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When using a supplier from another province, do we pay GST, HST or PST?

By CO Staff |

Lynn asked:

We are located in Manitoba and had a guest speaker come in from Ontario. I know we pay gst on the speaker fees, but do we pay Ontario pst too?

CO Staff answered:

Ontario no longer has PST, as it introduced the HST on July 1, 2010.

However, there is still a question of what taxes apply in your situation. CRA has a tax ruling on this issue, "Services in relation to a location-specific event ."

That ruling notes that the general rule used for supplies of services will not apply when the service relates to a location event, such as a seminar. Other examples of services that fall under this ruling include performances, festivals, ceremonies, conventions, conferences and symposiums.

If more than 50 per cent of the service will be performed at the location of the event in a province, then the service will considered to have been made in the province where the event is held.

Therefore, your speaker should charge the GST and not the HST, which is normally what a speaker in Ontario would charge.

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