Accounting and Tax for Ontario E-commerce Businesses

Shopify, Amazon, Etsy and WooCommerce payouts reconciled, GST/HST charged at the right rate in every province, and inventory that matches your stock, from a CPA-led accounting firm.

Book a free call →Call (866) 254-5368

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Every return is reviewed by a CPA
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Reply within one business day
24/7 receptionist: a real person answers
QuickBooks Online, Xero and Dext
Rated 5.0 stars from 29 Google reviews (read our reviews)

Last updated: October 18, 2026

T-Ledgers is a CPA-led accounting firm working with Ontario online sellers: Shopify and WooCommerce stores, Amazon FBA and FBM sellers, Etsy shops, dropshippers, subscription boxes and digital product creators. Wajahat Ajmal, CPA, FCCA, has been practising since 2020. We handle e-commerce bookkeeping, GST/HST, inventory and corporate and personal tax, and every return is reviewed by a CPA.

Online stores rarely fail on sales. They fail on numbers nobody can trust: payouts booked as revenue, fees missing, HST charged at the wrong rate and inventory that only exists in the spreadsheet.

E-commerce tax and bookkeeping issues we handle

Rules, rates and thresholds change. We confirm the current figure for your situation on the call before relying on it.

GST/HST on sales across Canada

Once registered, you generally charge tax based on where the customer receives the goods: 13% HST in Ontario, 15% in New Brunswick, Newfoundland and Labrador and PEI, 14% in Nova Scotia (since April 1, 2025), and 5% GST elsewhere. See CRA’s GST/HST rates. Most sellers must register once taxable sales go over $30,000 in a calendar quarter or four consecutive quarters.

Law: Excise Tax Act s.165(1) and 165(2) (GST and HST imposed); Excise Tax Act Schedule IX (supply in a province); Excise Tax Act s.148(1) (small supplier, $30,000); Excise Tax Act s.240(1) (registration).

Marketplaces and digital products

Since July 1, 2021, marketplace operators such as Amazon may have to collect GST/HST on certain sales by sellers who aren’t registered. Digital products and services sold to Canadian consumers are taxable based on the customer’s province. We check which sales the marketplace already taxed, so tax isn’t collected twice or missed.

Law: Excise Tax Act s.211.1 (digital economy and marketplace rules).

Provincial sales taxes

Selling into BC, Saskatchewan, Manitoba or Quebec can create separate PST or QST registration obligations. The rules and thresholds differ by province, and some apply without a small-seller threshold. We flag where you may need to register.

Law: Excise Tax Act Schedule IX (supply in a province).

Shopify and Amazon payout reconciliation

Payouts are net of platform fees, payment processing, refunds, chargebacks and reserves. We record gross sales, fees and taxes separately, using connectors and Dext where they help, so your income and HST are reported correctly. Business income is your gross sales less real costs, not the payout amount.

Law: Income Tax Act s.9(1) (business income); Excise Tax Act s.169(1) (input tax credits).

Inventory and cost of goods sold

Inventory on hand, including stock held in Amazon fulfilment centres, is an asset until it’s sold, and is generally valued at the lower of cost and fair market value at year-end. Freight-in, duties and packaging belong in product cost. We set up a count and costing routine so your margins are real.

Law: Income Tax Act s.10(1) (inventory valuation).

Imports, duties and input tax credits

Import duties and GST paid at the border through the CBSA’s CARM portal belong in the right accounts so you can claim eligible input tax credits. We match customs statements to your books every month.

Law: Excise Tax Act s.169(1) (input tax credits).

Selling to the US

Exports of goods to US customers are generally zero-rated for GST/HST. Large US sales or US warehouse stock may also create state sales tax obligations, which is a US question outside Canadian tax. We flag it so you can get US advice where needed. Sales in US dollars must still be reported in Canadian dollars.

Law: Excise Tax Act Schedule VI, Part V, s.1 (exported goods zero-rated); Income Tax Act s.261(2) (Canadian currency).

Platform reporting

Some platforms now report seller information and income to the CRA, so your return needs to match. We reconcile platform reports to your books before you file.

Law: Income Tax Act s.282 to 288 (digital platform reporting).

Incorporating your store

Once profits grow, a corporation may let you keep money in the business at the small business rate. We model salary and dividends and look at timing before you move the store.

Law: Income Tax Act s.125(1) (small business deduction); Income Tax Act s.85(1) (rollover to a corporation).

