Sales Taxes

Poshmark Canada Taxes: How GST/HST Works for Sellers (2026)

July 10, 2026 · Back to Blog

If you sell on Poshmark in Canada, Poshmark charges the buyer sales tax at checkout and sends it to the CRA and the provinces itself. The tax never lands in your earnings, and that stays true even after you register for GST/HST. Registering changes two things: you sign a short election so Poshmark can keep remitting on your behalf, and you become able to recover the GST/HST that Poshmark charges you on its 20 percent fee. Here is how the whole system works.

Poshmark collects the sales tax on every Canadian sale

Poshmark has charged and collected GST/HST, QST, and PST (as applicable) on sales to Canadian buyers since July 1, 2022, in line with Canada’s marketplace rules. The rate depends on the buyer’s province: 13 percent HST to an Ontario buyer, 5 percent GST plus 9.975 percent QST to a Quebec buyer, and so on. The buyer pays it on top of your listing price.

Your payout is simply the listing price minus Poshmark’s fee. The sales tax on the order is never part of your earnings, whether you have a GST/HST number or not. This is the same approach eBay takes in Canada, and the opposite of Amazon, which flows the tax through to registered sellers to remit themselves.

What the Seller GST/HST, QST, PST Registration Form actually does

Once you register for GST/HST, Poshmark asks you to complete its Seller GST/HST, QST, PST Registration Form with your legal name and account numbers. Buried in that form is the important part: a billing agent election. You and Poshmark jointly elect that Poshmark will collect, report, and remit the GST/HST (and QST where applicable) on your Poshmark sales as your agent.

The wording about being “solidarily liable” alarms some sellers. It is standard statutory language that comes with every billing agent election under section 177 of the Excise Tax Act, and eBay’s version says the same thing. In practice Poshmark controls the checkout and remits automatically.

The form is not filed with the CRA or Revenu Quebec. Ask Poshmark for a copy and keep it in your records. If the CRA ever reviews your GST/HST return, that document explains why your Poshmark sales appear in your revenue but the tax on them does not.

One warning: your Poshmark sales are still your sales for GST/HST purposes, but the tax on them is not yours to remit. Report them the wrong way on your return and you can end up paying the CRA tax that Poshmark already sent in. Fixing a double remittance means chasing a refund, and it is the most common mistake we clean up for marketplace sellers.

Registration pays for itself on the fees

Poshmark charges C$3.95 on sales under C$20 and 20 percent on sales of C$20 or more, plus GST/HST on that fee at your own province’s rate. A seller in Ontario doing $50,000 of sales pays roughly $10,000 in Poshmark fees and about $1,300 of HST on top of them. A registered seller recovers that $1,300 as input tax credits. An unregistered seller just absorbs it.

Registration is mandatory once your worldwide taxable sales pass $30,000 over four consecutive calendar quarters or in a single quarter. If you are approaching that line, the fee recovery is the consolation prize for the extra paperwork.

Poshmark also reports your sales to the CRA

Separate from sales tax, digital platform reporting rules have applied since January 1, 2024. Poshmark must send the CRA an annual information return with your identity and gross sales by January 31. Only very small sellers are excluded, meaning fewer than 30 sales and under about $2,800 in the year.

If you buy inventory to resell, your profit is business income on form T2125 of your personal return regardless of any GST/HST registration. The CRA can now line up what Poshmark reported against what you filed, so the era of quietly leaving reselling income off the return is over.

Frequently asked questions

Does Poshmark remit GST/HST for sellers in Canada?

Yes. Poshmark collects GST/HST, QST, and PST on sales to Canadian buyers and remits it directly to the tax authorities. For registered sellers it continues to do so as their billing agent under the election in its seller tax registration form.

Do I need a GST number to sell on Poshmark?

Not at first. You must register once your worldwide taxable sales exceed $30,000 over four consecutive calendar quarters or in a single quarter. Sales on Poshmark count toward that threshold along with every other channel you sell on.

Does the tax Poshmark collects show up in my payout?

No. The buyer pays the tax on top of your listing price and Poshmark keeps it for remittance. Your payout is the listing price minus Poshmark’s fee, so you should never see sales tax in your earnings or set any of it aside.

Why register for GST/HST if Poshmark already handles the tax?

Two reasons. Registration is mandatory past $30,000 of taxable sales, and it lets you recover the GST/HST charged on Poshmark’s fees and your other business costs as input tax credits. For an active reseller that recovery often runs to four figures a year.

Related guides

Not sure where you stand?

We handle GST/HST registration, the Poshmark election paperwork, and the ongoing returns for marketplace sellers across Canada. Send us a note with your rough annual Poshmark volume and whether you sell anywhere else, and we will reply within one business day with a fixed-fee quote.

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