E-commerce accounting for Canadian and USA sellers
Accounting Tax Services for Amazon Sellers in Canada
Selling through Amazon creates accounting challenges that ordinary bookkeeping may miss. This includes marketplace settlements, platform fees, refunds, inventory, multiple currencies and Canadian sales taxes. Accountico brings these moving parts together so you can understand your numbers and make informed decisions. Serving Amazon sellers across Canada through secure, cloud-based accounting and bookkeeping support.
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Cloud accounting workflows for modern e-commerce businesses
Built for marketplace complexity
Amazon Bookkeeping Is More Than Recording Deposits
The amount deposited into your bank account is not the same as your gross sales. Amazon settlements can include sales, returns, reimbursements, marketplace fees, advertising charges, fulfillment costs and taxes. Recording only the net deposit can distort revenue, expenses and sales-tax balances.
01
Settlement Reconciliation
Match Amazon settlement activity to bank deposits while separating revenue, fees, refunds, reimbursements and tax amounts.
02
Inventory and Cost Tracking
Organize purchases, landed costs and inventory information so your reports better reflect the economics of the products you sell.
03
Tax and Multi-Marketplace Data
Separate marketplace-collected amounts from seller obligations and organize transactions across provinces, currencies and sales channels.
Services for growing sellers
Amazon Seller Accounting and Bookkeeping Services
Choose ongoing support or a tailored combination of services based on your sales volume, channels, entity structure and Canadian tax obligations.
Amazon Bookkeeping
Organized monthly books that account for marketplace activity, operating expenses, refunds, reimbursements and bank or credit-card transactions.
A2X and Software Support
Support for connecting Amazon settlement data with tools such as A2X and compatible cloud accounting software, based on your workflow.
Settlement Reconciliation
Reconcile marketplace statements to deposits and identify timing differences, missing entries or balances requiring investigation.
GST/HST and Sales-Tax Support
Registration reviews, organized tax data, return preparation and guidance on marketplace-collected versus seller-collected amounts.
Financial Reporting
Income statements, balance sheets and management reports that help you review margins, expenses, cash flow and business performance.
Tax Preparation and Payroll
Personal or corporate tax preparation and Canadian payroll support where these services form part of your Accountico engagement.
From marketplace activity to useful reports
A Cleaner Amazon Accounting Workflow
Reliable reporting starts with a repeatable process. Accountico can help organize the flow of data from Amazon and your payment accounts into your accounting system.
- Connect and collect: Gather marketplace, bank, credit-card, inventory and expense information.
- Map transactions: Separate sales, fees, returns, reimbursements, advertising and taxes.
- Reconcile: Match settlement reports with deposits and investigate differences.
- Review: Check the books for completeness and prepare periodic reports.
- Prepare: Keep records organized for sales-tax and income-tax filings.
Information we may request
- Amazon settlement and transaction reports
- Bank and credit-card statements
- Advertising and software expenses
- Supplier invoices, freight and customs documents
- Inventory reports and landed-cost information
- GST/HST, QST or provincial sales-tax account details
- Prior returns and financial statements, when relevant
Canadian sales tax
Who Collects GST/HST on Amazon Sales?
The answer depends on the transaction and the seller’s registration status. Under Canada’s digital-economy rules, a registered seller under the normal GST/HST regime generally charges and collects GST/HST on its taxable supplies. For qualifying goods sold through a specified distribution platform by a seller that is not registered under the normal regime, the platform operator may be required to collect the tax.
The applicable rate can depend on the place-of-supply rules, including where goods are delivered. Separate provincial taxes may also require review—for example, QST in Quebec and retail sales taxes in British Columbia, Manitoba and Saskatchewan. There is no single registration or filing answer that applies to every Amazon seller.
Read the CRA guidance on qualifying goods sold through digital platforms.
Amazon Business:
- Seller location and business structure
- GST/HST registration status
- Where inventory is stored
- Where customers receive goods
- Whether Amazon collected tax
- Sales outside the marketplace
- Applicable provincial obligations
Support matched to your situation
Canadian and International Amazon Sellers
Canadian Sellers
Canadian-resident sellers may need support with business income, GST/HST, marketplace reconciliation, deductible expenses, inventory records, payroll and personal or corporate tax filings.
If you sell outside Canada, cross-border transactions, foreign currencies and additional marketplace accounts can add complexity to your books.
International Sellers Entering Canada
Non-resident sellers may need to assess registration, importation, inventory-storage, income-tax and sales-tax implications before or while selling to Canadian customers.
Because the outcome depends on your facts, Accountico can help organize the Canadian accounting information and identify matters that require specialized cross-border advice.
