error in how they collected.
Reference: https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/digital-economy-gsthst/charge-collect/cross-border.html
(that blurb came from the "Who charges and collects the GST/HST"
|
We have received your message and passed it along to the appropriate team. Just
to clarify, the tax BrickLink is charging Canadian sellers now is tax on the
fees, not tax on the orders. Charging the tax due on an order is a separate matter,
and BrickLink is working with the Canadian authorities to determine our obligation
in this area. We will share the result of that discussion when it is settled.
|
|
Andrew,
I think you missed the point of this one. Emporiosa actually says that BL is
not allowed to charge GST on fees as a cross border entity and that those that
are collecting GST/HST and remitting should not have been charged GST/HST in
Nov/Dec. And we are not allowed to use this as an ITC and BL should refund those
fees as they charged them incorrectly.
Tyson.
|
|
|
| | | | | | | | | | | | | | | | | |
| | | | | | | | | | | Author: | Emporiosa | | Posted: | Jan 10, 2023 14:48 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 49 times | | Topic: | Taxes | |
|
| | | Andrew,
I think you missed the point of this one. Emporiosa actually says that BL is
not allowed to charge GST on fees as a cross border entity and that those that
are collecting GST/HST and remitting should not have been charged GST/HST in
Nov/Dec. And we are not allowed to use this as an ITC and BL should refund those
fees as they charged them incorrectly.
Tyson.
|
Even though my call with CRA GST/HST rulings today confirmed that what is written
is the case, he also seemed a bit surprised that it was written this way and
believes that we should in theory still be able to claim an ITC, provided that
BrickLink provide a compliant invoice. As I mentioned in another note to Russell,
I've sent an e-mail to the digital services branch of CRA getting further
clarification in writing.
In either case, what Andrew put is also a big issue (which you also stated in
your other post in regards to remittance). We can only put in an ITC claim for
a receipt that has registered GST # on it. The person from CRA Rulings said the
invoice was to have it, and asked that I get it in writing from BrickLink (I've
sent that request in, as well as put it in the post) to back ourselves up with
CRA incase they audit our GST/HST remittance.
What I hope the outcome is, to make things easier for everyone, is that BrickLink
can continue to blanket tax everyone for it, but become compliant by putting
their registration numbers on the invoice, and that we can continue to put it
in as an ITC (like we do for anything else we pay tax on). Of course, if CRA
really doesn't want it this way and BrickLink is supposed to exclude us,
then that's that and it'll have to be fixed with refunds and exemptions,
but I'm hopeful that it could just be an ITC to keep it easier (easier for
BrickLink anyways but overall more status quo with the current way things
are done).
|
|
|
| | | | | | | | | |
| | | | | | | Author: | leopard37 | | Posted: | Jan 10, 2023 14:31 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 38 times | | Topic: | Taxes | |
|
| In Taxes, Admin_Russell writes:
| | In Taxes, Emporiosa writes:
| | To whomever it may concern at BrickLink (I'll also send a copy to support)
- Primarily a heads-up as this could have a financial impact for BrickLink if
they are in error of collection from some sellers:
I was checking the receipt for the Nov/Dec because I am registered for GST/HST
and I am refunded as an ITC credit for these amounts paid (whether it be a service,
for goods, etc..). The newsletter made me realize it was already starting to
be collected. I noticed the receipt had no GST # on it, which in Canada is usually
required when you collect GST/HST. I'm not exactly sure how it works for
the cross-border digital tax like this one (and I'm not talking about the
ones you guys will implement in the future - just the one on the seller's
commissions), but when researching, I found this (and BrickLink is most definitely
aware that I'm GST/HST registered as I'm the one who keeps pushing for
tax settings for Canada ):
_____
Determining the status of your customers
Your customer is considered a specified Canadian recipient if:
-the usual place of residence of the customer is situated in Canada, and
-the customer does not provide you with satisfactory evidence that the customer
is registered for the GST/HST under the normal GST/HST regime.
If you obtain the GST/HST registration number of your customer who is registered
for the GST/HST under the normal GST/HST regime, you are not required to charge
and collect the GST/HST on the specified supply that you make to this customer.
If the GST/HST registered customer provides their GST/HST registration number
and the GST/HST is still charged and collected, the customer is able to request
a refund from you. Any GST/HST paid by the registered customer in such cases
is not recoverable by claiming an input tax credit or by filing a rebate application
for an amount paid as tax paid in error.
___
If I'm interpreting this correctly, and I'll verify with CRA today, BrickLink
wasn't supposed to be collecting this tax on sellers who were already registered
for GST/HST and we can request a refund not from the CRA, but from BrickLink
and BrickLink will not be able to reclaim this from the CRA because it was an
error in how they collected.
