Professional help for E-Commerce enterpreneurs

Accounting Tax Services for Dropshipping in Canada

Accountor CPA services for dropshipping sellers in Canada and the United States change the way you plan your business’ future. With our tax accounting and bookkeeping services specifically tailored for dropshipping e-commerce clients, you can expand your customer base, generate more revenue, and grow your business more than you thought possible.

1 Financial Dropshipping Services
  • Corporate finance expertise
  • A2X, QBO & XERO experts
  • SAGE & FreshBooks gurus
2 Business expansion
  • Evaluation of goals & issues
  • Situation analysis
  • Custom solutions for business
3 Easy communication
  • Customer centered connection
  • Explaining elements in details
  • Collaborative work system

Our Vision & Mission for Dropshipping Services Clients

Our mission statement for dropshipping clients is simple: provide expert advice and professional, qualified services to each and every client to help you achieve your business goals. Through this, we are confident we will be your choice for accounting and tax services for dropshipping e-commerce for years to come.

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info@accountor.ca +1-416-646-2580
4580 DUFFERIN ST, SUITE 408 NORTH YORK, ON | CANADA
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The list of providing services

Financial Advice

Dropshipping e-commerce selling has many complexities and unique ways to grow. We can help you explore new mediums and options for growing your business and expanding your customer base to outsell the competition.

Financial Statements

How can you make confident business decisions if you do not have regular financial statements? We offer financial statement preparation and analysis for dropshipping sellers in Canada so you can grow your business effectively.

Registering for and Filing Sales Tax

We offer complete tax services for dropshipping clients to ensure you register for, charge, and remit sales tax to the appropriate authorities according to local laws. We help you navigate the legislation of Canadian tax law so you stay compliant.

Payroll

Is your dropshipping enterprise expanding quickly? Our payroll services for dropshipping e-commerce shops helps you follow local payroll laws and ensures your team is paid right and on time.

Accounting & Bookkeeping

Managing invoices, sales, expenses, staff, and other financial documents for a dropshipping business can be overwhelming. We provide dropshipping bookkeeping and accounting services to keep you organized.

Software Integration and Management

We work with the industry’s most robust accounting and bookkeeping software to ensure all your business needs are met with seamless integration, no matter how complex your dropshipping operation is.

What Our Clients Say

I wanted to expand my American Amazon reselling business to Canada and had no idea where to start. Accountor CPA helped me register for tax numbers, file taxes, and make decisions about how to grow in the Canadian market.

Zoe / FBA Company Owner

Since signing on with Accountor CPA three years ago, we have nearly doubled our business growth year on year. With their expert advice and practical help with accounting and tax filing for our Amazon business, we have been able to grow way faster than we imagined.

Eric / Amazon Store Owner

I thought I had a good set up for my A2X and related software, but the accountants at Accountor CPA advised me to make some changes and upgrades to see if I could improve my business growth. They were right! My day to day is way smoother now and I’ve found opportunities I would have otherwise missed.

Serg / E-commerce Business

Running my Amazon reseller business has a lot of moving parts and I rely on Accountor CPA to help me stay organized. I work with them for my tax filing, bookkeeping, and accounting, and could not be happier.

Alma / Amazon Reseller Business

Whatever the size of your business, Accountor CPA provides the most cost-effective way to add highly experienced professionals to your management team.

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Get Help Registering For Tax Accounts in Canada

Ready to take your dropshipping business to the next level?

Dropshipping is a major player in the e-commerce game. The ease of which you can set up a dropshipping business means that many individuals around the world are looking to build businesses in this sphere and expand to new provinces, states, and countries.

Accountor CPA offers robust dropshipping accounting, bookkeeping, and tax services to individuals in Canada, the United States, and abroad who are looking to grow their dropshipping enterprise. We help businesses register for tax accounts, register businesses, analyze finances, and find avenues for growth so you can turn your dropshipping endeavor into a full time job.

What is Dropshipping?

Dropshipping is a business model that lets individuals sell products directly to the customer without having the inventory. A customer visits your e-commerce store, purchases the product, and then a third-party supplier ships it to them. The customer pays the retail price they see on your website, you pay the wholesale price to the supplier, and the difference is your revenue.

