Canada Saskatchewan PST on ecommerce platforms 2021

The Canadian province of Saskatchewan is considering imposing 6% Provincial Sales Tax (PST) on operators of online marketplace platforms selling to its resident consumers. At present, sellers must collect Saskatchewan PST on  digital services on their sales, so there may be risks of double taxation.

The draft legislation would apply the tax retrospectively from 1 January 2020 to platforms resident and outside of the province. This latest version of the legislation clarifies the definition of marketplaces to those which process payments between customers and third-party sellers. Home sharing sites were already included in the rules. Digital services will now include streaming media such as video and computer services.

See Avalara’s VAT on Digital Services global tracker.