Canadians using Canadian Affilaite sponsers - GoFuckYourself.com

SleazyDream · 12-05-2002, 01:01 PM

My understanding is on all this new GST crap that if you use a US sponser you're ok, but if you use a Canadian affiliate sponser and you are a Canadian then you have to pay 7% GST on all income received from that Canadian affiliate sponser.

That puts concrerte blocks on any Canadian sponser trying to recruit any Canadian websites for their affilaite programs. Very very scarry stuff.

Jay_StandAhead · 12-05-2002, 01:06 PM

Quote:

Originally posted by SleazyDream
My understanding is on all this new GST crap that if you use a US sponser you're ok, but if you use a Canadian affiliate sponser and you are a Canadian then you have to pay 7% GST on all income received from that Canadian affiliate sponser.

That puts concrerte blocks on any Canadian sponser trying to recruit any Canadian websites for their affilaite programs. Very very scarry stuff.

That is wrong.

You would have to CHARGE GST to your Canadian affiliate program.

It wouldn't change a thing for you, unless the affiliate program refuses to accept you business.

The affiliate program can claim GST back, so if they really want you business, they'll pay GST on your fees, and claim it back.

JFK · 12-05-2002, 01:07 PM

Yes It is Scary

SleazyDream · 12-05-2002, 01:07 PM

Quote:

Originally posted by Jay[neX]

That is wrong.

You would have to CHARGE GST to your Canadian affiliate program.

It wouldn't change a thing for you, unless the affiliate program refuses to accept you business.

The affiliate program can claim GST back, so if they really want you business, they'll pay GST on your fees, and claim it back.

but if it wasn't collected the alliliate is liable for it correct?

Jay_StandAhead · 12-05-2002, 01:09 PM

Quote:

Originally posted by SleazyDream

but if it wasn't collected the alliliate is liable for it correct?

True.

If the affiliate is ordered to charge GST on its fees, and goes back to the affiliate program, it could become interesting.

x582 · 12-05-2002, 01:10 PM

You are providing the service of sending traffic to a sponsor program.

You are in some way INVOICING the sponsor program for your service, then you have to CHARGE GST to this sponsor program.

If you are the webmaster - you have to remit the GST you collected to the CCRA.

If you are the sponsor program - you can claim back the GST to the CCRA.

GTS Mark · 12-05-2002, 01:11 PM

Hmmm does that mean any revenues generated for Platinum Bucks and Python must have GST collected?

DH

Daymare · 12-05-2002, 01:12 PM

Gamma, python, and other CA affiliates I don't use anyway, so I'm ok.

I only stick to US companies because of that

Jay_StandAhead · 12-05-2002, 01:12 PM

Quote:

Originally posted by DrinkingHard
Hmmm does that mean any revenues generated for Platinum Bucks and Python must have GST collected?

DH

If you're in Canada, yes.

x582 · 12-05-2002, 01:13 PM

Quote:

Originally posted by DrinkingHard
Hmmm does that mean any revenues generated for Platinum Bucks and Python must have GST collected?

DH

If you are Canadian and registered for GST or making more than $30,000 per year from your Canadian sponsor(s).

The answer is : YES!

SleazyDream · 12-05-2002, 01:14 PM

Quote:

Originally posted by x582
You are providing the service of sending traffic to a sponsor program.

You are in some way INVOICING the sponsor program for your service, then you have to CHARGE GST to this sponsor program.

If you are the webmaster - you have to remit the GST you collected to the CCRA.

If you are the sponsor program - you can claim back the GST to the CCRA.

ahhh - this is good news - a little more paperwork but very very very good news.
It would only be a concern for affiliate making over $30k a year as less than that isn't subject to collect GST.

x582 · 12-05-2002, 01:19 PM

This is the SCARY PART:

Let's say that I generated $5,000 with Gamma this year. Because I am registered for GST - I do have to INVOICE THEM for GST (7%). Gamma, do have to pay me this 7% that I have to send to CCRA.

Gamma then claim back the GST they paid to the CCRA.

BUT!

CCRA wants to know more about that, and then investigate Gamma and they're fucked all the way if they never charged GST to their members.

CCRA might use this to enter in their books and audit them.

