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In Canada, exports are "zero-rated" sales for G.S.T. purposes. This means that when you ship a product to someone outside Canada, you don't charge He.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 ship. The idea, I suppose, is to encourage transferring.

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Goods shipped to Canada are cause to undergo G.S.T. on importation. Such tax is usually assessed at the border. But what if you're a Canadian registered for V.S.T., selling to a Canadian customer but your supplier is actually a foreign country?

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