Canada Saskatchewan PST on e-services

The Canadian Province of Saskatchewan imposed its Provincial Sales Tax (PST) on electronic services in January 2019. Saskatchewan PST is currently 6%.

Scope of e-services

The taxable definition of e-services includes income for foreign providers of: streaming or download media; e-learning; app's; e-books and periodicals; online gaming; dating websites; SaaS services; and membership to online associations.

PST is the local state tax and is charged on taxable supplies with the federal government's Goods and Services Tax, GST. However, Canada is yet to impose GST on e-services. Quebec introduced its provincial sales tax, QST, on e-services at the same date as Saskatchewan.

PST compliance

Foreign services providers are now required to register with the Saskatchewan Ministry of Finance to file and remit collected PST. Providers will have to track and identify the location of the user to determine if PST is due. Generally, this may be determined by one of the following flags:

  • IP address within the state;
  • Credit card number issued in state; or
  • The postal address of the user.

From January 2020, marketplaces become liable for PST on digital services.

Other resources

This guide covers the essential steps ecommerce sellers need to take now that the UK has left the EU Customs Union and VAT regime to keep their cross-border sales going, avoid extra tax costs and frustrated customers.

Read the report to learn about key industry trends, emerging issues, and challenges faced by cross-border sellers and shippers.

Manage international tax with cross-border solutions for VAT, HS code classification, trade restrictions, and more.

Connect with Avalara for the content you need to do tax compliance right