Jay_StandAhead · 12-05-2002, 01:21 PM

Quote:

Originally posted by x582
This is the SCARY PART:

Let's say that I generated $5,000 with Gamma this year. Because I am registered for GST - I do have to INVOICE THEM for GST (7%). Gamma, do have to pay me this 7% that I have to send to CCRA.

Gamma then claim back the GST they paid to the CCRA.

BUT!

CCRA wants to know more about that, and then investigate Gamma and they're fucked all the way if they never charged GST to their members.

CCRA might use this to enter in their books and audit them.

Exactly.

And what if Gamma doesn't wanna pay your GST invoice?

SleazyDream · 12-05-2002, 01:22 PM

Quote:

Originally posted by Jay[neX]

Exactly.

And what if Gamma doesn't wanna pay your GST invoice?

that's where the concrete blocks come in. this new ruling pretty much makes it VERY difficult for canadian sponsers to use canadian affiliates the way I see it.

x582 · 12-05-2002, 01:22 PM

You're fucked in the ass like a sheep.

Jay_StandAhead · 12-05-2002, 01:23 PM

Quote:

Originally posted by SleazyDream

that's where the concrete blocks come in. this new ruling pretty much makes it VERY difficult for canadian sponsers to use canadian affiliates the way I see it.

Unless they are willing to cooperate and pay GST, which I'm sure the big guys are.

SleazyDream · 12-05-2002, 01:30 PM

the $30K a year revenue too isn't from one sponser, it's total revenue your business receives from all sourses I believe.

x582 · 12-05-2002, 01:34 PM

Quote:

Originally posted by SleazyDream
the $30K a year revenue too isn't from one sponser, it's total revenue your business receives from all sourses I believe.

Exactly, but almost everyone in Canada who registered a DBA or incorporated already has a GST number. So they have to charge GST even if they generate under $30,000 per year.

Jay_StandAhead · 12-05-2002, 01:34 PM

I just called Gamma.

If you are a Canadian webmaster, you are supposed to invoice them for GST after you receive their payout.

They have been doing this for a long time.

See? The big Canadian players are willing to cooperate

x582 · 12-05-2002, 01:35 PM

Who's calling Platinum Bucks now?

SleazyDream · 12-05-2002, 01:36 PM

Quote:

Originally posted by Jay[neX]
I just called Gamma.

If you are a Canadian webmaster, you are supposed to invoice them for GST after you receive their payout.

They have been doing this for a long time.

See? The big Canadian players are willing to cooperate

That is VERY good news

ronaldo · 12-05-2002, 01:37 PM

Quote:

Originally posted by SleazyDream
the $30K a year revenue too isn't from one sponser, it's total revenue your business receives from all sourses I believe.

That would be correct.

SleazyDream · 12-05-2002, 01:37 PM

Quote:

Originally posted by x582

Exactly, but almost everyone in Canada who registered a DBA or incorporated already has a GST number. So they have to charge GST even if they generate under $30,000 per year.

lets take this a step further - say I'm registered for GST but make under $30K a year - I don't have to submit it but can I still charge it and collect 7% extra from a large paysite? they will get refunded for it...........

ronaldo · 12-05-2002, 01:38 PM

Quote:

Originally posted by Jay[neX]
I just called Gamma.

If you are a Canadian webmaster, you are supposed to invoice them for GST after you receive their payout.

They have been doing this for a long time.

See? The big Canadian players are willing to cooperate

My apologies to you Jay for mocking you in the other thread.

I didn't think any affiliate sponsor would pay that.

You are right. I am wrong.

Jay_StandAhead · 12-05-2002, 01:40 PM

Quote:

Originally posted by ronaldo

My apologies to you Jay for mocking you in the other thread.

I didn't think any affiliate sponsor would pay that.

You are right. I am wrong.

No worries man

x582 · 12-05-2002, 01:43 PM

Quote:

Originally posted by SleazyDream

lets take this a step further - say I'm registered for GST but make under $30K a year - I don't have to submit it but can I still charge it and collect 7% extra from a large paysite? they will get refunded for it...........

If you collect it - you have to remit it. Simple as that.