Reference: https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/digital-economy-gsthst/charge-collect/cross-border.html
(that blurb came from the "Who charges and collects the GST/HST"
|
We have received your message and passed it along to the appropriate team. Just
to clarify, the tax BrickLink is charging Canadian sellers now is tax on the
fees, not tax on the orders. Charging the tax due on an order is a separate matter,
and BrickLink is working with the Canadian authorities to determine our obligation
in this area. We will share the result of that discussion when it is settled.
|
Please know that this is very time critical Russell as all of us that collect
and remit are due to file and pay by the end of month.
Tyson.
|
|
|
| | | | | | | | | |
| | | | | | | Author: | leopard37 | | Posted: | Mar 5, 2023 11:39 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 42 times | | Topic: | Taxes | |
|
| In Taxes, Admin_Russell writes:
| | In Taxes, Emporiosa writes:
| | To whomever it may concern at BrickLink (I'll also send a copy to support)
- Primarily a heads-up as this could have a financial impact for BrickLink if
they are in error of collection from some sellers:
I was checking the receipt for the Nov/Dec because I am registered for GST/HST
and I am refunded as an ITC credit for these amounts paid (whether it be a service,
for goods, etc..). The newsletter made me realize it was already starting to
be collected. I noticed the receipt had no GST # on it, which in Canada is usually
required when you collect GST/HST. I'm not exactly sure how it works for
the cross-border digital tax like this one (and I'm not talking about the
ones you guys will implement in the future - just the one on the seller's
commissions), but when researching, I found this (and BrickLink is most definitely
aware that I'm GST/HST registered as I'm the one who keeps pushing for
tax settings for Canada ):
_____
Determining the status of your customers
Your customer is considered a specified Canadian recipient if:
-the usual place of residence of the customer is situated in Canada, and
-the customer does not provide you with satisfactory evidence that the customer
is registered for the GST/HST under the normal GST/HST regime.
If you obtain the GST/HST registration number of your customer who is registered
for the GST/HST under the normal GST/HST regime, you are not required to charge
and collect the GST/HST on the specified supply that you make to this customer.
If the GST/HST registered customer provides their GST/HST registration number
and the GST/HST is still charged and collected, the customer is able to request
a refund from you. Any GST/HST paid by the registered customer in such cases
is not recoverable by claiming an input tax credit or by filing a rebate application
for an amount paid as tax paid in error.
___
If I'm interpreting this correctly, and I'll verify with CRA today, BrickLink
wasn't supposed to be collecting this tax on sellers who were already registered
for GST/HST and we can request a refund not from the CRA, but from BrickLink
and BrickLink will not be able to reclaim this from the CRA because it was an
error in how they collected.
Reference: https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/digital-economy-gsthst/charge-collect/cross-border.html
(that blurb came from the "Who charges and collects the GST/HST"
|
We have received your message and passed it along to the appropriate team. Just
to clarify, the tax BrickLink is charging Canadian sellers now is tax on the
fees, not tax on the orders. Charging the tax due on an order is a separate matter,
and BrickLink is working with the Canadian authorities to determine our obligation
in this area. We will share the result of that discussion when it is settled.
|
Another month of GST you owe back to Canadian seller with a GST number already.
When will this issue be solved?
Tyson.
|
|
|
| | | | | | | | | |
| | | | | | | Author: | leopard37 | | Posted: | Apr 7, 2023 23:20 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 44 times | | Topic: | Taxes | |
|
| Another month of GST you owe back to Canadian seller with a GST number already.
When will this issue be solved?
Will there be a response this month. The bill that BL owes me is growing, am
I allowed to start charging interest?
Tyson.
|
|
| | | | | | | | | | | | | |
| | | | | | | | | Author: | UTLF | | Posted: | Apr 8, 2023 06:36 | | Subject: | (Cancelled) | | Viewed: | 33 times | | Topic: | Taxes | |
|
| | (Cancelled) |
|
| | | | | | | | | | | | | | | | | |
| | | | | | | | | | | Author: | Emporiosa | | Posted: | Apr 8, 2023 08:00 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 41 times | | Topic: | Taxes | |
|
| In Taxes, UTLF writes:
| | At this point I'd reach out to the admins through the help desk; my guess
is that your replies get pushed down the list due to the volume of posts each
day - I understand this is a forum, but (in my opinion) a lot of messages that
get posted daily are unnecessary and end up drowning out important issues like
these :/
|
I've been sending monthly e-mails (in addition to the original e-mails I
sent to Russell at the start of this that he acknowledged). The last one I've
sent was April 5th. Their last communication to me about this topic was Friday,
Feb 17th so I've sent 2 e-mails since then to help desk with no reply.
