GST on Stock Broking Services
Table of Contents
The GST is implemented at the source by the provincial government, while HST is administered by the Canadian Food and Drugs Corporation, or CFD. The two taxes are designed to compliment each other, with the HST helping to lower the cost of production, and the GST encouraging the purchase of goods from Canadian suppliers and importers. In addition to this, both also aim to increase cross-border trade and facilitate migration, as well as provide an opportunity for increased income for Canada’s producers. In short, the aim is to make life easier for consumers by making goods available at a more reasonable price.
How can GST help you?
How can GST help you? GST is a great way to avoid extra sales tax when shopping online. The aim of this tax is to increase the price of imported goods, and make purchases within Canada more costly. However, buying imported goods from foreign sellers is not only expensive, but it can take up a lot of time. This is where the GST comes into play. When you purchase from a seller within your province, you can deduct the GST on the full purchase price, instead of just the sales tax.
Stock Broking Services
Where to start with your search for a brokerage firm offering GST on Stock Broking Services? Start by looking for stock brokerages that offer GST on Stock Broking Services. The Internet is a great place to find this kind of information. Simply do a search, and you’ll find dozens of search results.
Look at the information on the website. Are there special offers available? Do they charge any fees for these services? If you’re a seasoned investor, you’ll know that you can get most services for free. Just be aware that not all businesses provide all the services they claim.
Also, you’ll need to consider how the tax will affect you. Most countries have a graduated system of taxation. Basically, you’ll pay the lowest tax on items that are very high-priced, and you’ll pay more tax on the items you purchase less often. If you’re an everyday consumer, this can be a great deal. However, if you’re a speculator, or a businessman, you may think differently. Be sure to discuss this with your broker.
Applicability of GST
There is a caveat. Some goods have value that is exempt from tax. Examples include items bought and held by the Canada Revenue Agency, such as antiques and art. Even if the items are sold, they’re still considered exempt, so make sure you read your purchase agreement carefully.
Most provinces have a retailer price index, which is essentially a list of retailers in the province, based on the retail price of similar goods. Check your invoice, or contact the provincial government if you have a receipt. This price list is not intended as a list of wholesale prices, but rather a guide to the cost of similar products. You should use this as a general guideline when deciding what your minimum purchase will be. Always compare prices with other retailers, and don’t assume that because a particular product costs $5 it will be priced the same among all other products. In fact, you may end up with two very different prices because of slight variations in the list.
If you’re planning to hire a tax consultant, see if the brokerage firm has one before you sign on the dotted line. This is an important step, because a tax consultant will know all the rules and regulations about purchasing, selling, and importing goods. The consultant will also be familiar with the latest changes in the HST (Harmonized Sales Tax) system. He’ll help you set up your own tax account and give you advice on how to minimize the tax you pay. For many business owners, hiring a tax consultant is one of the best investments they can make.