A Canadian freelancer using Upwork needs to check two separate transactions: the fees paid to Upwork for its platform services, and the services the freelancer supplies to clients. Upwork says it may collect indirect tax on its service fees and other platform purchases; it also says any GST/HST or QST the freelancer must collect from their own clients is the freelancer’s responsibility. Upwork: indirect taxes for Canadian freelancers.
Why is Upwork charging tax on its fees?
Upwork identifies freelancer service fees, Connects purchases and membership fees as platform purchases on which indirect taxes may apply. This tax concerns what you buy from Upwork, not a tax automatically calculated on your entire client earnings. Upwork’s tax information page uses the freelancer’s tax residence and account information; verify the fee, tax and currency on your actual transaction. Upwork’s Canadian tax guidance.
For a simple illustration, suppose a fee is $10 and Ontario HST of 13% applies to that fee. The HST is $1.30 and the fee plus tax is $11.30. This example assumes no registration-number relief and does not assert that $10 is Upwork’s current fee or that the same rate applies everywhere. Nova Scotia’s general HST rate is 14% from April 1, 2025; use CRA’s current rate table rather than relying on an outdated rate shown in a platform help article. CRA rates.
What happens when I provide a GST/HST or QST number?
Upwork says that if a freelancer enters a valid GST/HST or QST number in its tax information, it does not have to collect the corresponding tax on Upwork’s services. Upwork says it continues to collect applicable PST in BC, Saskatchewan and Manitoba even when a GST/HST or QST number is provided. Its guidance also says the taxpayer name on the relevant W-8 form must match the registered tax name. A nine-digit business number alone is not the full GST/HST account number. Upwork: tax information; CRA: registering an account.
Check the tax-information section of your account and use only a number actually issued to you. Upwork says it does not refund tax already collected when a number is added later; eligibility for an input tax credit or other recovery depends on the applicable rules and records. Upwork help.
Do I have to register for GST/HST?
For most businesses, the small-supplier test considers worldwide taxable revenue, including zero-rated supplies and relevant associated-person revenue. If that revenue exceeds $30,000 in one calendar quarter, you stop being a small supplier immediately and must charge tax starting with the supply that took you over the threshold. If the excess occurs across four consecutive quarters rather than one quarter, the effective date follows a different rule after the following month. Some activities have special rules; voluntary registration may be available before the threshold. CRA: when to register.
Track taxable revenue from all relevant work, not just the net amount deposited after Upwork fees. A qualifying zero-rated sale is still a taxable supply and generally counts. Do not assume that every foreign transaction is zero-rated, or that income tax and GST/HST use the same test.
Does a US client mean I charge 0%?
Not automatically. First identify who actually receives your service, whether the customer is a non-resident for the relevant rule, the nature of the work and any exceptions. CRA says certain services supplied to non-residents can be zero-rated, but excludes, for example, certain services connected to real property in Canada. A US mailing address or payment in US dollars alone does not prove the answer. Preserve the contract and evidence supporting the customer’s status and the service provided. CRA: exported services; CRA: property-related services.
For example, an eligible advertising service supplied to a non-resident who is not registered under the regular GST/HST regime may be zero-rated if the CRA’s conditions are met. A service relating to Canadian real property may be excluded from that treatment. Check the actual agreement and rule before coding either as 0%. CRA: exports—services.
How should I invoice and keep records?
If you are required to collect tax on your own service, determine the applicable rate using the supply and place-of-supply rules, then make sure the customer receives the information required for the transaction. Check the contract and available platform workflow for how you and the client will handle any additional tax; adding your registration number to Upwork’s fee settings does not itself settle tax on your client supply. CRA describes invoice and supporting-document requirements for customers claiming ITCs. CRA: place of supply; CRA: ITC documentation.
Save contracts, client invoices, Upwork fee statements and payment records separately. If amounts are in foreign currency, record the rate and date used for the GST/HST calculation: CRA generally requires Canadian-dollar conversion using the exchange rate in effect when tax becomes payable, with other specified methods available. The bank deposit date is not automatically the tax-conversion date. CRA: foreign currency conversion.
Does Upwork report my income to the CRA?
Upwork says its Canadian digital-platform reporting includes payments and account information for eligible freelancers, and its report presents figures in US dollars. This information reporting is distinct from a freelancer’s obligation to file income tax and any required GST/HST return. Reconcile the report to your own records, fees, refunds and currency conversions. Upwork: Canadian digital-platform reporting.
Sources checked October 16, 2026.