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In Canada, exports are "zero-rated" sales for You have g.S.T. purposes. This means that when you ship a creation to someone outside Canada, you don't charge F.S.T. Yet, you get to claim (or deduct from the G.S.T. collected by you) all the "input tax credits" (G.S.T. that you paid for business purposes) to make that export. The idea, I suppose, would encourage dispatching.
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Since they paid the G.S.T., they're worth think you would have to charge it again, would you? "Wrong!", smiles the Cheshire cat. As you are a registrant located in Canada, you have got to charge and remit the G.S.T.
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The rationale behind this follows: Since countries can't collect sales tax on Internet transactions at their borders, the sole method they can collect it (other in comparison to self-assessment system) is a good online sales tax. Further, it is claimed that people in europe suffer a key competitive disadvantage because they have to collect Value added tax (VAT) but others never.
