In Canada, exports are "zero-rated" sales for Delaware.S.T. purposes. This means that when you ship some thing to someone outside Canada, you don't charge Gram.S.T. Yet, you get to claim (or deduct with the G.S.T. collected by you) all the "input tax credits" (G.S.T. that you paid for business purposes) to make that move. The idea, I suppose, is to encourage dispatching.
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As well, each province and territory has a rules. Ontario charges eight percent retail sales tax on many typical Internet transactions whereas Alberta doesn't have an provincial sales tax.
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Canada has what stores call a national sales tax or a value added tax (VAT). This Goods and Services Tax (G.S.T.) of 5 percent (as at January 1, 2008) is applicable to many Canadian sales.
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