Purchasing something from an individual, tax?

[dutch]

If I'm selling something to someone else, do I have to charge them tax legally? How does this work? I'm an individual and do not own a business.

I understand if you buy a car you end up paying pst when you insure at icbc. But what about regular items?

[tiger_handheld]

as long as ur business income is 0k you dont need to charge tax. once its more, u MUST charge, and remit to cra.

[dutch]

thanks

[waddy41]

if your profit is over 1000 then you have to pay tax

[adrnlnrush00]

Originally Posted by waddy41

if your profit is over 1000 then you have to pay tax

Do you mean to say income tax? I think the OP is referring to value added taxes like GST and PST.

[adrnlnrush00]

Originally Posted by tiger_handheld

as long as ur business income is 0k you dont need to charge tax. once its more, u MUST charge, and remit to cra.

True; however, if you're a GST registrant then you have to charge taxes even if your business income is < $30K.

It's worth mentioning that if you are a GST registrant (even with business < $30K) then you'll be able to claim your input tax credits too!