# apple.ca charge tax?



## Ohmsford (Mar 1, 2008)

Does apple.ca charge sales tax? I'm just comparing buying from apple.ca to our campus computer store.


----------



## cap10subtext (Oct 13, 2005)

yep.


----------



## SINC (Feb 16, 2001)

Yep, same as any store. It's based on the applicable GST/PST in the province in which the buyer lives. It's the law.


----------



## Ohmsford (Mar 1, 2008)

Well why the heck can't they give the gst and pst in the estimated cost, makes your bill look like its going to be a fair chunk less when considering a laptop. Thanks for the quick answers.

Oh, on the note of pst. Some online stores that I have purchased from, only charge pst if the product is being shipped in that province. My example is NCIX.com - Buy LCD Monitors In Canada.. I've never paid pst from them. But I guess this is not the case for apple.ca.


----------



## ender78 (Jan 23, 2005)

Ohmsford said:


> Well why the heck can't they give the gst and pst in the estimated cost, makes your bill look like its going to be a fair chunk less when considering a laptop. Thanks for the quick answers.
> 
> Oh, on the note of pst. Some online stores that I have purchased from, only charge pst if the product is being shipped in that province. My example is NCIX.com - Buy LCD Monitors In Canada.. I've never paid pst from them. But I guess this is not the case for apple.ca.



You will always pay both taxes from Apple.ca [I believe that this is due to the fact that Apple has a presence of some sort in Ontario where NCIX may not].


----------



## gordguide (Jan 13, 2001)

NCIX is provincially incorporated; they only have to deal with BC provincial sales tax.

Not that you would be off the hook, legally, if you bought something and didn't pay PST ... in most provinces you are legally bound to voluntarily pay it. Also, most provinces allow you to ask for a PST refund if you buy something and don't live in that province.

Of course, almost no-one does either, but that is the law.

Apple does business across Canada. Generally if you have a physical address in a province that's enough to trigger an obligation to collect PST, although it's not the only criteria.

There are some choices a reseller can make that affect if they have to collect or not, even if they don't have a physical presence, but if you want to be able to open a store anywhere in the country (now or in the future) without hassles, you license nationally, not provincially, and collect PST everywhere.


----------



## SINC (Feb 16, 2001)

gordguide said:


> There are some choices a reseller can make that affect if they have to collect or not, even if they don't have a physical presence, but if you want to be able to open a store anywhere in the country (now or in the future) without hassles, you license nationally, not provincially, and collect PST everywhere.


'Cept in Alberta, of course.


----------



## jasonwood (Oct 19, 2003)

gordguide said:


> NCIX is provincially incorporated; they only have to deal with BC provincial sales tax.


It has nothing to do with whether you are incorporated provincially or federally. It has to do with whether you have what the government calls a "permanent establishment" in the province in question.

If your company does not have a permanent establishment in a particular province, you are not under their jurisdiction and they can't make you collect & remit sales tax on sales shipped to that province. In this case it is the buyers responsibility to remit the applicable PST.

You may still voluntarily register, collect, and remit PST... to save your customers the "trouble" of remitting it themselves... ;-)


----------



## sae (Feb 13, 2008)

I actually complained to Apple about not showing the tax in the estimated price when doing a purchase online. I never actually got my total until after the credit card went through.


----------



## monokitty (Jan 26, 2002)

If you want to estimate the sales tax, simply multiple the amount by the combined GST and PST amounts - nothing difficult about it. For Ontario, it's X purchase amount multiplied by 1.13. (13%.)


----------



## sae (Feb 13, 2008)

I don't think anyone is questioning HOW to calculate the tax, but that it's dumb that apple doesn't show it on their website.


----------



## monokitty (Jan 26, 2002)

sae said:


> I don't think anyone is questioning HOW to calculate the tax, but that it's dumb that apple doesn't show it on their website.


Granted, but I'm saying Apple's neglect to do so shouldn't be complaint-worthy as it takes 4 seconds to do it yourself.


----------



## gordguide (Jan 13, 2001)

" ... It has to do with whether you have what the government calls a "permanent establishment" in the province in question. ..."

And a business who is incorporated as a retailer in a given province has "nothing to do with" whether you have a permanent establishment there?

If you are selling to New Brunswick, Nova Scotia, or Newfoundland you need a "permanent establishment" there to be liable to collect HST? No, everyone must collect and remit HST.

It varies depending on the jurisdiction. Some provinces have enshrined it in law that you must collect PST when selling to residents from out of the province, others politely ask that you do. But I guarantee if you are incorporated in a province, and are a retailer, you're collecting PST, or if you're not, too bad because they will audit you and will collect what you should have collected.

In British Columbia, the criteria are specifically:
solicit sales in BC via advertising;
accept purchase orders originating in BC;
sell goods to BC residents;
cause the goods to be delivered to a location in BC.
If you meet all four, you must collect BC sales tax.
You do not need an agent or any other presence in BC to be liable to collect and remit; delivery includes physical and electronic shipment (eg software download).

PEI is the only province that does not expect you to collect PST if you are from outside the jurisdiction, although they do "encourage" you to. Along with Saskatchewan, they warn that if you do not, then your customers are liable for the tax.

In the end, if you're planning to run a national retail business, considering you can be liable for PST that you fail to collect in some (but not all) cases, it's better to just collect and remit it. Everywhere.

Whether you do or not probably depends on what kind of lawyers you have, and whether the potential liability scares any shareholders, securities regulators, or your wife because of the personal guarantees you made to get small business financing.

Thanks, though, for telling us Ontario's criteria *, and thanks for implying that it applies to all of Canada, if not the Known Universe.

* " ...
Out-of-province suppliers who have a “presence” in Ontario and who sell taxable goods or provide taxable services to customers in Ontario are required to obtain a Vendor Permit to collect RST. Businesses who do not have a “presence” in Ontario, but who make sales of taxable goods and services to customers in Ontario may voluntarily register with the Branch for the collection of RST.
..."


----------



## milhaus (Jun 1, 2004)

^^Who pissed in your corn flakes this morning?


----------



## Macfury (Feb 3, 2006)

I assume Apple doesn't guess where the final purchase will be made--it can only calculate PST on an actual address. Even then you may have a sales tax exemption. Makes perfect sense to me, to estimate pre-tax only until sale is made.


----------

