Digital products follow the same CA$30,000 threshold as any other business for Canadian sellers — but non-resident sellers face a simplified registration regime with no threshold exemption.
Last updated: June 2026
If you’re a Canada-based business selling ebooks, software, apps, or online courses to Canadian consumers, standard GST/HST rules apply: once your taxable revenue exceeds CA$30,000, you charge GST or HST based on your customer’s province. Below the threshold, no tax is charged unless you’ve registered voluntarily.
Since 2021, Canada requires non-resident businesses selling digital products and services to Canadian consumers to register under a simplified GST/HST framework, generally without the CA$30,000 small supplier exemption applying in the same way — non-resident digital suppliers must register once specified revenue thresholds to Canadian consumers are met, which are assessed similarly around CA$30,000 but under the specific non-resident rules.
This affects streaming, SaaS, ebook platforms, and online course providers based outside Canada selling to Canadian consumers, who must charge the appropriate GST/HST rate based on where the consumer is located.
If your customer is a GST/HST-registered Canadian business providing a valid business number, the sale may be treated differently than a consumer sale, with the business self-assessing tax in certain circumstances — always obtain and verify business registration status before treating a sale as B2B.
Yes, if your sales of digital products to Canadian consumers meet the relevant threshold under the simplified non-resident registration regime, regardless of where your business is based.
The rate depends on your customer’s province — GST only (5%) in some provinces, or the applicable HST rate (up to 15%) in HST-participating provinces like Ontario, Nova Scotia, and others.
Often yes for larger marketplaces, which may act as the registered supplier under Canada’s digital platform rules. Check your specific platform’s terms and tax documentation.
If the business provides a valid GST/HST registration number, the sale may be treated as B2B — verify their status before applying this treatment rather than assuming.
The specific registration mechanics differ (simplified vs standard registration), but both are assessed against thresholds in the same general range — check current CRA guidance for exact figures as these can be updated.
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