Records and CRA reviews

Keep order exports, payout reports, supplier invoices and customs records for six years. E-commerce sellers are often asked to match platform data to their return, so we keep that trail ready.

Law: Income Tax Act s.230(1) and 230(4) (books and records, six years); Excise Tax Act s.286(1) and 286(3) (records, six years).

Who we work with

Shopify and WooCommerce stores
Amazon FBA and FBM sellers
Etsy and marketplace sellers
Dropshippers and print-on-demand stores
Subscription box businesses
Sellers of digital products, courses and downloads

Services for e-commerce sellers

Monthly e-commerce bookkeeping with payout reconciliation, from $500/month (Scale); quarterly bookkeeping from $350/month (Growth). Bookkeeping Reviews of complex books start from $450 (see bookkeeping).
Catch-up bookkeeping, from $1,800 per year. We rebuild months of Shopify and Amazon payouts (see catch-up bookkeeping).
Bookkeeping Review, $195/month or $295/quarter.
GST/HST returns, $150 per return.
Corporate tax (T2), from $800, and sole proprietor T1 + T2125 from $300 (see corporate tax and personal tax). This price is for sole proprietors; incorporated businesses file a T2, quoted separately.
Incorporation, from $499 plus government fees.
Virtual CFO, from $2,500/month. Margins by channel, inventory planning and cash flow (see Virtual CFO).

Prices are + HST/GST. Anything without a listed price is quoted after a free call, and you get the price in writing before any work starts.

Book a free call →Call (866) 254-5368

How we work with online sellers

Free call. We ask about your channels, provinces you ship to, inventory and how far behind you are.
Written price. You get the scope and price in writing before any work starts.
Setup. Connectors from Shopify, Amazon and your payment processors into QuickBooks Online or Xero, tax codes by province and Dext for supplier bills.
Monthly rhythm. Payouts reconciled, inventory updated and HST filed on time.
Year-end. Inventory count, financial statements, T2 or T1, all reviewed by a CPA.

Why e-commerce sellers choose T-Ledgers

We reconcile every payout. Gross sales, fees, refunds and tax are recorded separately each month, so your income and HST are right.
CPA-led, start to finish. T-Ledgers was founded by Wajahat Ajmal, CPA, FCCA. Every return is reviewed by a CPA before it's filed.
No surprise bills. You get the scope and the price in writing before we start. If the work changes, we agree the new price with you first.
Price matching, agreed up front. Have a comparable written quote? Bring it to us before you sign your proposal. We can only match a price when it's agreed before the proposal is signed.
Fast, human answers. We reply within one business day, and our 24/7 receptionist means a real person answers when you call 866-254-5368.
In person or online. Meet us in person, by appointment only, at our Etobicoke office (102-89 Skyway Ave, Etobicoke, ON M9W 6R4) or our Mississauga office (100 Matheson Blvd E #204, Mississauga, ON L4Z 3P8), or work with us entirely online.
Your software, set up properly. We work in QuickBooks Online and Xero, and use Dext so receipts go in with a photo.

Meet your CPA

Wajahat Ajmal, CPA, FCCA, Founder, T-Ledgers Accounting. Verify my CPA Ontario membership.

I started my career as an audit associate at KPMG. Since then I’ve worked as an independent contractor for a tax filing company, preparing returns and handling client questions. I hold a BSc in Applied Accounting from Oxford Brookes University and an MSc in Professional Accountancy from University College London. I’m a Chartered Professional Accountant in Ontario and a Fellow of the ACCA. I started taking on my own clients in 2020 and founded T-Ledgers in 2023.

Every return the firm files is reviewed by a CPA. You can read more about the firm on our About page.

What our clients say

      
   T-Ledgers Accounting Inc.
   31 Google reviews 
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       Posted on Google  
   
   Dan 
 
 
 
 Trustindex verifies that the original source of the review is Google. I highly recommend T-Ledgers. Their communication is exceptional. You won’t have to wait days for a response. Waji really takes his time to explain things in-depth with his clients. He provides the ins and outs behind every major decision. Our corporation was 2 years behind on filings and Waji and his firm got all the work done in a timely manner, as promised.
  
 
      Posted on Google  
   
   Umed Pulotov 
 
 
 
 Trustindex verifies that the original source of the review is Google. Wajahat is absolutely amazing. Very knowledgeable, professional, great customer service. I would highly highly recommend T-ledgers accounting for any accounting needs. 100/10!!
  
