GST/HST refund on Amazon ads for Canadian seller selling on Amazon US
I am a Canadian seller business registered with a GST/HST number and selling exclusively on Amazon USA. I don't sell on Amazon Canada right now, which means am not collecting GST/HST in Canada from customers. Amazon charges me 13% GST/HST taxes on US advertising and other services. Is there a way to claim it as input tax credit (ITC) as I have nothing to offset against since I am not collecting any GST/HST in Canada?
GST/HST refund on Amazon ads for Canadian seller selling on Amazon US
I am a Canadian seller business registered with a GST/HST number and selling exclusively on Amazon USA. I don't sell on Amazon Canada right now, which means am not collecting GST/HST in Canada from customers. Amazon charges me 13% GST/HST taxes on US advertising and other services. Is there a way to claim it as input tax credit (ITC) as I have nothing to offset against since I am not collecting any GST/HST in Canada?
0 replies
Seller_dotifYADa0BWY
Are you registered for HST/GST? If so, then clain it as an ITC. If not, it is an expense.
Seller_VPTQMztBcyxlI
You cannot claim ITC on amazon.com fulfillment fees / advertising fees, because amazon is using "Simplified HST method", which makes it ineligible for ITC (found out hard way after CRA audit).
Make sure you enter your HST/GST number on all marketplaces so amazon would stop charging you HST going forward.
For the HST that's already charged, just expense it as regular expense as Amazon will not refund it
