Canada Tax FAQ
-
Why are taxes being collected now?Back to TopCountries around the world are focusing on taxing nonresident companies to make up for lost revenue from internet sales and to level the competitive landscape to protect in-country businesses, which are subject to tax. In recognition of this trend, Toastmasters International is proactively researching tax and compliance requirements worldwide.
-
How will this tax be collected and paid to the Canada Revenue Agency?Back to TopToastmasters International is a registered entity with the Canada Revenue Agency and will collect it at the time of the order. The organization utilizes a third-party company that files the necessary returns and remits tax to the appropriate government agency.
-
Do taxes apply to both individual and club-level purchases (for example, new member fees and charter fees)?Back to TopYes, taxes apply to all Toastmasters International transactions, both individual and club level.
-
My club collects dues from members and submits them to World Headquarters. How do we collect the correct tax amount?Back to TopYou can verify the total amount due per member on the Membership Management page of Club Central, shown in USD.
-
If my club’s officers charge the GST at the time of collecting dues to submit to Toastmasters International on a member’s behalf, does the club need to file tax paperwork?Back to TopNo additional bookkeeping is required of club officers to file tax paperwork. The Treasury & Compliance Team at World Headquarters completes this on your behalf.
-
Will the applicable sales tax be automatically added during checkout on the Toastmasters website?Back to TopYes, the appropriate tax will be automatically calculated and applied during any checkout on toastmasters.org.
-
Do receipts include tax breakdowns for recordkeeping?Back to TopYes, receipts include the tax applied.
-
How do taxes vary across provinces with different tax rules?Back to Top
Taxes vary from province to province, and even by product category. Please see the table below for specifics:
Canadian Tax Rates Alberta, Northwest Territories, Nunavut, Yukon Saskatchewan British Columbia, Manitoba Ontario Nova Scotia Quebec New Brunswick, Newfoundland and Labrador, Prince Edward Island Membership Dues 5% 5% 5% 13% 14% 14.975% (5% GST + 9.975% PST) 15% New Member Fee 5% 5% 5% 13% 14% 14.975% (5% GST + 9.975% PST) 15% Sale of Educational Materials 5% 11% (5% GST + 6% PST) 11% (5% GST + 7% PST) 13% 14% 14.975% (5% GST + 9.975% PST) 15% Sale of Goods - Physical Location 5% 11% (5% GST + 6% PST) 11% (5% GST + 7% PST) 13% 14% 14.975% (5% GST + 9.975% PST) 15% Sale of Goods - Online Shop 5% 11% (5% GST + 6% PST) 11% (5% GST + 7% PST) 13% 14% 14.975% (5% GST + 9.975% PST) 15% -
Will my club or members be required to pay the tax twice, one time to Toastmasters International and later to the Canada Revenue Agency when they are auditing the club?Back to TopThis shouldn’t happen, but if there is a misunderstanding, please email the Treasury and Compliance Team at taxquestions@toastmasters.org to let us know if there’s any additional paperwork we can provide.
-
Are GST and other Canadian sales taxes charged in Canadian dollars?Back to TopSince Toastmasters International is in the United States, all prices and taxes are in USD.
-
Is the tax based on the location of the club or location of the member? We have members in different provinces with different HST rates, and we have members who don't live in Canada.Back to TopTax is based on the members’ location, not the club. If the member doesn’t live in Canada, they are subject to whatever taxes were applicable in the country in which they live.
-
Does this mean that my club needs to charge GST and PST for local membership dues?Back to TopNo additional taxes are required to be collected at the local level.