Amazon Canada Fee Structure
Amazon Canada's fee structure closely mirrors US fees with CAD denomination. Referral fees follow the same category-based structure: 8% for electronics, beauty, and grocery; 17% for apparel; 15% for most other categories. FBA fees are approximately 15–20% higher than US fees when converted to USD, reflecting Canada's higher logistics costs and lower volume efficiency. However, competitive pressure is significantly lower, allowing premium pricing that compensates for higher per-unit fees.
Canada's multi-tiered tax system is the most complex element for Amazon Canada sellers. Federal GST is 5% nationwide. Provinces either have their own PST (BC, SK, MB) or have harmonized with the federal GST into HST (Ontario 13%, Nova Scotia/PEI/New Brunswick/Newfoundland 15%). Quebec has its own QST at 9.975% on top of 5% GST. Amazon acts as marketplace facilitator and collects/remits taxes, but sellers may still have GST/HST registration obligations above the CAD $30,000 threshold.
Cross-Border Opportunities
Canada's proximity to the US makes it an ideal first international expansion for US-based Amazon sellers. The process involves: creating a North America Unified Account in Seller Central, listing in CAD with appropriate pricing, shipping inventory to Canadian FBA fulfillment centers in Ontario or BC, and registering for GST/HST when revenue exceeds CAD $30,000. Many sellers price Canadian listings 15–25% above equivalent US prices to account for FBA fee differences and currency conversion.