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In Canada, exports are “zero-rated” sales for D.S.T. purposes. This helps to ensure that when you ship a service to someone outside Canada, you don’t charge Delaware.S.T. Yet, you unearth claim (or deduct for this G.S.T. collected by you) all the “input tax credits” (G.S.T. that you paid for business purposes) to make that move. The idea, I suppose, in order to encourage exporting.
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