Dropshipping adds import tax complexity most standard guides skip. Here’s how the CA$30,000 threshold and Canada’s cross-border rules interact.
Last updated: June 2026
Dropshipping doesn’t get a special GST/HST threshold — you register once your worldwide taxable revenue exceeds CA$30,000, exactly like any other retail business. Your taxable revenue is based on the price your customer pays you, not your profit margin.
If your supplier ships from within Canada, normal rules apply as if you held the stock yourself. If your supplier ships directly from overseas to your Canadian customer, that’s an import, and Canada’s rules for goods sold through digital platforms and marketplaces (effective since 2021) may mean the platform itself is responsible for collecting GST/HST on qualifying goods, rather than you — but for sales through your own independent website (not a qualifying platform), you as the seller generally remain responsible for registering and charging tax once above the threshold.
The sale price — the full amount your customer pays. Your margin is irrelevant to the CA$30,000 threshold, which is based on revenue, not profit.
Generally no, if you’re simply purchasing from a foreign supplier and reselling — you’re their customer, not conducting a taxable activity in their jurisdiction.
It depends on your supplier’s shipping terms and who is named as importer of record. This should be clear before you start selling a product.
No, generally not for your own independent store — these platforms provide calculation tools, but you remain responsible for registering and filing correctly.
Often not, since dropshipping businesses typically have real, ongoing Input Tax Credits on supplier and platform costs, which the Quick Method generally doesn’t let you claim separately.
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