They said that they applied in October 2022 for a GST/HST # under the normal
GST/HST regime. I'm suspecting since they're under the LEGO umbrella,
this is how/why they can do so (rather than the new marketplace way for those
operating outside of Canada).
They also said "Once the registration number has been provided to LEGO BrickLink,
Inc. we will immediately print it on commission invoices. Here’s a related FAQ
page, which will be updated if any changes happen."
Any seller who has registered for a GST/HST number knows you get it immediately,
specifically because you need to be compliant by putting it on your receipts
and have it available when customers who are taxed request your # to verify that
you're registered, etc. So I'm not sure what they mean about them waiting
for their #.
|
|
|
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | Author: | SylvainLS | | Posted: | Apr 8, 2023 08:15 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 34 times | | Topic: | Taxes | |
|
| In Taxes, Emporiosa writes:
| | […]
Any seller who has registered for a GST/HST number knows you get it immediately,
|
We all know BrickLink is “special.”
| | specifically because you need to be compliant by putting it on your receipts
and have it available when customers who are taxed request your # to verify that
you're registered, etc. So I'm not sure what they mean about them waiting
for their #.
|
They could at least write “GST/HST: pending” on the invoices.
(Then, after a while, they would blotch it before finally writing it correctly
)
|
|
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | Author: | Bricklord | | Posted: | Apr 8, 2023 15:25 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 29 times | | Topic: | Taxes | |
|
| So if BL doesn't actually have a GST then they cannot lawfully be collecting
GST. They have no way to give it to the CRA.
In Taxes, Emporiosa writes:
| | In Taxes, UTLF writes:
| | At this point I'd reach out to the admins through the help desk; my guess
is that your replies get pushed down the list due to the volume of posts each
day - I understand this is a forum, but (in my opinion) a lot of messages that
get posted daily are unnecessary and end up drowning out important issues like
these :/
|
I've been sending monthly e-mails (in addition to the original e-mails I
sent to Russell at the start of this that he acknowledged). The last one I've
sent was April 5th. Their last communication to me about this topic was Friday,
Feb 17th so I've sent 2 e-mails since then to help desk with no reply.
They said that they applied in October 2022 for a GST/HST # under the normal
GST/HST regime. I'm suspecting since they're under the LEGO umbrella,
this is how/why they can do so (rather than the new marketplace way for those
operating outside of Canada).
They also said "Once the registration number has been provided to LEGO BrickLink,
Inc. we will immediately print it on commission invoices. Here’s a related FAQ
page, which will be updated if any changes happen."
Any seller who has registered for a GST/HST number knows you get it immediately,
specifically because you need to be compliant by putting it on your receipts
and have it available when customers who are taxed request your # to verify that
you're registered, etc. So I'm not sure what they mean about them waiting
for their #.
|
|
|
|
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | Author: | leopard37 | | Posted: | Apr 8, 2023 18:00 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 29 times | | Topic: | Taxes | |
|
| In Taxes, Emporiosa writes:
| | In Taxes, UTLF writes:
| | At this point I'd reach out to the admins through the help desk; my guess
is that your replies get pushed down the list due to the volume of posts each
day - I understand this is a forum, but (in my opinion) a lot of messages that
get posted daily are unnecessary and end up drowning out important issues like
these :/
|
I've been sending monthly e-mails (in addition to the original e-mails I
sent to Russell at the start of this that he acknowledged). The last one I've
sent was April 5th. Their last communication to me about this topic was Friday,
Feb 17th so I've sent 2 e-mails since then to help desk with no reply.
They said that they applied in October 2022 for a GST/HST # under the normal
GST/HST regime. I'm suspecting since they're under the LEGO umbrella,
this is how/why they can do so (rather than the new marketplace way for those
operating outside of Canada).
They also said "Once the registration number has been provided to LEGO BrickLink,
Inc. we will immediately print it on commission invoices. Here’s a related FAQ
page, which will be updated if any changes happen."
Any seller who has registered for a GST/HST number knows you get it immediately,
specifically because you need to be compliant by putting it on your receipts
and have it available when customers who are taxed request your # to verify that
you're registered, etc. So I'm not sure what they mean about them waiting
for their #.
|
Would BL allow us to figure it out paying for fees for months? No, so why isn't
every Canadian store that collects GST pounding the forum with requests for their
money back. Shame them into doing something.
Tyson.
|
|
|
| | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | Author: | Emporiosa | | Posted: | Apr 8, 2023 20:48 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 36 times | | Topic: | Taxes | |
|
| | | Would BL allow us to figure it out paying for fees for months? No, so why isn't
every Canadian store that collects GST pounding the forum with requests for their
money back. Shame them into doing something.
