Do I need to pay taxes on Consultation from abroad?

[k.h.p.]

You can have your opinions but not your own facts. The service is exempt, but okay.

 

[S.Shamz]

Taxes are technically only payable if the service is delivered in Canada. However, the consultant may simply be charging them for ease of accounting or because they haven't set up their accounting system for out-of-cabada transactions.

That being said, do you want to argue with someone you're entrusting with passports and immigration?

lol....

 

[S.Shamz]

In this case, the end product, the study permit, is to be used in Canada, I don't see why GST would not apply.

I do understand there should be a tax applied to the government portion, which I called them and they said there is no Tax charges over your application fee. If the application fee is 150 dollar, you pay the same amount. The truth is that counsellors make a little money from this telling customer that in Canada you have to pay taxes on everything, which could be around $20 in total ...I understand it seems nothing however it is in our money conversion to CAD, but you know , you don't want to pay for something which is fishy....it feels like rip off; I was super angry when I found that the Government does not charge taxes on the application fees and the counselor charge it.

 

[S.Shamz]

Thanks everyone for your reply...it was really helpful reading your posts...

 

[S.Shamz]

Consulting services are zero-rated for taxation when supplied to non-residents outside of Canada. There's even a specific exemption for consulting services to help a non-resident person establish a residence.

From the CRA:



I have added the bold underlining.

Source: https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/charge-collect-imports-exports.html

Thanks...