The $30,000 is a bit misleading. The law state that it is MANDATORY to be registered for GST if you generate over $30,000 in revenu per year. Even if you generate under $30,000 you CAN be registered as well but it is not mandatory.

But if you collect it, not matter what, you have to remit it.

Fletch XXX · 12-05-2002, 01:47 PM

Isnt this no different than US webmasters reporting what we make from US Sponsors?

Just curious, I dont know Canadian taxes and laws etc...

x582 · 12-05-2002, 01:49 PM

Quote:

Originally posted by Fletch XXX
Isnt this no different than US webmasters reporting what we make from US Sponsors?

Just curious, I dont know Canadian taxes and laws etc...

GST is a sales tax. You guys are not invoicing your sponsors for sales tax - right?

Jay_StandAhead · 12-05-2002, 01:49 PM

Quote:

Originally posted by Fletch XXX
Isnt this no different than US webmasters reporting what we make from US Sponsors?

Just curious, I dont know Canadian taxes and laws etc...

GST is a sales tax. (goods and service tax)

It's different than the tax on revenues.

Platinum Dave · 12-05-2002, 01:59 PM

Quote:

Originally posted by DrinkingHard
Hmmm does that mean any revenues generated for Platinum Bucks and Python must have GST collected?

DH

Many of the larger companies have already gone off shore.

Platinum Bucks included

SleazyDream · 12-05-2002, 02:03 PM

Quote:

Originally posted by Fletch XXX
Isnt this no different than US webmasters reporting what we make from US Sponsors?

Just curious, I dont know Canadian taxes and laws etc...

GST is a sales tax, not an income tax

x582 · 12-05-2002, 02:06 PM

Quote:

Originally posted by Platinum Dave

Many of the larger companies have already gone off shore.

Platinum Bucks included

Is it offshore too on your checks or it's from a Canadian company?

SleazyDream · 12-05-2002, 02:07 PM

Quote:

Originally posted by Platinum Dave

Many of the larger companies have already gone off shore.

Platinum Bucks included

when did that happen?

x582 · 12-05-2002, 02:11 PM

Quote:

Originally posted by Platinum Dave

Many of the larger companies have already gone off shore.

Platinum Bucks included

If you guys are offshore, it means that I have to adjust my books and put a verifiable outside Canada address. If not, I can be in trouble because I don't charge you GST.

yys · 12-05-2002, 02:12 PM

Don't you just love our thieving government. They'd fucking try to tax the air we breathe if they could; shit maybe there going to tax that too, koyoto.

x582 · 12-05-2002, 02:18 PM

Quote:

Originally posted by yys
Don't you just love our thieving government. They'd fucking try to tax the air we breathe if they could; shit maybe there going to tax that too, koyoto.

I know that what I am about to say might sound wrong at some point but...

I am fucking tired to pay more tax than some people to have the same fucking service or LESS. I would vote anytime for someone who propose a FLAT TAX.

People on wealthfare pay like nothing in tax, they live for free and get free dental and shit like that.

I pay more tax, I don't get free dental, the government pisses me off because they audit me EVERY FUCKING YEAR and it cost me thousands in accountant and tax lawyer to defend myself.

SleazyDream · 12-05-2002, 02:26 PM

Quote:

Originally posted by x582

I know that what I am about to say might sound wrong at some point but...

I am fucking tired to pay more tax than some people to have the same fucking service or LESS. I would vote anytime for someone who propose a FLAT TAX.

People on wealthfare pay like nothing in tax, they live for free and get free dental and shit like that.

I pay more tax, I don't get free dental, the government pisses me off because they audit me EVERY FUCKING YEAR and it cost me thousands in accountant and tax lawyer to defend myself.

amen

Fletch XXX · 12-05-2002, 02:28 PM

So they are trying to tax you a 'sales tax' on your sales?

Yikes.

ZoiNk · 12-05-2002, 02:28 PM

Quote:

Originally posted by x582

I am fucking tired to pay more tax than some people to have the same fucking service or LESS. I would vote anytime for someone who propose a FLAT TAX.

