# HST Registration



## beachman (Apr 28, 2012)

I sell online and will exceed 30k sales treshold. Since these are online sales to non-Canadian customers, so I still have to register for HST? I called CRA and was told I don't, but I am paranoid and thought I should around.

Regards


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## Homerhomer (Oct 18, 2010)

I don't believe the response from CRA was correct, nor beneficial to you, here are the points to ponder about:

Your HST registration requirement is based on what you are selling, not where your customers are, there are three types of products/services: HST exempt (you can't charge HST for that, in turn you can't register for HST and you can't deduct HST from your expenses and claim it back on your return), HST zero rated, means you do not charge hst on your sales but you have to register for HST, and you can claim your HST ITC on expenses, and HST taxable product/services, you charge HST on revenues, and you claim back HST on your expense.

If you fall into category of HST zero rated, or taxable product or services, you should register, if you sell only to foreign customers you won't charge them HST, but you will get back HST paid on your expenses.


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## beachman (Apr 28, 2012)

Thanks for the reply.

Let's just say there is very little input tax credit I can calim since most merchandise is being dropshipped (lets say from one usa factory to a usa customer). My question really is do I have to register.... or simply will I be penalised since there are no sales taxes being collected and owed.


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## Homerhomer (Oct 18, 2010)

beachman said:


> My question really is do I have to register....





Homerhomer said:


> Your HST registration requirement is based on what you are selling, not where your customers are..........., .


That was the response to your question ;-)


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## Young&Ambitious (Aug 11, 2010)

I don't specialize in HST but I believe this is a no. http://www.cra-arc.gc.ca/tx/bsnss/tpcs/gst-tps/gnrl/hst-tvh/gds-eng.html


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