 
      Posted on Google  
   
   samer chamseddine 
 
 
 
 Trustindex verifies that the original source of the review is Google. T-Ledgers has been nothing short of exceptional after my previous accountant had me in hot water. Wajahat explained things in detail throughout the whole process and still continues to keep me updated on my files regularly. Would highly recommend T-Ledgers to anyone who appreciates organization and efficiency
  
 
      Posted on Google  
   
   Kushtrim Carpentry 
 
 
 
 Trustindex verifies that the original source of the review is Google. I highly recommend **T Ledger's Accounting**. He has gone above and beyond for me every single time I’ve needed his help. Even when something is urgent or needs to be handled last minute, he gets it done right away and makes sure everything is taken care of properly.

He’s the type of accountant you can genuinely depend on. No matter what situation you’re dealing with, he takes the time to understand it, explains what needs to be done, and handles everything with a high level of professionalism.

Reliable, knowledgeable, responsive, and always willing to help. It’s hard to find someone you can trust to handle important financial and accounting matters, and I’ve had nothing but a great experience with T Ledger's Accounting.

**Beyond highly recommended. If you’re looking for an accountant you can rely on, this is the place to go.**
  
 
      Posted on Google  
   
   Ali Chaudhry 
 
 
 
 Trustindex verifies that the original source of the review is Google. I had a great experience working with Wajahat. He was very flexible, accommodating, and helpful with my schedule. He went out of his way to make the process smooth and stress-free. Highly recommend him to any business owner
  
 
      Posted on Google  
   
   hurmat shahid 
 
 
 
 Trustindex verifies that the original source of the review is Google. The client portal T-Ledgers uses makes the whole process much easier than dealing with emails and PDFs back and forth. Document sharing is simple, questions get answered quickly, and you can always see where things stand. It's a modern way of handling accounting and I appreciated that.
  
 
      Posted on Google  
   
   Asim Afzal 
 
 
 
 Trustindex verifies that the original source of the review is Google. T-Ledgers handled my GST filing and corporate T2 together, which saved me a lot of time coordinating between different people. They understood my business quickly and flagged some bookkeeping gaps I needed to address. Took a lot of stress off my plate and I'll be using them again.
  
 
      Posted on Google  
   
   Atif Mahmood 
 
 
 
 Trustindex verifies that the original source of the review is Google. T-Ledgers made filing my corporate taxes straightforward from start to finish. Wajahat was responsive throughout the process and clearly explained what documents I needed to provide and why. The turnaround was reasonable and everything was handled professionally. I'll definitely be coming back next year and would recommend them to any small business owner looking for a reliable accountant.
  
 
      Posted on Google  
   
   Moazzam Afzal 
 
 
 
 Trustindex verifies that the original source of the review is Google. I fully recommend Wajahat for one's tax filing needs. He will explain what he's doing and why, rather than just asking for documents and going silent, ensuring the customer is informed at every stage of the process. He is trustworthy and transparent when it comes to pricing and quality of the work for small business tax needs.
  
 
  
  
 
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DIY vs a generalist firm vs T-Ledgers

← Swipe to compare →

	DIY	Generalist firm	T-Ledgers BEST VALUE
Payout reconciliation	Payouts booked as sales	Often at year-end only	✓Gross sales, fees and refunds recorded monthly
GST/HST by province	Easy to charge the wrong rate	Varies	✓Tax codes by province and marketplace
Inventory and COGS	Spreadsheet guesses	Varies	✓Costing with freight and duties included
Who checks the return before it's filed	You do	Depends on the firm and who's assigned	✓Every return is reviewed by a CPA
How you're billed	Software fees plus your own time	Often hourly; the final bill can vary	✓Scope and price in writing up front. No surprise bills
Getting an answer	Search online or wait on CRA phone lines	Varies by firm	✓Reply within one business day; 24/7 receptionist, a real person answers
Software	Whatever you set up yourself	May ask you to switch to their system	✓QuickBooks Online, Xero and Dext
Meeting face to face	Not applicable	Varies	✓In person by appointment in Etobicoke or Mississauga, or fully online
Price matching	Not applicable	Rare	✓Available if agreed before you sign your proposal

Frequently asked questions: E-commerce

When do I have to register for GST/HST?

Generally once taxable sales go over $30,000 in a calendar quarter or four consecutive quarters. Many sellers register earlier to claim input tax credits.