I agree with that, flat tax is nice, Alberta's provincal income taxes are already flat tax. 10% for indivuals, 13% for companies (after your basic exemptions). I just wish someone would also do it on a federal level. Only party I know that has proposed it is the Canadian Alliance, and everyone knows they will never lead the country.
ZoiNk

Jay_StandAhead · 12-05-2002, 02:35 PM

Quote:

Originally posted by ZoiNk

Only party I know that has proposed it is the Canadian Alliance, and everyone knows they will never lead the country.
ZoiNk

Thanks god.

x582 · 12-05-2002, 02:44 PM

Stockwell Day

x582 · 12-05-2002, 02:48 PM

Quote:

Originally posted by Fletch XXX
So they are trying to tax you a 'sales tax' on your sales?

Yikes.

Let's say you receive your weekly check from ARS of $3,000 - imagine that you would have to invoice ARS a sales tax of $275.

FlyingIguana · 12-05-2002, 03:18 PM

if i work for a company on commission and i'm an independant business, i don't have to charge them gst. why is it different for online companies?

x582 · 12-05-2002, 03:27 PM

Quote:

Originally posted by FlyingIguana
if i work for a company on commission and i'm an independant business, i don't have to charge them gst. why is it different for online companies?

You have to charge them GST if your revenues exceed $30,000 or you are registered for GST (you have a GST number). Whether it is online or offline, this is the same thing.

PaulSweet · 12-05-2002, 03:29 PM

Since most Canadian affiliates have registered businesses in the USA for their Affiliate programs to comply with Visa Regulations.....it seems unlikely that you would technically be working with the Canadian portion of the business. As long as the cheques you are issued are drawn on the American Bank from the American portion of the business I imagine you'd be fine.

Anyone have anymore information on that pro or con?

FlyingIguana · 12-05-2002, 03:30 PM

i've thought for a while now that sales tax should be eliminated in canada and put that amount on revenue tax. they'd save money on collecting all this cash and its also a major hassle. does nothing more than hurt canadian businesses in a global economy.

x582 · 12-05-2002, 03:39 PM

Quote:

Originally posted by PaulSweet
Since most Canadian affiliates have registered businesses in the USA for their Affiliate programs to comply with Visa Regulations.....it seems unlikely that you would technically be working with the Canadian portion of the business. As long as the cheques you are issued are drawn on the American Bank from the American portion of the business I imagine you'd be fine.

Anyone have anymore information on that pro or con?

It all depends on where is located the affiliate program. Where is located the company to who I am providing the service.

If I am providing the service to SEG in CarsonCity Nevada and the contract between me (webmaster) and SEG (affiliate program) is between me and a company in NV USA - I DO NOT have to charge GST.

If the contract was between me (webmaster) and SEG in Vancouver Canada - I would have to charge SEG Vancouver the GST on the revenues I generated.

If I subscribed to SEG and I received revenues while SEG was in Vancouver and not in NV USA - the revenues I generated while SEG was in Vancouver Canada are subject to GST.

--

Some Canadian companies do have another company in the USA that they use to pay their affiliates. Even if you receive a check from an offshore location or a foreign bank - it doensn't matter. Even if the Canadian affiliate program has a contract with another company in the USA to pay their affiliates.

The only thing that the law consider is where are located the 2 parties who signed the contract. (contract = terms of service).

m0rph3us · 12-05-2002, 03:46 PM

Basically if you do business with another Canadian firm you have to 'charge' them GST. You don't actually charge them; but from a $10,000 monthly check, per say, you'd have to pay the CCRA $700 each month as total sales would be $9300

You are providing an Advertising (productive traffic = sales) service to a company. If the company ( they don't even have to BE BASED IN CANADA - if they are registered for a GST or with the CCRA, you have to pay gst), then you have to pay GST on all income earned.

However, if the company you are providing the services is a non-resident, non-registered business then you don't have to pay GST. This is from the point of view of the affiliate.

Jay_StandAhead · 12-05-2002, 03:53 PM

Quote:

Originally posted by m0rph3us
Basically if you do business with another Canadian firm you have to 'charge' them GST. You don't actually charge them; but from a $10,000 monthly check, per say, you'd have to pay the CCRA $700 each month as total sales would be $9300

You are providing an Advertising (productive traffic = sales) service to a company. If the company ( they don't even have to BE BASED IN CANADA - if they are registered for a GST or with the CCRA, you have to pay gst), then you have to pay GST on all income earned.

