Canada GST/HST, PST, and QST
IMPORTANT
The information in this communication does not constitute tax, legal, or other professional advice. If you have questions, please contact your tax, legal, or other professional advisor.
What is Canada GST/HST, PST, and QST?
Canada Goods and Services Tax (GST) is a federal-level tax applicable to goods and/or services purchased for use or consumption within Canada, while HST, PST and QST are provincial-level taxes, as described below.
- Harmonized Sales Tax (HST) is a combined federal and provincial-level tax (often presented as “GST/HST”) applicable only to participating provinces in Canada. The tax rate can vary depending on the province. Learn more about Canada GST/HST.
- Provincial Sales Tax (PST) is a provincial-level tax imposed by British Columbia and Saskatchewan. Learn more about British Columbia PST and Saskatchewan PST.
- Quebec Sales Tax (QST) is a provincial-level tax imposed by Quebec. Learn more about Quebec QST.
Why is WP Engine collecting Canada GST/HST, PST, and QST?
The tax authorities for Canada and certain provinces have announced rules requiring Canada residents to pay GST/HST/PST/QST on digital services purchased from non-resident vendors who have exceeded certain sales thresholds. WP Engine has exceeded these thresholds and is required to collect tax and remit it to the following tax authorities:
- Canada Revenue Agency: For further information on GST/HST in Canada, visit the Canada Revenue Agency website or call the agency at 1-800-959-5525.
- British Columbia Ministry of Finance: For information about PST in British Columbia, visit the BC Ministry of Finance website or call the agency at 1-877-388-4440.
- Revenu Québec: For information about QST in Quebec, visit the Revenu Québec website or call 1-800-567-4692.
- Saskatchewan Ministry of Finance: For information about PST in Saskatchewan, visit the Saskatchewan Ministry of Finance website, or call 1-800-667-6102.
What is the tax rate for my province/territory?
Tax collected on purchases of items sold by WP Engine depends on many factors, including the destination and type of item purchased. The following tax rates apply based on the province of the billing address.
Canada GST Only
- Alberta – 5% GST
- Yukon – 5% GST
- Northwest Territories – 5% GST
- Nunavut – 5% GST
- Manitoba – 5% GST
Canada GST/HST
- Ontario – 13%
- New Brunswick – 15%
- New Foundland – 15%
- Nova Scotia – 15%
- Prince Edward Island – 15%
Canada GST and PST/QST
- Quebec – 5% GST + 9.975% QST
- British Columbia – 5% GST + 7% PST
- Saskatchewan – 5% GST + 6% PST
Does Canada GST/HST/PST/QST apply to me?
Starting January 1, 2023, WP Engine will charge Canada GST and provincial tax on sales to all customers with a Canada billing address.
Customers who provide a valid GST and/or QST Registration Number will be exempt from GST and/or QST. Customers who do not have a valid Canada GST or Quebec QST Registration Number on file will be taxed by default.
How do I enter my Canada GST or Quebec QST Registration Number into the User Portal?
To provide your Canada GST or Quebec QST Registration Number, login via the WP Engine User Portal and click the “Update Contact Info” dropdown caret. Once here, enter your Canada GST or Quebec QST Registration Number in the “VAT/GST ID” field and click Update.
Will I be retroactively charged for GST?
WP Engine will not retroactively charge customers tax, but will charge GST/HST/PST/QST beginning January 1, 2023 on a prospective basis. Tax will be based on the invoice date.
Example 1:
If an annual subscription renews and is invoiced on December 30, 2022, tax will not be included on that invoice. However, the following annual renewal date of December 30, 2023 will include tax.
Example 2:
If an annual renewal date is May 1, 2023, the renewal invoice will include GST for the May 1, 2023 – April 30, 2024 period and no additional tax will be added for the retroactive period of May 1, 2022 – April 30, 2023.