Which rate do I charge customers in other provinces?

Generally the rate where the customer receives the goods: 13% in Ontario, 5% GST in provinces without HST and the HST rate in HST provinces.

Does Amazon collect GST/HST for me?

Sometimes. Marketplace operators may have to collect on sales by unregistered sellers. If you’re registered, you’re usually responsible yourself. We check your reports.

Do I need to register for PST or QST?

Possibly, if you sell into BC, Saskatchewan, Manitoba or Quebec. Each province has its own rules.

Law: Excise Tax Act s.165(1) and 165(2) (GST and HST imposed); Excise Tax Act s.148(1) (small supplier, $30,000); Excise Tax Act Schedule IX (supply in a province); Excise Tax Act s.211.1 (digital economy and marketplace rules).

Why doesn't my payout match my sales?

Payouts are net of fees, refunds, chargebacks and reserves. We record each part separately so sales, fees and tax are right.

Do you work with Shopify, Amazon and Etsy?

Yes, plus WooCommerce, PayPal and Stripe, using connectors into QuickBooks Online or Xero.

Can you handle several channels?

Yes. We track sales and margins by channel so you can see which ones actually make money.

Are platform fees deductible?

Yes. Selling fees, advertising, payment processing, shipping and software are generally deductible business expenses.

Law: Income Tax Act s.9(1) (business income); Excise Tax Act s.169(1) (input tax credits).

How is inventory valued for tax?

Generally at the lower of cost and fair market value at year-end. Stock in Amazon warehouses counts too.

Can I claim the GST I paid at the border?

Yes, if you’re registered and the goods are for your business. Keep your CARM statements.

Do I charge GST/HST on sales to the US?

Exported goods are generally zero-rated. US state sales tax is a separate US question.

What goes into cost of goods sold?

Product cost plus freight-in, duties and packaging, less closing inventory.

Law: Income Tax Act s.10(1) (inventory valuation); Excise Tax Act s.169(1) (input tax credits); Excise Tax Act Schedule VI, Part V, s.1 (exported goods zero-rated).

Should I incorporate my store?

Often once profits exceed what you need to live on. We model both before you decide.

Do platforms report my sales to the CRA?

Some now do. Your return should match what they report.

I sell in US dollars. What do I report?

Your income in Canadian dollars. We set up multi-currency accounts so exchange gains and losses are handled.

How long do I keep records?

Six years from the end of the tax year they relate to, including order and payout exports.

Law: Income Tax Act s.125(1) (small business deduction); Income Tax Act s.282 to 288 (digital platform reporting); Income Tax Act s.261(2) (Canadian currency); Income Tax Act s.230(1) and 230(4) (books and records, six years).

What does it cost?

Monthly bookkeeping starts from $500/month (quarterly bookkeeping from $350/month), catch-up from $1,800 per year, the Bookkeeping Review is $195/month or $295/quarter (from $450 per review for complex books), GST/HST returns are $150 per return, corporate T2 returns start from $800 and sole proprietor returns from $300. This price is for sole proprietors; incorporated businesses file a T2, quoted separately. Prices are + HST/GST. You get the price in writing before any work starts.

I'm months behind on my books. Can you help?

Yes. Catch-up work rebuilds your payouts and files overdue HST returns in the right order.

Do you work online?

Yes, fully online, or in person by appointment in Etobicoke or Mississauga.

How fast do you reply?

Within one business day, and a real person answers 24/7 at 866-254-5368.

Make your store's numbers add up

Book a free call about your payouts, HST or inventory. We reply within one business day; call 866-254-5368 and a real person answers 24/7.

Book a free call →Call (866) 254-5368

Reviewed by Wajahat Ajmal, CPA, FCCA. Updated October 15, 2026.

Related services: Bookkeeping · Catch-up bookkeeping · Corporate taxes · Personal tax · Payroll · Virtual CFO · Contact us

Rates and thresholds change, so we link to the official sources for current figures.

Disclaimer: The articles, calculators and other content on this website are general information only, not tax, accounting, legal or financial advice. Calculator results are estimates based on the rates and assumptions shown and may not match your situation. Tax rules change and depend on your province, business structure and the facts of your case, so speak with a CPA, and a lawyer where legal matters are involved, before acting. T-Ledgers accepts no liability for decisions made based on this information. Book a free consult with T-Ledgers.