Amazon Seller Accounting Services in Canada
GTA Accounting helps Amazon sellers reconcile SellerCentral settlements, track FBA inventory and keep the accounting behindAmazon.ca and Amazon.com organized for tax reporting. We work with Canadiansellers across both marketplaces and support US sellers with Canadian FBA andtax obligations.
GTA Accounting is a highly rated CPA Firm in Toronto
It is the highest-rated accounting firm in North America with over 1100 5-star verified Google reviews across all locations. GTA Accounting has also won awards on Clutch 2 years in a row, featured in the Toronto Star and is one of the Best Companies for 2022 on "ThreeBest Rated".
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How GTA Accounting Helps Amazon Sellers
On Amazon, where your stock sits decides a lot of what you owe. Units in an Amazon.ca fulfilment centre, orders shipped from Canada to Amazon.com buyers, and inventory in US warehouses each create different accounting and tax work. Amazon then pays you in settlements, net of referralfees, FBA fees, advertising, refunds and reserves, sometimes in two currenciesand with some of the tax already collected.
We bring all of it into one set of books that agrees with Seller Central and your bank, and one set of filings in Canada and,where they apply, the US.
Amazon Bookkeeping & FBA Accounting
Bookkeeping built around Amazon’s settlementperiods, not your bank deposits.
Settlement Reconciliation
Each settlement is its own small ledger: orders, referraland FBA fees, advertising, refunds, reimbursements, reserve movements and tax.We break every one back out and tie it to the deposit. Fees are tracked by SKU,so a unit charged at the wrong size tier stands out. Settlement data usually reaches QuickBooks Online or Xero through a connector such as A2X or Link MyBooks.
FBA Inventory and Cost of Goods Sold
FBA stock is spread across fulfilment centres, sometimes in two countries, and it keeps moving: inbound shipments, removals, disposals,and units Amazon loses or damages. We track what each unit cost to land (product, freight, duty and brokerage) by location, and match it to what sold. Amazon reimburses lost or damaged FBA units based on your sourcing cost, so the cost you record also affects what you get back.
Multi-Currency Accounting
Amazon.ca settles in CAD and Amazon.com in USD. We reconcile each market place separately and consolidate them into one set of books, with exchange differences kept separate from operating profit.
Marketplace-Collected GST/HST
Amazon collects GST/HST for sellers who aren’t registered. Once your worldwide taxable sales go over $30,000 in a calendar quarter or over four consecutive quarters, you must register and collect ityourself. A common error is recording tax Amazon collected as your own and remitting it twice. We keep the two separate, and claim input tax credits on costs such as Amazon’s fees and import GST.
Year-End and Income Tax
At year-end we reconcile what Amazon’s inventory reports say is still in its network, write off what was lost or destroyed, and match reimbursements to the right units. Your T2125 or corporation’s T2 and year-end financial statements are prepared from those figures, and once profitis steady we’ll raise whether to incorporate.
Accounting for Canadian Sellers on Amazon.com
Amazon.com can run from the same Seller Central account as Amazon.ca, but it has its own USD settlements, its own tax collection and its own paperwork. Most of the US side is documentation, until your stock moves into US fulfilment centres.
Accounting for US Sellers on Amazon.ca
Adding Amazon.ca in Seller Central is the easy part. We work remotely with US sellers and handle the Canadian side, especially once stock moves into Canadian fulfilment centres.
GST/HST and FBA Canada
Selling only through Amazon.ca, and not carrying on business in Canada? Amazon generally collects the GST/HST, and you may nothave to register. Selling Canadian-held stock through your own website? You generally must register once those sales go over $30,000 in 12 months. Voluntary registration can be worth considering where the import GST you pay ismaterial, since only a registrant can recover it.
Importing Inventory into Canada
Amazon won’t act as importer of record for FBA shipments into Canada, so that’s usually you, as a non-resident importer, witha customs broker handling clearance. You need a Canadian Business Number and a CBSA import-export (RM) account. We set these up so import GST is paid in your name and can be recovered.
Canadian Tax Returns
A non-resident corporation that carries on business in Canada must file a T2 return, even when the treaty means no Canadian tax is owed. We’ll tell you whether that applies, prepare the return if it does, and keep CAD books that tie back to your US books.
Hire an Amazon Seller Accountant: How We Get Started
The Amazon decisions that create new tax work areusually operational: sending stock to US fulfilment centres, opening FBA Canadaas a US seller, or adding your own website alongside Amazon. We help you seethe tax consequence before the inventory moves, and account for it once it has.
1. Settlement history
Seller Central reports back to your last filedyear, so the books start from Amazon’s numbers.
2. Inventory by location.
Where your stock sits today, and what moved inand out.
3. Registrations.
GST/HST, US sales tax and any importer set-up,checked against where you sell.
4. Each settlement cycle
Settlements reconciled as they post, books closed monthly,returns filed on schedule.
Why Amazon Sellers Choose GTA Accounting
• Stock in two countries, one set of books. Inventory in Canadian and US fulfilment centres, valued and reported together.
• Importer set-up done right. Business Number, import account and GST/HST registration arranged so import GST can be recovered.
• A CPA on your file. Your file is overseen by a named Chartered Professional Accountant.
• Remote service across Canada, with offices in Toronto and Mississauga. We also work with US businesses selling into Canada.
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Amazon Seller Accounting FAQs
Can you work alongside my customs broker?
Yes. Your broker clears the goods; we make surethe import records they produce, including the duty and the import GST, land correctly in your books and your GST/HST returns.
Can you take over partway through the year?
Yes. We start from your last filed return and Amazon’s settlement history since then, so the books pick up where the previous ones stopped.
Do you file Amazon reimbursement claims for lost inventory?
Filing the claim stays with you or your claimsservice. We flag units that appear lost or damaged when we reconcile inventory, and record the reimbursement against the right units when it’s paid.
I’m a US seller using FBA Canada. Do I need a Canadian company?
Not usually. A US business can import and sell through FBA Canada as a non-resident importer, with a Canadian Business Number and import-export account. Whether a Canadian company would help is a separate planning question we can look at with you.