Dropshipping is a dynamic and challenging industry because you face the customer, but do not handle the inventory yourself or even have direct access to it. It is an easy business to set up, due to not needing inventory before you start selling products.

It’s obvious why dropshipping accounting and bookkeeping is so important. If you do not track your sales, expenses, costs, and documents thoroughly, you can easily experience issues with customer service and with your suppliers. Because you are relying on a third party for inventory and inventory management, it is essential that you track your sales properly so you can understand your customer and make appropriate changes that will suit them to help you grow your business.

Furthermore, dropshipping is a notoriously competitive business model. If your supplier starts partnering with other dropshippers who can offer products at a lower cost, you need to have a thorough understanding of your finances and accounting in order to understand if you can compete or if you need to change gears. This type of understanding only comes with thorough bookkeeping and accounting analysis.

Accounting and Tax Obligations for Dropshipping Businesses in Canada

In order to engage in dropshipping in Canada, you need to understand your firm’s tax obligations. If you do not charge sales tax in Canada on required products, you can find yourself facing penalties and legal action by the Canadian government.

Sales tax in Canada is charged on almost all products and services, except for products deemed “necessities” by the government. If a product is purchased by a Canadian from a dropshipper abroad, they should be paying the relevant Canadian sales tax on it. As an international agency or business selling to Canadians, you are required by law to charge this tax, collect it, and then remit it to the government.

Some provinces in Canada charge federal and provincial tax together in one rate known as HST, meaning you only need to file one tax return to cover multiple jurisdictions. However, other provinces and territories charge provincial sales tax (PST) and federal sales tax (GST) separately. This means you will need to file multiple returns to government agencies.

Most dropshipping businesses operate across a given country, so you will have to register for multiple tax numbers to cover your bases in Canada’s provinces. You then have to file various tax returns, pay multiple tax agencies, and meet various due dates.

At Accountor CPA, we understand that these responsibilities can be hard to keep track of. That’s why we offer drop shipping accounting services, with bookkeeping and tax preparation, to companies in Canada, the United States, and abroad. Our accounting and bookkeeping services keep your dropshipping business compliant with local tax laws and help you prepare for your business’ future effectively.

Tax Registration, Filing, and Tax Accounting for Dropshipping

The most common questions we are asked by dropshipping clients are about filing sales tax on their products. How often do you need to file your sales taxes in Canada if you sell to Canadians? What about abroad? Luckily, our experts are well-versed in Canadian tax law for domestic and foreign dropshippers and can help.

Generally, if your sales are less than 1.5 million CAD per year, you are only required to file once per year for the federal return. However, this does not cover all provinces. If you sell products in certain provinces and/or if you have over 1.5 million CAD in sales, you are required to file more often.

If you miss a tax filing period, are late on a tax charge due date, or fail to register for tax charging in Canada at all, you can incur hefty penalties from provincial and federal governments. Don’t take this risk and open yourself up to interest payments and fees!

From the moment you start selling taxable goods in Canada as an dropshipper, you should be charging the appropriate HST, GST, and/or PST. Whether you dropship on Amazon, Ebay, Etsy, Aliexpress, or any other e-commerce site, the same rules and legislation apply.

At Accountor CPA, we help you:

  • Register all GST/HST and PST accounts
  • Set up rates in your accounting programs so clients are charged appropriately
  • Track your tax filing due dates
  • Calculate your tax remittances to appropriate governments
  • File your taxes and make remittances payments on your behalf

Accountor CPA bookkeeping and accounting for dropshipping can help and ensure you are meeting your tax obligations in Canada.

Benefits of Working With a Dropshipping Accountant

The dropshipping accountants at Accountor CPA are experts at Canadian tax law, accounting regulations, and bookkeeping best practices.

Tax Preparation

No need to waste time learning the Canadian tax system - we handle it for you.

Canadian Compliance

We ensure you follow all regulations and legislation for taxes and duties in Canada.

Regular Statements

We let you know how your dropshipping sales tax numbers in Canada look year-round.

