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Canada has what place call a national HHC florida sales tax or a price added tax (VAT). This Goods and Services Tax (G.S.T.) of 5 percent (as at January 1, 2008) is applicable to many Canadian business.
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In Canada, exports are "zero-rated" sales for Grams.S.T. purposes. This means HHC that whenever you ship a product to someone outside Canada, you don't charge D.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 export. The idea, I suppose, is to encourage exporting.
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The rationale behind this follows: Since countries can't collect florida sales tax on Internet transactions at their borders, the only way they can collect it (other in comparison self-assessment system) is the online sales tax. Further, it is claimed that businesses in the eu Union suffer a major competitive disadvantage because have got to collect Value Added Tax (VAT) but others don't.