Legality's

[Keith]

Hey there Ros,

Guess we are almost neighbors with me being on the Island.
But I would like to know some info you recommend about the
legal aspects of having an online business,gst etc.


Thanks muchly,

Keith

[Rosalind Gardner]

Welcome Keith!

First, the caveat... I'm not a lawyer. As with any advice, you'll need to do your own due diligence, especially with regards to the law and the tax department.

That said, I always place privacy notices and disclaimers on each one of my sites, and adhere to Can Spam regulations.

My company was incorporated years ago, primarily for the tax savings advantage AND to protect my personal assets against possible lawsuits.

As an affiliate marketer, it's doubtful that you will require a local business licence, as you're not actually 'doing business' (read no cars, no traffic, no money changing hands) on your premises. You should however inquire locally.

With regard to GST, as an affiliate, you need not worry about collecting GST from customers who buy through your merchants. (Another great reason to be an affiliate!)

In selling my own product, the Super Affiliate Handbook, I use Clickbank as my third-party processor. They apparently do not collect GST from Canadian buyers. Is that because it's an ebook? I don't know. I just know that by using a 3rd-party payment processor, that's another thing I don't have to worry about.

As a Canadian business, I am able to claim GST refunds on products purchased for my business.

I hope that answers your question, and again I suggest that you consult with a local lawyer and accountant for greater detail pertaining to your exact situation.

Cheers,
Ros

P.S. For anyone who read Keith's 'almost neighbors' comment and isn't familiar with Canadian / British Columbia geography... depending on where he is on the Island, it would take me a minimum of 12 hours to drive there from the Okanagan Valley, and that's if my ferry connections were good. So, we're not exactly the 'do-coffee' type of neighbours.

P.P.S. No, I didn't spell 'neighbour' incorrectly. Throughout the former British Commonwealth, we still put a 'u' in words like favour, behaviour and candour. So, when I'm writing to Canucks, Aussies, Brits etc., I occassionally slip into English-English.