Tyson.
|
I think it's because most of them have no clue that the receipt is missing
the GST/HST # and most don't keep up with the forums. Many may not even know
that you can't make an ITC claim for receipts missing it/without having the
GST #, and even more would be completely unaware of the rules of cross-border
tax collection for digital stuff (if it ends up that BL is in the newer digital
scheme, but their support said they were part of the normal regime).
I hadn't even noticed the missing GST/HST numbers until I was gathering up
my 2022 Q4 remittance stuff and it was a fluke that I realized it wasn't
there. I've never seen a receipt without one; that just doesn't happen
usually and I never look for it normally.
|
|
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | Author: | Nubs_Select | | Posted: | Apr 8, 2023 20:54 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 33 times | | Topic: | Taxes | |
|
| In Taxes, Emporiosa writes:
| | | | Would BL allow us to figure it out paying for fees for months? No, so why isn't
every Canadian store that collects GST pounding the forum with requests for their
money back. Shame them into doing something.
Tyson.
|
I think it's because most of them have no clue that the receipt is missing
the GST/HST # and most don't keep up with the forums. Many may not even know
that you can't make an ITC claim for receipts missing it/without having the
GST #, and even more would be completely unaware of the rules of cross-border
tax collection for digital stuff (if it ends up that BL is in the newer digital
scheme, but their support said they were part of the normal regime).
I hadn't even noticed the missing GST/HST numbers until I was gathering up
my 2022 Q4 remittance stuff and it was a fluke that I realized it wasn't
there. I've never seen a receipt without one; that just doesn't happen
usually and I never look for it normally.
|
and then you have people like me who didn't even know about ITC's until
hearing about people talk about them in the forums only a couple of months ago
 . but its interesting you say you've never seen a receipt without
a gst/hst number as for me when i buy something from Walmart or apple or the
like I never see a gst/hst number. but the CRA told me that if I paid tax and
the seller didn't give the number they will go after the seller not me so
I should make sure the receipt has their name or the like on it so they can investigate
it if needed
|
|
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | Author: | Emporiosa | | Posted: | Apr 8, 2023 21:04 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 41 times | | Topic: | Taxes | |
|
| | | but its interesting you say you've never seen a receipt without
a gst/hst number as for me when i buy something from Walmart or apple or the
like I never see a gst/hst number. but the CRA told me that if I paid tax and
the seller didn't give the number they will go after the seller not me so
I should make sure the receipt has their name or the like on it so they can investigate
it if needed
|
The GST/HST #s on the receipts; here's an example from Walmart (check under
the totals): https://2.bp.blogspot.com/-4Jx9AYkwCak/UzLhm98pH-I/AAAAAAAAGXs/v_bVHGSEG20/s1600/walmart10.jpg
Under the "Records to support your claim", CRA mentions that you are
required to have certain things on the receipt (and the person I spoke to from
the CRA said the exact same thing) such as the GST/HST number if the invoice
is for over $100CAD in services. Perhaps your commission fees were always under
$100 which would be why for your case it would be ok, but for stores over it
they need it. Here's the link https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/complete-file-input-tax-credit.html
|
|
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | Author: | Nubs_Select | | Posted: | Apr 8, 2023 21:27 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 32 times | | Topic: | Taxes | |
|
| In Taxes, Emporiosa writes:
| | | | but its interesting you say you've never seen a receipt without
a gst/hst number as for me when i buy something from Walmart or apple or the
like I never see a gst/hst number. but the CRA told me that if I paid tax and
the seller didn't give the number they will go after the seller not me so
I should make sure the receipt has their name or the like on it so they can investigate
it if needed
|
The GST/HST #s on the receipts; here's an example from Walmart (check under
the totals): https://2.bp.blogspot.com/-4Jx9AYkwCak/UzLhm98pH-I/AAAAAAAAGXs/v_bVHGSEG20/s1600/walmart10.jpg
Under the "Records to support your claim", CRA mentions that you are
required to have certain things on the receipt (and the person I spoke to from
the CRA said the exact same thing) such as the GST/HST number if the invoice
is for over $100CAD in services. Perhaps your commission fees were always under
$100 which would be why for your case it would be ok, but for stores over it
they need it. Here's the link https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/complete-file-input-tax-credit.html
|
I cant say I've seen that GST number before on a Walmart receipt but I may
have just been unlucky or simply blind but I still cant find it on my digital
apple receipt but yah usually my BL fees (in USD) are under $100 (at least
since they started with tax)
|
|
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | Author: | Emporiosa | | Posted: | Apr 8, 2023 22:05 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 49 times | | Topic: | Taxes | |
|
| | | I cant say I've seen that GST number before on a Walmart receipt but I may
have just been unlucky or simply blind but I still cant find it on my digital
apple receipt but yah usually my BL fees (in USD) are under $100 (at least
since they started with tax)
|
Incase it's of interest, here's a post made by QuickBooks a few years
back for accountants and it talks about making sure their clients (the ones filing
their taxes) have GST/HST #s on their receipts when claiming ITCs.
