RE:RE:Sales TaxesThe tax you are describing is still a sales tax. HST/GST/PST are not the only types of sales taxes. What you describe is paid for by the consumer at the end, not the supply chain.
No different than gasoline or cigarettes and even booze. You think the alcohol distellers or wine producers pay the taxes inlcuded in the sale of alcohol? Or the petrolium refineries pay for the fuel exise taxes? Of course note. We pay for it, the end user.
Try another approach, this one is no longer working for you.
watchmeplz wrote: In my opinion, nobody ever mentioned sales tax. The tax I'm implying is a special cannabis tax the provincial, federal, and municipal govts levy. Provincial is 15%, then there's a federal stamp act it's $1/g and municipal tax, that's all before income tax, yes we fully understand sales tax moves from the purchaser to the govt, this has nothing to do with that, you both should already know that though correct?
theTransporter wrote: Here's a quicke education for those of you who think sales tax is deducted from revenue.... it's not!
If Supreme sells a product at $5 per gram, the invoice generated to their customer is $5 + taxes. That tax is collected from the customer and remited to the government. We as customers see a price where taxes are included, thus if let's say taxes are 10% (for the sake of easy math), Supreme sells their gram at $5.50 to a supplier, who then may mark it up $1 then sell it to a customer or retailer for $6.60 (taxes included). Their revenue line item is only $6 and teh $0.60 is a flow through.
Sales taxes DO NOT get deducted from anyone's revenue. It's charged on top of the revenue. It's a flow through. It's simple accounting 101.
Only tax that is paid are corporate taxes on PROFITS.