99% of our poster sales are to non-Canadian distributors and retailers, and 99% of the remaining 1% are taxable. The rest of what we do is also geared towards international clients -- maybe 1-2% of our sales are taxable.
We are as much a retail business as an oil refinery is a gas station.
The funny thing is, most businesses who complained about the HST were retailers who could receive all the HST they paid back on a monthly basis in the form of ITCs.
Then of course there is the embedded double taxation PST causes business to absorb, and of course pass the cost on to their customers. On top of that we have two taxes, which causes all sort of problems with information systems (most information systems, for example, aren't built to handle two retail taxes as most jurisdictions do not have two taxes. Of course here we need to customize our systems, at additional cost, to handle both taxes).
The biggest problem is compliance. The PST is such an absolute piece of garbage. There is absolutely nothing intuitive about its application. The only people benefiting are public servants who have jobs in the Consumer Taxation Branch of the Ministry of Finance and paper pushers like me who get the joy of interpreting inane PST legislation to attempt to ensure compliance. People at the CTB can't even explain to you why the tax is applied the way it is, but of course if you apply it incorrectly they will be happy to levy penalties and interest on any amounts owing.
Read through this bulletin and tell me with a straight face the PST isn't an absolutely insane tax. http://www.sbr.gov.b...ins/pst_206.pdf