It mentions that if you get audited for an ITC you claimed, and the receipt you
used did not have the GST/HST # it will be disallowed. On top of that, if they
find there are more than one (in our case, we would have 12 per year), they could
disallow ALL of your ITCs. I stressed the importance of this to BL because it
is certain many sellers did not realize and could be in for a lot of trouble
later on if they're audited because of BL being non-compliant (no fault of
the seller's except for the fact that they didn't notice the # was missing).
"But there’s a vital last piece of information required if your client plans
to claim the HST amount shown on the receipt: the GST/HST registration number
of the supplier. Without this number, the receipt is likely to be disallowed
by the CRA.
The CRA often does HST reviews and audits looking for this very thing. When it
finds receipts that don’t include the GST/HST registration number, those receipts
are disallowed. If it sees a lot of receipts without the required information,
it often stops reviewing individual receipts and just disallows all the HST your
client claimed and paid during the period under review. This can be financially
disastrous for a small business. For example, if an HST return shows $10,000
in HST set against $5,000 in input tax credits for HST paid, the CRA could end
up disallowing all the input tax credits, with the result that your client ends
up owing $10,000 rather than $5,000."
https://quickbooks.intuit.com/ca/resources/taxes/vendor-receipts-hst/
|
|
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | Author: | Nubs_Select | | Posted: | Apr 8, 2023 22:25 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 38 times | | Topic: | Taxes | |
|
| | wow that dosnt sound like to good. |
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | Author: | Nubs_Select | | Posted: | Apr 20, 2023 15:19 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 36 times | | Topic: | Taxes | |
|
| I just printed out my apple receipt and still can't find their GST/HST number
so I wanted to ask if anyone who has bought from them (in Canada) has ever been
able to find one on their receipt as if possible id like to avoid the long customer
service process or trying to get it
|
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | Author: | Bricklord | | Posted: | Apr 9, 2023 09:53 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 49 times | | Topic: | Taxes | |
|
| And this brings up exactly what every Canadian seller on BL should be doing.
Report BL for collecting GST with no GST # to the CRA. THAT will force BL to
act, since they clearly don't care when a seller asks/complains.
In Taxes, Nubs_Select writes:
| | In Taxes, Emporiosa writes:
| | | | Would BL allow us to figure it out paying for fees for months? No, so why isn't
every Canadian store that collects GST pounding the forum with requests for their
money back. Shame them into doing something.
Tyson.
|
I think it's because most of them have no clue that the receipt is missing
the GST/HST # and most don't keep up with the forums. Many may not even know
that you can't make an ITC claim for receipts missing it/without having the
GST #, and even more would be completely unaware of the rules of cross-border
tax collection for digital stuff (if it ends up that BL is in the newer digital
scheme, but their support said they were part of the normal regime).
I hadn't even noticed the missing GST/HST numbers until I was gathering up
my 2022 Q4 remittance stuff and it was a fluke that I realized it wasn't
there. I've never seen a receipt without one; that just doesn't happen
usually and I never look for it normally.
|
and then you have people like me who didn't even know about ITC's until
hearing about people talk about them in the forums only a couple of months ago
. but its interesting you say you've never seen a receipt without
a gst/hst number as for me when i buy something from Walmart or apple or the
like I never see a gst/hst number. but the CRA told me that if I paid tax and
the seller didn't give the number they will go after the seller not me so
I should make sure the receipt has their name or the like on it so they can investigate
it if needed
|
|
|
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | Author: | StarWarsLobby | | Posted: | Apr 13, 2023 08:14 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 31 times | | Topic: | Taxes | |
|
| In Taxes, Bricklord writes:
| | And this brings up exactly what every Canadian seller on BL should be doing.
Report BL for collecting GST with no GST # to the CRA. THAT will force BL to
act, since they clearly don't care when a seller asks/complains.
In Taxes, Nubs_Select writes:
| | In Taxes, Emporiosa writes:
| | | | Would BL allow us to figure it out paying for fees for months? No, so why isn't
every Canadian store that collects GST pounding the forum with requests for their
money back. Shame them into doing something.
Tyson.
|
I think it's because most of them have no clue that the receipt is missing
the GST/HST # and most don't keep up with the forums. Many may not even know
that you can't make an ITC claim for receipts missing it/without having the
GST #, and even more would be completely unaware of the rules of cross-border
tax collection for digital stuff (if it ends up that BL is in the newer digital
scheme, but their support said they were part of the normal regime).