A more complete service scope
What Accountico Can Help Organize for Your Amazon Business
Some sellers need monthly bookkeeping. Others arrive with several months of unreconciled settlements, questions about Canadian registrations, or reports that do not match the deposits in their bank account. The work can be adjusted to the condition of your books and the stage of your business.
- Account setup or cleanup: review the chart of accounts, opening balances and existing bookkeeping.
- Marketplace transaction records: organize sales, refunds, reimbursements, fees and other adjustments.
- Bank and credit-card reconciliation: match recorded activity with statements and investigate unexplained differences.
- A2X workflow support: assist with setup, mapping and review when A2X is appropriate for the accounting system.
- Sales-tax records: distinguish marketplace-collected tax from amounts collected or reportable by the seller.
- Tax account support: help gather information for applicable GST/HST, QST or provincial registration and filing work.
- Inventory-related records: organize supplier invoices, freight, duties and available inventory information.
- Financial reporting: prepare periodic reports that make revenue, fees, expenses and profitability easier to review.
- Tax preparation: keep the bookkeeping organized for personal or corporate income-tax preparation, as applicable.
- Payroll support: help with Canadian payroll records and remittances as the business hires employees.
- Document management: establish a practical routine for bills, statements, reports and filing deadlines.
- Year-round questions: provide continuity instead of waiting until the year-end to identify missing information.
Why specialized support matters
Good Records Make Growth Easier to Manage
As sales increase, small bookkeeping errors can spread across hundreds or thousands of transactions. A consistent process makes it easier to prepare returns, answer questions and understand what the business is actually earning after marketplace costs.
It also gives you better information when deciding whether to add products, change prices, increase advertising, enter another marketplace or hire staff.
Questions your reports should help answer
- How much did the business sell before Amazon fees and refunds?
- What portion of each settlement relates to fees, advertising, taxes and other adjustments?
- Are marketplace deposits fully reconciled to the accounting records?
- Which expenses are increasing as sales grow?
- Are the records complete enough for sales-tax and income-tax preparation?
- Does the business have enough current information to plan cash flow and inventory purchases?
Why Accountico
Accounting Support That Keeps Pace With E-commerce
We focus on translating complicated marketplace activity into organized books and understandable reports. Your service plan can grow as transaction volume, sales channels and filing needs change.
- ✓ Cloud-based service available across Canada
- ✓ Familiarity with marketplace settlements and e-commerce workflows
- ✓ Bookkeeping, tax and payroll support in one relationship
- ✓ Service tailored to your entity, channels and reporting needs
- ✓ Clear communication and year-round financial organization
Frequently asked questions
Amazon Seller Accounting FAQ
Why does Amazon bookkeeping require special attention?
Amazon deposits are usually net settlement amounts. They can combine sales, refunds, reimbursements, commissions, fulfillment fees, advertising costs and tax amounts. These components should be separated and reconciled so the accounting records do not treat a net bank deposit as total revenue.
Can Amazon settlement reports be connected to QuickBooks or Xero?
Yes. Depending on your setup, marketplace accounting tools such as A2X can summarize settlement data and post it to compatible cloud accounting software. The accounts and tax mapping should be configured and reviewed for your business rather than relying on default settings.
Does Amazon collect GST/HST for every seller?
No single answer applies to every seller or transaction. A seller registered under the normal GST/HST regime generally collects tax on its taxable supplies. For certain qualifying goods supplied through a specified distribution platform by a non-registered seller, the platform operator may be required to collect GST/HST. Your registration status, inventory location, delivery destination and sales channels should be reviewed.
Do Amazon sellers need to register for GST/HST in Canada?
Registration depends on factors such as taxable revenues, residency, whether the business is carrying on business in Canada, where goods are stored and how sales are made. The common small-supplier threshold may be relevant in some cases, but special digital-economy and non-resident rules can also apply. Obtain advice based on your specific facts.
Can Accountico help an international seller entering Canada?
Accountico can assist with Canadian bookkeeping, marketplace reconciliation, sales-tax information and tax-preparation needs. International sellers may also need legal, customs or specialized cross-border tax advice depending on their structure and activities.
What records should an Amazon seller keep?
Keep settlement and transaction reports, supplier invoices, freight and customs documents, bank and credit-card statements, advertising costs, software invoices, inventory records, returns and reimbursement information, payroll records where applicable, and copies of filed tax returns. Retention rules depend on the document and jurisdiction.
Information note: This page provides general information, not legal or tax advice. Canadian tax obligations depend on the seller, transaction, registration status and jurisdiction. Obtain advice based on your circumstances.
Take the next step
Get an Amazon Accounting Plan Built Around Your Business
Tell us where you sell, how your business is structured, which software you use and what needs attention. Accountico will discuss an appropriate scope for bookkeeping, reconciliation, sales-tax support and tax preparation.