Configuring Taxes for Canadian Sites/Zones

[Rebelwax]

For all Canadian stores....Effective January 1, 2008, the rate of the GST and the federal component of the HST will be reduced from 6% to 5%. The provincial component of the HST will remain at 8%. This means that the rate of HST will be reduced from 14% to 13%. Please note that the HST applies only to purchases made in or imported into New Brunswick, Nova Scotia, and Newfoundland and Labrador (the participating provinces) and the GST applies to supplies made in the rest of Canada.

[s_mack]

I always found it interesting that the gov't presumes we all watch tv or that the news will trickle down to everyone eventually. Thanks for posting because some may not have known. But isn't it a bit odd that for something as important as that, that they don't individually notify GST registered businesses by mail? In a way, I'm glad they don't (waste of paper) but there's probably a lot of small businesses that don't catch the change right away and that could screw up accounting later. Then again, the entire tax system is developed to keep accountants employed :)

Cheers and happy newyear.

- Steven

[cougarmtl]

For the first 2 weeks everything was working fine with the TOTAL including all taxes, but for some reason since last night, CANADIAN TAX calculations have come out wrong...


Tax Class: GST/PST/HST Class
Net Price is set at $139.00 <<< my product
Gross Price ends up at: $157.07 < Stores calculations incorrect

When i change the $157.07 which is incorrect, to 157.63 <CORREECT
the NET PRICE changes to : 139.4867 ????????????

It should be 139.00 + GST 5% 6.95 =145.95
plus PST 8% 11.676= 157.626 = FINAL PRICE $157.63

also my GST and PST taxes numbers which should show up on the invoice does not.. i get a pretty plain jane TOTAL. THATS IT...


lol

[cougarmtl]

ALSO.. i have no idea how u edit this!


==============
The following SQL statement would be helpful:
--------
Code:

UPDATE products SET products_tax_class_id = 1 WHERE products_model NOT LIKE 'GIFT%';

(you'd need to confirm that the desired products_tax_class_id = 1, first )
================================================== ======


?????????????

[s_mack]

Umm... you're wrong, its right. $157.07 is absolutely correct. $139 * 1.13 = $157.07

Not sure how you're doing your math, but its wrong. Oh, Actually I see... you are taxing a tax. You do NOT add the PST to the Amount + GST. GST and PST are INDEPENDENTLY calculated on the item amount. The easiest way is to just add the percentages and multiply like I did above.

Anyway, trust me (and the rest of the Canadian accountants) that the shop's method of calculating is correct. It was 2 weeks ago, and it is now.

Cheers.

- Steven

[cougarmtl]

Umm... you're wrong, its right. $157.07 is absolutely correct. $139 * 1.13 = $157.07

Not sure how you're doing your math, but its wrong. Oh, Actually I see... you are taxing a tax. You do NOT add the PST to the Amount + GST. GST and PST are INDEPENDENTLY calculated on the item amount. The easiest way is to just add the percentages and multiply like I did above.

Anyway, trust me (and the rest of the Canadian accountants) that the shop's method of calculating is correct. It was 2 weeks ago, and it is now.

Cheers.

- Steven

%

Hi steven.. prefect timing... yes.. I have been told to calculate the taxes as so..

139.00 my product
+ 5% GST 6.95 = 145.95 + 8% 11.676 = 157.63

Been told to add on the 8% PST ontop of the 5% GST including the product total.

other wise 13% equals $157.07

[cougarmtl]

Btw im in Quebec...


perhaps u might know also, why isnt my GST NUMBER or PST numbers i included showing up

currently i only get this...
Sub-Total: $139.00.
Tax: $6.95.
Total: $145.95.

=================================
I do not get the following *btw i do not have shipping set up, since i ship directly from overseas to my clients..


Sub-Total: $69.00
Per Item (Best Way): $10.00
8.0% PST (Ontario) + 7.0% GST # 86179 1655 RT0001: $10.35 <<<<<<<<
7.0% GST (shipping) + 8.0% PST (shipping): $ 1.50
Total: $90.85

[najibk]

You're awesome. This helps a lot.

[blf]

I am having problems setting up the taxes I live in Saskatchewan and ship across Canada.
I sell two kind of products:

Books (exempt from PST in SK) that need GST in Canada
Books that need HST in Eastern Canada
Courses that need PST and GST in SK
Courses that need GST in Canada
Courses that need HST in Eastern Canada

I set everything up like the first post but unfortunately it doesn't allow me to PST exempt from SK. I know I'm missing a step but don't know what it is.

Any ideas?

[s_mack]

Your situation is more complex, but still doable. You'll have to set up extra tax classes I think. When I have more time I'll think carefully about how you need to do it. Maybe DrByte can answer - he seems to be the expert on this :)