I hadn't even noticed the missing GST/HST numbers until I was gathering up
my 2022 Q4 remittance stuff and it was a fluke that I realized it wasn't
there. I've never seen a receipt without one; that just doesn't happen
usually and I never look for it normally.
|
and then you have people like me who didn't even know about ITC's until
hearing about people talk about them in the forums only a couple of months ago
. but its interesting you say you've never seen a receipt without
a gst/hst number as for me when i buy something from Walmart or apple or the
like I never see a gst/hst number. but the CRA told me that if I paid tax and
the seller didn't give the number they will go after the seller not me so
I should make sure the receipt has their name or the like on it so they can investigate
it if needed
|
|
I agree im also very dissapointed that bricklink doesnt allow canadian sellers
to charge taxes, its super complicated and annoying..
|
|
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | Author: | Nubs_Select | | Posted: | Apr 13, 2023 12:03 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 33 times | | Topic: | Taxes | |
|
| | | I agree im also very dissapointed that bricklink doesnt allow canadian sellers
to charge taxes, its super complicated and annoying..
|
+1 technically they are supposed to be collecting it themselves but they arnt
doing that either
|
|
| | | | | |
| | | | | Author: | calebfishn | | Posted: | Jan 10, 2023 17:05 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 49 times | | Topic: | Taxes | |
|
| I appreciate all this discussion and information from those of you who are knowledgable.
I got confused by the notification that Bricklink was now collecting "Canada
Tax", which is something I've never heard of, and wondered if they meant
GST/HST.
|
|
| | | | | |
| | | | | Author: | Emporiosa | | Posted: | Jan 11, 2023 10:22 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 64 times | | Topic: | Taxes | |
|
| | | Determining the status of your customers
Your customer is considered a specified Canadian recipient if:
-the usual place of residence of the customer is situated in Canada, and
-the customer does not provide you with satisfactory evidence that the customer
is registered for the GST/HST under the normal GST/HST regime.
If you obtain the GST/HST registration number of your customer who is registered
for the GST/HST under the normal GST/HST regime, you are not required to charge
and collect the GST/HST on the specified supply that you make to this customer.
If the GST/HST registered customer provides their GST/HST registration number
and the GST/HST is still charged and collected, the customer is able to request
a refund from you. Any GST/HST paid by the registered customer in such cases
is not recoverable by claiming an input tax credit or by filing a rebate application
for an amount paid as tax paid in error.
___
If I'm interpreting this correctly, and I'll verify with CRA today, BrickLink
wasn't supposed to be collecting this tax on sellers who were already registered
for GST/HST and we can request a refund not from the CRA, but from BrickLink
and BrickLink will not be able to reclaim this from the CRA because it was an
error in how they collected.
|
UPDATE: CRA/GST Rulings called me back AM of Jan 11, 2023. Unless we hear otherwise
from BrickLink, they ruled that BL falls under Subdivision E meaning that those
of us who have a CRA GST # are not to have taxes charged and collected on commission
dues, and we cannot claim these as ITCs as the tax was never to have been collected
in the first place (and would be refunded by BrickLink). He asked that I provide
the info to BrickLink (which I have via e-mail). He also stressed that we do
not put in the taxes paid as ITCs as if you're audited later, it could cause
issues (not to mention, their invoice doesn't have their GST/HST registration
#s on it). They should be refunded by BrickLink.
If they end up having a way to register as SUB-D (under DIV-5) it means they
could tax all like we do, and we could claim ITCs. But as he ruled this morning,
their location of their systems that run the platform (for which we are charged
commission to use, which is what the tax is on), is in the US and falls under
SUB-E as part of the digital economy rulings. It should hopefully not take long
to get confirmation from BL's tax team as to how they are registered as they
should have this info on hand.
|
|
|
| | | | | | | | | |
| | | | | | | Author: | HoleintheWall | | Posted: | Jan 11, 2023 16:56 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 40 times | | Topic: | Taxes | |
|
| | Thank you for the effort you've put in researching this for all of us! |
|
| | | | | | | | | | | | | |
| | | | | | | | | Author: | Nubs_Select | | Posted: | Jan 11, 2023 17:03 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 42 times | | Topic: | Taxes | |
|
| In Taxes, HoleintheWall writes:
| | Thank you for the effort you've put in researching this for all of us!
|
and for letting me know what ITC's are! that probably explains why the CRA
gave me a random refund last year after they said I overpaid GST/HST stuff and
I couldn't figure out where it was from
|
|
| | | | | | | | | | | | | | | | | |
| | | | | | | | | | | Author: | Nubs_Select | | Posted: | Jan 14, 2023 16:23 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 45 times | | Topic: | Taxes | |
|
| In Taxes, Nubs_Select writes:
| | In Taxes, HoleintheWall writes:
| | Thank you for the effort you've put in researching this for all of us!
