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In Canada, exports are “zero-rated” sales for G.S.T. purposes. This means that beneficial ship a product to someone outside Canada, you don’t charge Gary the gadget guy.S.T. Yet, you get to claim (or deduct from the G.S.T. collected by you) all the “input tax credits” (G.S.T. that you paid for business purposes) to make that ship. The idea, I suppose, would be to encourage exporting.
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