For members with no stores in Quebec: Province will collect Quebec Sales Tax from Canadian suppliers of goods (based outside of Quebec)

The Quebec budget of March 27 requires Canadian retailers without a store in Quebec who serve Quebec residents through online sales or other non-physical channels over a threshold of $30,000 to register, collect and remit Quebec Sales Tax of 9.975% starting September 1, 2019. The government also announced its intention to enter into discussions with other provinces to put in place information sharing agreements and provide mutual assistance in fiscal matters.

The move to collect provincial sales tax from non-resident suppliers is increasingly popular, with countries such as Australia and Singapore adopting similar measures. Quebec is the first province with a non-harmonized sales tax to move on this issue, leveling the playing field between online sales and those made by bricks and mortar stores in Quebec and potentially setting a precedent for other Canadian jurisdictions.

Next Steps:

• RCC will keep members up-to-date on the implementation of this new requirement.

If you have any questions or concerns, please do not hesitate to contact: Jean-Luc Benoît, Director, Government Relations (Quebec), at jlbenoit@cccd-rcc.org or 514 316-8913