Canadian Wholesale Buyer's Guide
Everything you need to know about buying wholesale jewelry in Canada: tax obligations, pricing strategies, and essential resources.
Apply for Wholesale Account๐งพ GST/HST Guide for Wholesale Buyers
Understanding Canadian sales tax is essential for running a profitable jewelry retail business. Here's what you need to know.
Registration Threshold
You must register for GST/HST when your taxable revenue exceeds $30,000 CAD in any 4 consecutive quarters.
Input Tax Credits
As a registered business, you can claim back the GST/HST you pay on inventory and business expenses.
All Orders from CAN Jewelry
We handle all invoicing with proper GST/QST registration. You receive invoices you can use to claim ITCs.
Provincial Tax Rates
| Province/Territory | Type | GST | PST/QST | Total |
|---|---|---|---|---|
| Alberta (AB) | GST only | 5% | 0% | 5% |
| British Columbia (BC) | GST + PST | 5% | 7% | 12% |
| Manitoba (MB) | GST + PST | 5% | 7% | 12% |
| New Brunswick (NB) | HST | - | - | 15% |
| Newfoundland (NL) | HST | - | - | 15% |
| Nova Scotia (NS) | HST | - | - | 15% |
| Ontario (ON) | HST | - | - | 13% |
| Prince Edward Island (PE) | HST | - | - | 15% |
| Quebec (QC) | GST + QST | 5% | 9.975% | 14.975% |
| Saskatchewan (SK) | GST + PST | 5% | 6% | 11% |
โ ๏ธ Disclaimer: This information is provided for general guidance only and does not constitute tax advice. Please consult with a qualified accountant or the Canada Revenue Agency (CRA) for specific guidance on your tax obligations.
๐ฐ Pricing Your Jewelry
Setting the right prices is crucial for profitability. Here's a simple framework for pricing wholesale jewelry.
Keystone Pricing Formula
Retail Price = Wholesale Cost ร 2.0 to 2.5
This "keystone" markup covers your overhead (rent, marketing, packaging) and provides healthy profit margins.
- โ Entry-level items: 2.0-2.2x markup
- โ Mid-range items: 2.2-2.5x markup
- โ Unique/exclusive items: 2.5-3.0x markup
Example Calculation
| Your wholesale cost | $8.00 CAD |
| Markup multiplier | ร 2.5 |
| Your retail price | $20.00 CAD |
| Gross profit per unit | $12.00 |
| Gross margin | 60% |
โ Frequently Asked Questions
When do I need to register for GST/HST?
You must register for GST/HST once your taxable revenue exceeds $30,000 CAD in any single calendar quarter, or in any four consecutive calendar quarters combined. Even if you're below this threshold, you can voluntarily register to claim Input Tax Credits (ITCs).
Can I claim back the GST/HST I pay on wholesale purchases?
Yes! If you're a registered GST/HST business, you can claim Input Tax Credits (ITCs) for the GST/HST you pay on business purchases, including inventory. This significantly reduces your actual tax cost.
Do I charge tax on sales to other businesses?
Yes, you generally charge GST/HST on sales to other businesses in Canada. However, the buyer can claim the tax as an ITC if they're registered. For exports outside Canada, most supplies are zero-rated (0% tax).
What's the difference between HST and GST+PST provinces?
HST (Harmonized Sales Tax) is a single combined tax used in ON, NB, NL, NS, and PE. In other provinces, you collect GST separately and PST/QST may apply separately. For B2B wholesale, the key is that registered businesses can claim back the federal portion (GST or HST federal portion).
How should I price my jewelry for resale?
A common approach is to apply a 2.0-2.5x markup on your wholesale cost. This "keystone" pricing covers your overhead, marketing, and provides healthy profit margin. Consider your local market, competition, and target customer when setting prices.
๐ ๏ธ Useful Tools & Resources
Profit Margin Calculator
Calculate your retail price, profit margins, and break-even points.
GST/HST Registration
Official CRA registration page for GST/HST.
External link โEvent Calendar
Find craft fairs, trade shows, and markets in your area.
Business Plan Template
Download our free jewelry business plan template.
Ready to Start Buying Wholesale?
Apply for a wholesale account and get access to competitive pricing, dedicated support, and our full product catalog.