Canadian Partner

Our team is part of your team. We act as your business partners across your ventures.

Stay on Top of Documents

Never miss an important invoice or deadline that can change your tax organization or charges.

Peace of Mind

You never have to worry that you are missing something, making a mistake, or otherwise not following Canadian tax law when you work with us.

Benefit from Experience

With years of experience working with drop shippers and suppliers, we understand the industry best.

Expand your Business

When you are ready to dropship products internationally in Canada, you gain access to millions of new customers. We can help.

Beat the Competition

Expand faster, have better products, and better prices for Canadians when you follow tax legislation and engage in tax planning effectively.

Best Accounting Software for Dropshipping

There are many options when it comes to dropshipping accounting software. The major benefit of drop shipping is that you do not have to worry significantly about inventory management. As a dropshipper, this is often the responsibility of the supplier or manufacturer. Your needs for accounting apps are simple: track sales, track expenses, and track documents.

This gives you freedom when choosing the top accounting software for your dropshipping business. At Accountor CPA, we work with the bookkeeping industry’s most prominent software so we can provide as many options as possible to our dropshipping clients. We focus on accounting software that offers exemplary sales tracking, expense tracking, tax tracking, tax preparation, and financial analysis to help you manage and grow your business.

Already have accounting software you love? Great! We can work with it and help you optimize your processes and find ways to streamline your accounting and bookkeeping. Our dedicated accountants will use your accounting software to better prepare you for tax season.Dropshipping Xero Software

Xero is a secure, cloud accounting and bookkeeping platform that allows you to track your expenses, invoices, sales, cash flow, and inventory. When it comes to dropshipping, there are third-party software options that integrate easily with Xero to allow you to manage the customer sales process from beginning to end, even if you do not handle the inventory directly.

Xero offers many packages that can be customized to suit your unique dropshipping enterprise and your supplier as well. We can help you manage your drop shipping accounting from Xero.

Dropshipping Paypal

The first step to using Paypal for dropshipping is to open a dropshipping Paypal business account. It is important to validate your account and provide as much information as possible. Once you have set it up, PayPal is one of the easiest software programs to use for dropshipping.

You can easily track your sales and refunds in your Paypal account for dropshipping, you can pay your suppliers directly, and you have protection against fraud.

While not necessarily accounting software for dropshipping on its own, Paypal as a payment manager can easily integrate with other programs like Xero, QuickBooks online, and A2X to help you manage your dropshipping firm completely.

Solutions for Tax Accounting and Bookkeeping for Dropshipping

Accountor CPA offers a number of solutions for your tax accounting and bookkeeping for dropshipping. Whether you operate exclusively in Canada, North America, or across international borders, we offer a wide range of services to keep your dropshipping business compliant and growing.

Just some of the tax accounting and bookkeeping services we offer include:

  • Tax number registration for all provinces and jurisdictions
  • Tax document collection and preparation
  • Tax filing according to Canadian regulations
  • Complete tax compliance
  • Payment processing for tax refunds or tax payable
  • Regular bookkeeping and record collection
  • Expense tracking
  • Invoice monitoring
  • Inventory management
  • Accounting support
  • Account reconciliation
  • Accounting and bookkeeping application recommendations and set up
  • Accounting software maintenance and updates
  • Financial statement creation and analysis
  • Audit support
  • Liaising with the CRA on your behalf when required
  • A dedicated team to provide support and answer your Canadian tax questions
  • Professional advice and recommendations year-round
  • Canadian tax planning

Ready to get started? Contact us for a free consultation for your dropshipping enterprise.

We Are Your Dropshipping CPAs

Dropshipping is a unique enterprise that individuals around the world are using to build their businesses. When done correctly, dropshipping can be a profitable business model. However, forgetting to register for tax accounts, missing tax filing dates, charging incorrect sales tax, or neglecting regular bookkeeping can lead to lost revenue, hefty penalties, and legal action against you.

The tax accountants and bookkeepers at Accountor CPA are dedicated to the success of your business, whether a one-man operation, an SME, a small business, or a large multi-national dropshipping corporation.

Let us help you grow your dropshipping firm. Contact us for a free consultation.