However, if the company you are providing the services is a non-resident, non-registered business then you don't have to pay GST. This is from the point of view of the affiliate.

Exactly.

However, you don't have to take a 7% hit, it is the affiliate program's responsability to pay GST on your fees.

Gammacash already does it, and other will have to follow.

If the affiliate program your deal with tells you that they don't want your business if you charge them GST, you could then decide to take a 7% hit. It might be worth it

x582 · 12-05-2002, 03:56 PM

Quote:

Originally posted by Jay[neX]

Exactly.

However, you don't have to take a 7% hit, it is the affiliate program's responsability to pay GST on your fees.

Gammacash already does it, and other will have to follow.

If the affiliate program your deal with tells you that they don't want your business if you charge them GST, you could then decide to take a 7% hit. It might be worth it

Well if they don't pay - you could always use the service of a collection agency. If they failed to collect the money, you can writte off this amount as a loss in your books.

12-05-2002, 01:01 PM	#1
SleazyDream I'm here for SPORT Industry Role: Join Date: Jul 2001 Location: Phone # (401) 285-0696 Posts: 41,470	Canadians using Canadian Affilaite sponsers My understanding is on all this new GST crap that if you use a US sponser you're ok, but if you use a Canadian affiliate sponser and you are a Canadian then you have to pay 7% GST on all income received from that Canadian affiliate sponser. That puts concrerte blocks on any Canadian sponser trying to recruit any Canadian websites for their affilaite programs. Very very scarry stuff. __________________ This dog, is dog, a dog, good dog, way dog, to dog, keep dog, an dog, idiot dog, busy dog, for dog, 20 dog, seconds dog! Now read without the word dog.

12-05-2002, 01:07 PM	#3
JFK FUBAR the ORIGINATOR Industry Role: Join Date: Jan 2002 Location: FUBARLAND Posts: 67,374	Yes It is Scary __________________ FUBAR Webmasters - The FUBAR Times - FUBAR Webmasters Mobile - FUBARTV.XXX For promo opps contact jfk at fubarwebmasters dot com

12-05-2002, 01:19 PM	#12
x582 Confirmed User Join Date: Mar 2002 Location: heh? Posts: 609	This is the SCARY PART: Let's say that I generated $5,000 with Gamma this year. Because I am registered for GST - I do have to INVOICE THEM for GST (7%). Gamma, do have to pay me this 7% that I have to send to CCRA. Gamma then claim back the GST they paid to the CCRA. BUT! CCRA wants to know more about that, and then investigate Gamma and they're fucked all the way if they never charged GST to their members. CCRA might use this to enter in their books and audit them. Last edited by x582; 12-05-2002 at 01:20 PM..

12-05-2002, 01:30 PM	#17
SleazyDream I'm here for SPORT Industry Role: Join Date: Jul 2001 Location: Phone # (401) 285-0696 Posts: 41,470	the $30K a year revenue too isn't from one sponser, it's total revenue your business receives from all sourses I believe. __________________ This dog, is dog, a dog, good dog, way dog, to dog, keep dog, an dog, idiot dog, busy dog, for dog, 20 dog, seconds dog! Now read without the word dog.

12-05-2002, 01:47 PM	#27
Fletch XXX GFY HALL OF FAME DAMMIT!!! Join Date: Jan 2002 Location: that 504 Posts: 60,840	Isnt this no different than US webmasters reporting what we make from US Sponsors? Just curious, I dont know Canadian taxes and laws etc... __________________ Want an Android App for your tube, membership, or free site? Need banners or promo material? Hit us up (ICQ Fletch: 148841377) or email me fletchxxx at gmail.com - recent work - About me

12-05-2002, 01:10 PM	#6
x582 Confirmed User Join Date: Mar 2002 Location: heh? Posts: 609	You are providing the service of sending traffic to a sponsor program. You are in some way INVOICING the sponsor program for your service, then you have to CHARGE GST to this sponsor program. If you are the webmaster - you have to remit the GST you collected to the CCRA. If you are the sponsor program - you can claim back the GST to the CCRA.