|
and for letting me know what ITC's are! that probably explains why the CRA
gave me a random refund last year after they said I overpaid GST/HST stuff and
I couldn't figure out where it was from
|
which has now lead to a very long CRA cal
|
|
| | | | | | | | | |
| | | | | | | Author: | leopard37 | | Posted: | Jan 13, 2023 01:10 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 47 times | | Topic: | Taxes | |
|
| In Taxes, Emporiosa writes:
| | | | Determining the status of your customers
Your customer is considered a specified Canadian recipient if:
-the usual place of residence of the customer is situated in Canada, and
-the customer does not provide you with satisfactory evidence that the customer
is registered for the GST/HST under the normal GST/HST regime.
If you obtain the GST/HST registration number of your customer who is registered
for the GST/HST under the normal GST/HST regime, you are not required to charge
and collect the GST/HST on the specified supply that you make to this customer.
If the GST/HST registered customer provides their GST/HST registration number
and the GST/HST is still charged and collected, the customer is able to request
a refund from you. Any GST/HST paid by the registered customer in such cases
is not recoverable by claiming an input tax credit or by filing a rebate application
for an amount paid as tax paid in error.
___
If I'm interpreting this correctly, and I'll verify with CRA today, BrickLink
wasn't supposed to be collecting this tax on sellers who were already registered
for GST/HST and we can request a refund not from the CRA, but from BrickLink
and BrickLink will not be able to reclaim this from the CRA because it was an
error in how they collected.
|
UPDATE: CRA/GST Rulings called me back AM of Jan 11, 2023. Unless we hear otherwise
from BrickLink, they ruled that BL falls under Subdivision E meaning that those
of us who have a CRA GST # are not to have taxes charged and collected on commission
dues, and we cannot claim these as ITCs as the tax was never to have been collected
in the first place (and would be refunded by BrickLink). He asked that I provide
the info to BrickLink (which I have via e-mail). He also stressed that we do
not put in the taxes paid as ITCs as if you're audited later, it could cause
issues (not to mention, their invoice doesn't have their GST/HST registration
#s on it). They should be refunded by BrickLink.
If they end up having a way to register as SUB-D (under DIV-5) it means they
could tax all like we do, and we could claim ITCs. But as he ruled this morning,
their location of their systems that run the platform (for which we are charged
commission to use, which is what the tax is on), is in the US and falls under
SUB-E as part of the digital economy rulings. It should hopefully not take long
to get confirmation from BL's tax team as to how they are registered as they
should have this info on hand.
|
Anything from BL Russell?
Tyson
PS Would you like the GST numbers already supplied in your hands?
|
|
|
| | | | | |
| | | | | Author: | DanTheMan | | Posted: | Jan 12, 2023 15:07 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 66 times | | Topic: | Taxes | |
|
| Thanks for doing this, Sarah
I have also been charged for tax on commission by Bricklink for the past few
months, and I do have an HST/GST number supplied on every invoice. It's very
frustrating having money taken that shouldn't. This issue needs to be resolved
asap. Please let me know if there is anything I can do to help.
Dan
In Taxes, Emporiosa writes:
| | To whomever it may concern at BrickLink (I'll also send a copy to support)
- Primarily a heads-up as this could have a financial impact for BrickLink if
they are in error of collection from some sellers:
I was checking the receipt for the Nov/Dec because I am registered for GST/HST
and I am refunded as an ITC credit for these amounts paid (whether it be a service,
for goods, etc..). The newsletter made me realize it was already starting to
be collected. I noticed the receipt had no GST # on it, which in Canada is usually
required when you collect GST/HST. I'm not exactly sure how it works for
the cross-border digital tax like this one (and I'm not talking about the
ones you guys will implement in the future - just the one on the seller's
commissions), but when researching, I found this (and BrickLink is most definitely
aware that I'm GST/HST registered as I'm the one who keeps pushing for
tax settings for Canada ):
_____
Determining the status of your customers
Your customer is considered a specified Canadian recipient if:
-the usual place of residence of the customer is situated in Canada, and
-the customer does not provide you with satisfactory evidence that the customer
is registered for the GST/HST under the normal GST/HST regime.
If you obtain the GST/HST registration number of your customer who is registered
for the GST/HST under the normal GST/HST regime, you are not required to charge
and collect the GST/HST on the specified supply that you make to this customer.
If the GST/HST registered customer provides their GST/HST registration number
and the GST/HST is still charged and collected, the customer is able to request
a refund from you. Any GST/HST paid by the registered customer in such cases
is not recoverable by claiming an input tax credit or by filing a rebate application
for an amount paid as tax paid in error.
