<i>charge based on residence</i><p>Duh, you&#x27;re right of course.  I know this, too -- I have to go through the same headache of charging different rates to my Canadian customers based on where they&#x27;re located.<p>I must have been asleep when I wrote that comment... alas, it&#x27;s too late to edit it now.<p><i>I pay 5% GST - there is no HST&#x2F;PST in Alberta. But I pay this 5% GST on droplets that are in the NYC and SFO datacenters.</i><p>Right, if the service is being provided to you by a Canadian company then they have to charge GST regardless of where the servers are.  The same goes for Tarsnap -- my servers are EC2 instances in the US, but I remit GST&#x2F;HST for my Canadian customers.