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In Canada, exports are “zero-rated” sales for T.S.T. purposes. This means that a person ship a unit to someone outside Canada, you don’t charge Gary.S.T. Yet, you get to claim (or deduct from the G.S.T. collected by you) all the “input tax credits” (G.S.T. that you paid for business purposes) to make that ship. The idea, I suppose, is encourage forwarding.

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