___
If I'm interpreting this correctly, and I'll verify with CRA today, BrickLink
wasn't supposed to be collecting this tax on sellers who were already registered
for GST/HST and we can request a refund not from the CRA, but from BrickLink
and BrickLink will not be able to reclaim this from the CRA because it was an
error in how they collected.
Reference: https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/digital-economy-gsthst/charge-collect/cross-border.html
(that blurb came from the "Who charges and collects the GST/HST"
|
|
|
|
| | | | | |
| | | | | Author: | Emporiosa | | Posted: | Jan 27, 2023 07:42 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 53 times | | Topic: | Taxes | |
|
| | |
If I'm interpreting this correctly, and I'll verify with CRA today, BrickLink
wasn't supposed to be collecting this tax on sellers who were already registered
for GST/HST and we can request a refund not from the CRA, but from BrickLink
and BrickLink will not be able to reclaim this from the CRA because it was an
error in how they collected.
|
As there has been no update from BrickLink, the CRA recommendations are that
the GST/HST remittance is to be completed without reclaiming the taxes paid on
commissions via input tax credit as they do not believe BrickLink was allowed
to charge taxes, and that BrickLink is to provide refunds on the taxes paid directly
to us (likely a credit on a future commission invoice).
I'm not sure if surprising is the right word, but it's definitely disappointing
that BrickLink still doesn't have confirmation after over 2 weeks. Nor have
they provided the GST/HST # that they are required to disclose. I understand
that complying with tax requirements around the world isn't easy, but the
total lack of communication from BrickLink/LEGO Group since the initial acknowledgement
is a problem. Many sellers stressed the fact that remittance was due month-end,
and most complete it well before the last possible day to ensure no late payments.
|
|
|
| | | | | | | | | |
| | | | | | | Author: | Bricklord | | Posted: | Jan 27, 2023 13:54 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 35 times | | Topic: | Taxes | |
|
| Has anyone therefore made a formal fraud complaint to the CRA?
In Taxes, Emporiosa writes:
| | | |
If I'm interpreting this correctly, and I'll verify with CRA today, BrickLink
wasn't supposed to be collecting this tax on sellers who were already registered
for GST/HST and we can request a refund not from the CRA, but from BrickLink
and BrickLink will not be able to reclaim this from the CRA because it was an
error in how they collected.
|
As there has been no update from BrickLink, the CRA recommendations are that
the GST/HST remittance is to be completed without reclaiming the taxes paid on
commissions via input tax credit as they do not believe BrickLink was allowed
to charge taxes, and that BrickLink is to provide refunds on the taxes paid directly
to us (likely a credit on a future commission invoice).
I'm not sure if surprising is the right word, but it's definitely disappointing
that BrickLink still doesn't have confirmation after over 2 weeks. Nor have
they provided the GST/HST # that they are required to disclose. I understand
that complying with tax requirements around the world isn't easy, but the
total lack of communication from BrickLink/LEGO Group since the initial acknowledgement
is a problem. Many sellers stressed the fact that remittance was due month-end,
and most complete it well before the last possible day to ensure no late payments.
|
|
|
|
| | | | | | | | | | | | | |
| | | | | | | | | Author: | Emporiosa | | Posted: | Jan 27, 2023 14:13 | | Subject: | Re: "Canada Tax" - Possible error for some | | Viewed: | 59 times | | Topic: | Taxes | |
|
| In Taxes, Bricklord writes:
| | Has anyone therefore made a formal fraud complaint to the CRA?
|
I wouldn't go to that extent; it's obviously not done maliciously (I'm
certain they'd rather not have to tax at all as it's more of a PITA for
them too). But the CRA rulings person did mention that a case should be opened,
so now that we're at the point where we have to remit and cannot claim the
ITC, it's when a case should be opened. I sent them (Russell and help desk)
the info the CRA rulings person asked me to pass to them including their phone
#, so hopefully their tax team did reach out.
But from what he said it was pretty clear cut so I'm not exactly sure what
the delays are in them confirming. I think it's likely more the case that
they have no idea how to deal with managing exclusions, and/or constantly processing
refunds every month for those of us that are registered. Just a guess from my
end, but I think that's what might be causing the delay in them putting out
an official communication.
|
|
|
| | | | | |
| | | | | Author: | Nubs_Select | | Posted: | Jul 5, 2023 19:36 | | Subject: | (Cancelled) | | Viewed: | 17 times | | Topic: | Taxes | |
|
| | (Cancelled) |
|
|
|
|
Canada, Ontario
France, Nouvelle-Aquitaine
