A new study says 72% of u.s. publishers selling magazines in Canada do not pay the goods and services tax.
The study was conducted for the Canadian Magazine Publishers Association and surveyed at random 2,000 u.s. magazines.
The study’s findings were released May 11.
According to the cmpa, when u.s. magazines enter Canada tax-free, they get a 7% price advantage over the domestic competition.
The organization says it is not the large u.s. titles evading the gst, it is smaller niche magazines.
Jacqueline Hushion, chairman of the Don’t Tax Reading Coalition, says no government in the world has been able to collect value-added taxes on imported subscription copies of magazines. DC
