Revenue Canada changed the rules for HST on digital sales for non-resident companies effective July 1, 2021. Is anyone familiar with this change? I did a preview listing, and would have expected to see 13% HST specified on the costs below the 14% AIRBNB service fee. It wasn't there. Also, there should be a way on the website for us to input our HST # so that we receive full revenue + HST. Prior to this change we received our portion of the revenue, and then manually we split out the dollar amount received into Rent vs HST.
I reported this tax change to AIRBNB months ago asking for guidance re: when invoices were created, changed, etc and how that would impact taxation. eg. Client books reservation for Aug, in June. Only 14% service fees on AIRBNB invoice. If client changes their reservation in July to add a guest, or add a night, how is that implemented on the platform? Does 13% HST apply to the whole invoice since it is being edited post July 1, 2021? Or does the HST only apply to the services that were added to the invoice? Lost of questions. AIRBNB had no answers for me. And now it's post July 1st, and they aren't quoting HST to clients.
Hoping someone has guidance.
https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/digital-ec...
