Canada tax - discrepancy between Etsy notification and customs invoice

[RedHotMoulds]

Hi, UK seller here.

I've just completed my first sale to Canada since the introduction of Tax being collected during checkout and I have a query about the figures.

I got a notification from Etsy when the order came through: 'You must write "CA$2.10 Provincial Sales Tax Paid" on your package'

That's fine, but when I print the customs invoice the 'Tax total' on the invoice is actually CA$3.40, and underneath that it says 'BC PST £2.10'

So it seems to me that the figure Etsy is advising me to write on the package is actually the tax value in British Pounds expressed as Canadian Dollars, which I think it wrong.

The tax value of CA$3.40 on the customs invoice is correct, as it is 7% of the sale value.

So surely the tax value that Etsy asks me to write on the package should either be CA$3.40 (if it needs to be in Canadian Dollars) or GBP£2.10 (if it needs to be in British Pounds).

Thank you.

[TreeTreasuresCanada]

"So surely the tax value that Etsy asks me to write on the package should either be CA$3.40 (if it needs to be in Canadian Dollars) or GBP£2.10 (if it needs to be in British Pounds)."  You are correct.  Etsy has done a colossal job of botching everything to do with Canadian taxes.  On top of the wrong currency designation for your customs form, Etsy should not be charging tax for British Columbia.

"If the goods are purchased for non-commercial use, you are not required to collect
and remit PST on the goods, as CBSA will collect PST on the goods as they enter
Canada"  Source; https://www2.gov.bc.ca/assets/gov/taxes/sales-taxes/publications/pst-142-marketplace-facilitators.pd...

[BagmakerSupply]

There are a number of threads on issues with Canadian taxes such as https://community.etsy.com/t5/Technical-Issues/Canada-Sales-Tax-Adjustment-Starting-July-1-2022/m-p/... You might also want to look in the "All Things Finance" forum. Hope that you find an answer. We also do sales to Canada (although from the US) and follow the instructions as provided by Etsy. Although we have been saving screen shots of Etsy's instructions on the order just in case.

[GlassyFields]

Thanks for sharing this.

I get orders from Canada and will make sure I follow the Canadian tax law rather than Etsy instructions.

Carol