Leave Canada Now

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A New Brunswick company, known as Level Extreme Inc., has been fighting the Canada Revenue Agency for the last two years in regards to a Canada Revenue Agency Ruling forcing it to tax its international customers. This ruling has jeopardized and harmed the administrative operations of a Canadian company, which by the same, has removed its capabilities to compete equally against other international companies in the same business. It is unacceptable that Canadian companies are forced to tax international customers with an insulting Canadian tax. If the Canada Revenue Agency does not adjust accordingly, Canadian companies doing e-commerce business or ones with the desire to do so would have to leave the country in favour of offshore setups.

Testimonials
To CRA: "Who gave you the authority to tax Americans??" Bill Wright, Wright Consulting Group, Rochester, New York, United States
To CRA: "It makes me not want to do business with anyone in your area. You have taken away any incentive to do business in your area because of this outrageous high tax, especially when others are not charging it. You have put a business in your area at a disadvantage when competing throughout the world." Cecil Champenois, Pomona, California, United States
To CRA: "I believe the Harmonized Sales Tax imposed upon Universal Thread members is unfair seeing as how Universal Thread provides services to companies world-wide. I would implore you to reconsider such a ruling and allow Universal Thread to provide its rates to its customers at a competitive price." Valter Herman, E.S. Systems Inc., Dallas, Texas, United States
"I was about to renew, but when I went to the checkout page there was an additional charge of $21.30 tacked on for HST. No explanation of what this is or why. If it is a tax, I won't do it. It's too much. So, for now, I have reluctantly decided to not renew. I would have expected better of you guys." Wayne Vance, Bulls Eye Marketing, Falls Church, Virginia, United States
"I further understand that non-residents of Canada are being FORCED to pay this HST too. Personally, I view this as a huge embarrasment for Canada and Canadians! It makes us ALL look like money-grubbing nickel-and-dimers who happily pick the pockets of anyone who happens our way!" Jim Nelson, Toronto, Ontario, Canada
"Are you guys saying that I too will have to pay 15% HST? That would imply that I'll gonna pay Canadian Taxes, wow! A quite unique situation, and I think I can make it to our newspapers this week." Peter de Valença, ViaFox, Haarlem, Netherlands
"Aren't sales taxes customarily based on the location of the purchaser, not the vendor? I wouldn't expect to be charging Massachusetts sales tax to non-residents, purchasing from out-of-state." Michael Asherman, SpaceTime Systems, Cambridge, Massachusetts, United States

Level Extreme is a Canadian based corporation located in Bathurst, New Brunswick. Level Extreme specializes in providing high end consulting services to its clients, offers professional online content for the developers community as well as providing a variety of Web sites and online products. Level Extreme is renowned for its Universal Thread, an online developers community, which offers a subscription based Web site, which is now confronted against the Canadian Revenue Agency, which led to the creation of this Web site.

In January 2005, the Canada Revenue Agency has ruled Level Extreme to tax its foreign customers, considered by Level Extreme as one of worst ruling ever done on a Canadian company. Level Extreme generates 90% of its income coming form the international market. See why a problem in the Canadian tax legislation, which omits that intangible properties should be zero-rated for non residents, has caused a severe situation making the ability for a Canadian based company to make business in e-commerce practically impossible.

We provide a petition to gather signatures from all around the world to clearly demonstrate that there is a real problem presently in the Canadian Tax Legislation which harms Canadian companies doing business in e-commerce. It is of very high importance that this situation should be readjusted as it does not make any sense for one with the desire to run such business be forced to leave the country in favor of an offshore setup. Canadian Internet entrepreneurs should be allowed to do business in their own country with the ability to provide a professional environment to their foreign customers without being forced to tax them with an insulting Canadian tax.

We allow the ability for you to comment on the issue. Your voice is important to us and to all other Canadian based e-commerce business. If you already sent a comment to Level Extreme either by email or by another media, such as the Universal Thread, or if you have submitted a complaint to the Canada Revenue Agency, we invite you to comment on the issue here as well so this will now be part of the official comment area of this issue. It is important you let us know about how you feel on this issue. It concerns you as well if you use the Internet to make business with Canadian based service providers.

This document provides the timeframe of the entire issue since the beginning. It includes items such as the major dates in regards to this ruling, the link to the related documentation and the mediatization. The timeframe also includes related dates about important meeting which took place as well as the involvement of several related parties.