Results 1 to 6 of 6
  1. #1
    Newbie
    Join Date
    January 18th, 2005
    Posts
    511
    I have been through 2 accountants to get straight answers to my questions and none can tell me..

    Only one thing im told is that if i do affiliate marketing for any usa companies i dont have to charge the company gst or pst tax

    but im told if i do any affiliate marketing for canadian business i have to charge them gst 7% on top of my earnings.. as im providing them a service

    could any canadian please please give me some advice on this..

  2. #2
    Full Member BrattyKitty's Avatar
    Join Date
    January 18th, 2005
    Location
    Ontario
    Posts
    260
    You are under contract (so to speak) as a self employed individual, contracted to perform specific tasks for the merchant.

    You negotiated the terms and amount (% of pay) and earn wages accordingly on a performance basis. Therefore, any moneys owed you are complete and taxes are assumed to be included as part of your negotiated earnings.


    I had a bookkeeper who deducted the taxes from straight fees I charged every month. She simply calculated what portion of what I charged would have been tax and we submitted our statements accordingly.

    Also, the self employed sub-contractors I hired were paid complete funds and the taxes are their problem (as per the written agreements)



    Your accountant should be able to do something similar for you quite easily

    I'm in Ontario.
    I'm assuming the laws are the same nationwide but I've been wrong before.
    Never argue with an idiot.
    The person watching, may not be able to tell the difference!

    :female: :star: :envelope: [url="http://www.bridalbasics.ca/"]:weddingca[/url]

  3. #3
    Member
    Join Date
    January 18th, 2005
    Location
    Montreal
    Posts
    68
    Sounds weird. I'm not an accountant but I can tell you that businesses don't have to pay GST.. well they do but it is refunded. All the Canadian companies that I am an affiliate for (including one that's a division of AOL) just send me cheques without a second thought.
    <A HREF="http://www.affmarketing.org/">The Affiliate Marketing Blog</A>: Check out my latest entry on "Affiliate Marketing on a Dime"

  4. #4
    CPA Network Rep JP Sauve's Avatar
    Join Date
    January 18th, 2005
    Posts
    369
    My understanding is if you do under $30K annually of business from Canadian sources, you're not obligated to worry about GST.
    [font=verdana][b][size=3][color=red]Are you familiar with [URL]MaxBounty.com[/URL] yet?[/color][/b][/size][/font][font=verdana][b][size=1][color=black]
    Over 120 merchants with CPA/CPS programs seeking affiliates
    Over 4500 network publishers seeking programs to advertise
    Earn $100 per merchant and 5% per affiliate on the second tier [/b][/color][/size][/font]

  5. #5
    The Oilman
    Join Date
    January 18th, 2005
    Posts
    13
    >> I can tell you that businesses don't have to pay GST.. well they do but it is refunded

    That's not entirely true - it's a debit and credit system. You have to collect GST if your revenue is over 30K (gross) and then you can claim GST you've paid for supplies and stuff against the GST you collected. Then if there is still collected GST left over you send it in. If you paid more GST (on legit biz expenses) than you collected you'll get a refund. I should also point out that if you paid more than you collected you're going out of business or your Canadian content of your revenue is only a portion of your income.

    PST varies from province to province. Here in BC PST is charged on real items not services. So as an internet marketer I provide a service and don't have to collect PST on my work.

    If a company is not in Canada they are not required to pay PST or GST and you are not required to collect.

    Technically an affiliate company in Canada should require a GST # from Canadian affiliates that have one and they should pay the 7% out to the affilates. That is how is should work. It's a total headache but that is the law.

    >> Therefore, any moneys owed you are complete and taxes are assumed to be included as part of your negotiated earnings.

    Technically that would work if all the affiliates were Canadian and it was assumed the GST was included. The fact that there are nonCanadians in the mix throws that out of whack tho because they should not get paid GST. So do you pay nonCanadians 7% less? Yes.

  6. #6
    Full Member BrattyKitty's Avatar
    Join Date
    January 18th, 2005
    Location
    Ontario
    Posts
    260
    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR> >> Therefore, any moneys owed you are complete and taxes are assumed to be included as part of your negotiated earnings.
    <HR></BLOCKQUOTE>

    That was to illustrate a point based on a canadian affiliate representing a canadian merchant on a contractual basis.



    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR> The fact that there are nonCanadians in the mix throws that out of whack tho because they should not get paid GST. So do you pay nonCanadians 7% less? Yes. <HR></BLOCKQUOTE>

    Or maybe just pay the Canadians 7% more

    Any objections? LOL!
    Never argue with an idiot.
    The person watching, may not be able to tell the difference!

    :female: :star: :envelope: [url="http://www.bridalbasics.ca/"]:weddingca[/url]

  7. Newsletter Signup

+ Reply to Thread

Similar Threads

  1. Very new and very confused affiliate
    By deniseo in forum Newbie Affiliate FAQs & Helpful Articles
    Replies: 16
    Last Post: October 24th, 2011, 04:55 PM
  2. New and Frustrated Affiliate ;(
    By TheMightyOne in forum Introduce Yourself
    Replies: 18
    Last Post: June 13th, 2009, 02:38 AM
  3. Frustrated Affiliate Glad to Find Resources and Hopefully New Home
    By onmillertime in forum Introduce Yourself
    Replies: 4
    Last Post: December 30th, 2008, 05:26 AM
  4. Frustrated Affiliate Marketer
    By TaylorBaylor in forum Midnight Cafe'
    Replies: 10
    Last Post: April 16th, 2007, 11:14 PM
  5. Merchant confused with affiliate programs...
    By Amy Peters' Studio in forum Introduce Yourself
    Replies: 5
    Last Post: March 31st, 2006, 12:22 PM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •