Amazon sales tax for a Canadian seller means GST/HST, currently 5% to 15% depending on the place of supply (plus provincial PST or QST where it applies). Amazon says that if you are not registered and have not provided it a standard GST/HST number, it will collect and remit GST/HST on all applicable sales; if you have a standard GST/HST registration number, you are responsible for calculating and remitting any applicable GST/HST on sales of your goods on Amazon.ca.
Do you need a GST/HST number to sell online?
Under ordinary small-supplier rules, a business generally counts worldwide taxable supplies, including zero-rated supplies, of itself and its associates across its activities. The $30,000 test is not a separate allowance for each storefront. Above the limit, the effective date depends on whether it was crossed in one calendar quarter or over four or fewer consecutive quarters. Voluntary registration may be available below it. See the step-by-step guide to register for a GST/HST number. CRA: when to register.
For example, a Canadian seller with $22,000 of its own taxable direct sales through one channel and $10,000 through another in the same quarter has $32,000 before deducting any processing fees. If the ordinary test applies and these amounts are the relevant consideration, the seller exceeds the limit on the transaction that takes the total above $30,000. Actual threshold calculations require the business’s and associates’ relevant supplies and transaction dates. For a non-resident vendor subject to the separate qualifying-goods measure, sales deemed made by a registered platform are excluded from that measure’s threshold; test the correct rules before counting them. CRA: qualifying-goods threshold.
Who collects on marketplace sales?
| Situation | Federal collection rule for qualifying goods |
|---|---|
| Seller registered under the normal GST/HST regime | The vendor is responsible for collecting GST/HST on its qualifying goods, including those facilitated by a platform. |
| Seller not registered under the normal regime; sale facilitated by a distribution platform operator | The operator must collect GST/HST on the final sale price of qualifying goods under the CRA measure. This can include an unregistered Canadian seller as well as an unregistered non-resident. |
| Goods mailed from outside Canada directly to a Canadian address | The qualifying-goods measure described here excludes this shipment; other import or registration rules may apply. |
Qualifying goods include the defined taxable goods delivered or made available in Canada, such as goods shipped from a Canadian fulfilment warehouse. The platform and supply must actually meet the measure’s definitions; a site that only processes payments is not automatically a distribution platform operator. CRA’s qualifying-goods guidance.
Example: An unregistered Canadian seller’s taxable inventory is in an Ontario fulfilment warehouse. A registered distribution platform facilitates an order sent to Nova Scotia. If the goods and operator meet the measure’s conditions, the operator collects GST/HST on the final sale at the rate determined under the applicable place-of-supply rules. For example, a supply made in Nova Scotia is currently subject to 14% HST; do not use that rate for another province without checking the applicable rule. If the seller is instead normally registered, CRA’s vendor rule applies. CRA: qualifying goods; current rates.
Amazon sales tax in Canada: what Amazon collects and what you file
On Amazon.ca, Amazon says that if you are not registered and have not provided it a standard GST/HST number, it will collect and remit GST/HST on all applicable sales. If you have a standard GST/HST registration number, you are responsible for calculating and remitting any applicable GST/HST on sales of your goods on Amazon.ca. Amazon’s Tax Calculation Service, available to professional sellers, assists with calculating Canadian sales taxes; taxes calculated using it are collected from the customer and disbursed to you to report and remit (Amazon Seller Central: Marketplace Tax Collection). Once an order with Marketplace Tax Collection is finalized, the tax Amazon remits is shown in your order detail pages and downloadable payments reporting. GST/HST registration is separate from income tax on the same Amazon sales; see our self-employed tax guide for that side.
| Marketplace | Collects GST/HST for you if you’re not registered? | Where you enter your GST/HST number | Tax on the platform’s own fees |
|---|---|---|---|
| Amazon.ca | Yes, on applicable sales, if you have not provided Amazon a standard GST/HST number | — | — |
| Etsy | Yes, if no GST/HST ID is added: GST/HST is charged at checkout where a physical item is shipped from a seller in Canada to a buyer in Canada | Shop Manager → Finances → Legal and tax information → Canadian Taxpayer IDs | — |
| eBay | Yes, on applicable sales to Canada-based buyers, effective July 1, 2022 | — | — |
| Shopify (your own store) | No — Shopify says you must handle calculating, collecting, reporting and paying taxes that result from sales in your store | Settings → Taxes and duties → Canada → Collect sales tax → Tax number | If your store is located in Canada, your subscription might be charged applicable taxes (Shopify billing taxes) |
How much is the tax on Amazon in Canada?
For goods sold on Amazon.ca, the GST/HST rate depends on the place of supply, from 5% GST where no HST applies to 15% HST in New Brunswick, Newfoundland and Labrador and Prince Edward Island; the HST rate in Nova Scotia is 14%. A zero-rated supply has a 0% GST/HST rate, and some supplies are GST/HST exempt. Provincial PST or QST, where it applies, is separate. Amazon says the factors that determine whether Marketplace Tax Collection applies include the type of product, where it is shipped from and to, and whether you have provided any tax registrations to Amazon. See the GST/HST rates by province for the full table, or the GST/HST calculator to work out the tax on one price.
Etsy, Shopify and eBay: what to check
- Etsy: Etsy says that for physical goods sold from Canada to Canadian buyers, it collects and remits GST/HST when the relevant seller tax ID has not been added. With the applicable ID on the account, Etsy says the seller handles the tax; review the precise order and QST/PST rules. Etsy’s Canadian tax guidance.
- Shopify: After registering where needed, Shopify’s documented setup is Settings → Taxes and duties → Canada → Collect sales tax, then choose the registered region and enter the tax number. Review product classifications and any needed overrides. Calculating tax in a store does not replace checking the merchant’s registration and filing responsibilities. Shopify’s Canadian setup.
- eBay: eBay says that as of July 1, 2022, it collects Canadian sales taxes (GST/HST/QST/PST) on applicable sales to Canada-based buyers on behalf of Canada-based sellers and remits them to the tax authorities. For GST/HST- or QST-registered sellers, eBay says it will be appointed as billing agent where the legislation does not automatically require eBay to collect and remit the tax; registered vendors who have not received a billing agent election form should contact eBay. eBay’s Canadian tax guidance.
Reconcile the order, fees and return
For each channel, retain the gross order value, refunds, shipping, platform fees, amounts collected by the platform and amounts collected by you. Determine which person is responsible for each tax amount before completing the return; net deposits alone do not describe the sale. If the consideration for a supply is expressed in a foreign currency such as USD, convert that foreign-currency consideration to Canadian currency using a day and an exchange-rate source that CRA accepts. A registered seller may claim ITCs only for eligible GST/HST on commercial expenses with the required support. CRA registration; GST/HST filing guide; CRA: foreign currency.
GST/HST is separate from BC and Saskatchewan PST, Manitoba RST and Quebec QST; product, destination and platform rules vary. Check the relevant provincial authority and platform details rather than applying one combined rate to all orders.
Sources checked October 21, 2026: CRA qualifying goods, registration, threshold, rates and foreign-currency conversion; Amazon, Shopify, Etsy and eBay help linked above.