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Need Tax Help Please (Canadian Dropshipping to US)

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New Contributor
May 14, 2016
Hi folks, I'm hoping to get some insight on a tax-related question.

I recently opened up an e-Commerce website for dropshipping to the US. I'm Canadian and the business is registered in Canada. To avoid dealing with US taxes and avoid establishing "nexus", I always choose the "Ship from China" option for all products. However, when looking at the tracking info, I see that most of the products are being shipped from within the US. I use AliExpress and CJDropshipping to dropship, and both are shipping my orders from within US instead of from China. I've only sold a handful of units so far.

What exactly does this mean, tax-wise? Does it mean that nexus has been established? My intent was to ship from China, and that's always the option I've chosen when placing each order.

Any advice/help is appreciated. Thanks in advance.

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