Case Study: Recovering $40K+ in Overpaid HST for an eCommerce Consumer Goods Company
Client Profile:
- Industry: eCommerce – Consumer goods
- Location: Ontario, Canada
- Annual Revenue: Under $500K
What Prompted Us to Review
A sudden dip in their net HST liability, down from $30K+ in prior years to about $18K, suggested recoverable credits had been overlooked.
What We Found
Multiple input-tax credits were unclaimed because platform fees, shipping costs, and vendor invoices were recorded tax-inclusive, and summary reports obscured dozens of smaller recoverable amounts.
Recovery & Impact
- Refund Secured: $40,000+ in overpaid HST
- Cash-Flow Relief: Freed up working capital to reinvest in inventory and marketing
- Client Confidence: Demonstrated the importance of detailed HST reviews for online sellers
Key Takeaway
Online retailers should ensure every purchase cost is split to capture all available HST credits - small errors can add up to significant refunds.
CASE STUDY: $40K+ HST Windfall for a Commercial Interior Designer
Read about how this interior design firm was able to recover over $40K in HST payments.