12-05-2002, 01:11 PM	#7
GTS Mark Vrume Mark Industry Role: Join Date: Jan 2001 Location: Toronto, Canada Posts: 20,912	Hmmm does that mean any revenues generated for Platinum Bucks and Python must have GST collected? DH

12-05-2002, 01:12 PM	#8
Daymare Confirmed User Industry Role: Join Date: Feb 2002 Posts: 2,674	Gamma, python, and other CA affiliates I don't use anyway, so I'm ok. I only stick to US companies because of that

12-05-2002, 01:22 PM	#15
x582 Confirmed User Join Date: Mar 2002 Location: heh? Posts: 609	You're fucked in the ass like a sheep.

12-05-2002, 01:34 PM	#19
Jay_StandAhead Confirmed User Industry Role: Join Date: Jul 2002 Posts: 3,103	I just called Gamma. If you are a Canadian webmaster, you are supposed to invoice them for GST after you receive their payout. They have been doing this for a long time. See? The big Canadian players are willing to cooperate

12-05-2002, 01:35 PM	#20
x582 Confirmed User Join Date: Mar 2002 Location: heh? Posts: 609	Who's calling Platinum Bucks now?

12-05-2002, 02:12 PM	#35
yys Confirmed User Join Date: Aug 2001 Posts: 1,922	Don't you just love our thieving government. They'd fucking try to tax the air we breathe if they could; shit maybe there going to tax that too, koyoto.

12-05-2002, 02:28 PM	#38
Fletch XXX GFY HALL OF FAME DAMMIT!!! Join Date: Jan 2002 Location: that 504 Posts: 60,840	So they are trying to tax you a 'sales tax' on your sales? Yikes. __________________ Want an Android App for your tube, membership, or free site? Need banners or promo material? Hit us up (ICQ Fletch: 148841377) or email me fletchxxx at gmail.com - recent work - About me

12-05-2002, 02:44 PM	#41
x582 Confirmed User Join Date: Mar 2002 Location: heh? Posts: 609	Stockwell Day

12-05-2002, 03:18 PM	#43
FlyingIguana aspiring banker Join Date: Mar 2002 Location: toronto Posts: 10,870	if i work for a company on commission and i'm an independant business, i don't have to charge them gst. why is it different for online companies?

12-05-2002, 03:29 PM	#45
PaulSweet Confirmed User Join Date: May 2002 Location: Vancouver, Canada Posts: 1,094	Since most Canadian affiliates have registered businesses in the USA for their Affiliate programs to comply with Visa Regulations.....it seems unlikely that you would technically be working with the Canadian portion of the business. As long as the cheques you are issued are drawn on the American Bank from the American portion of the business I imagine you'd be fine. Anyone have anymore information on that pro or con? __________________ PG4L! Home to the MAX HARDCORE video Plugin!

12-05-2002, 03:30 PM	#46
FlyingIguana aspiring banker Join Date: Mar 2002 Location: toronto Posts: 10,870	i've thought for a while now that sales tax should be eliminated in canada and put that amount on revenue tax. they'd save money on collecting all this cash and its also a major hassle. does nothing more than hurt canadian businesses in a global economy.

12-05-2002, 03:46 PM	#48
m0rph3us Confirmed User Join Date: Mar 2001 Location: Principality of Sealand Posts: 2,033	Basically if you do business with another Canadian firm you have to 'charge' them GST. You don't actually charge them; but from a $10,000 monthly check, per say, you'd have to pay the CCRA $700 each month as total sales would be $9300 You are providing an Advertising (productive traffic = sales) service to a company. If the company ( they don't even have to BE BASED IN CANADA - if they are registered for a GST or with the CCRA, you have to pay gst), then you have to pay GST on all income earned. However, if the company you are providing the services is a non-resident, non-registered business then you don't have to pay GST. This is from the point of view of the affiliate. __________________ <font size="2" face="Tahoma"><a href="http://www.18blowjobs.com/webmasters/?640" target="_blank">Get paid $25 per signup</a> listing over <a href="http://galleries.18blowjobs.com/hosted.html" target="_blank">100 free hosted video galleries</a> - <a href="http://www.18blowjobs.com/webmasters/?640" target="_blank">Check it</a> » </font>