Our company does not charge/collect PST, however we do purchase items that have PST charges. How do I account for this correctly? Do I make the pst government remittance? Normally you would remit the difference between what you've charged, and what you've paid, but we don't have that situation.

Any advice?

PST is not like GST, in that you don't get credit for the PST you pay, you only remit what you charge to the provincial government.  If you don't charge PST, then you don't remit anything to the government, and you really don't need to worry about it.  You can still have a PST account set up and when you post bills, show both taxes you paid, and you can keep an accounting o fhow much PST you have paid, but other than being able to curse the government for how much tax you've had to pay, you really won't need to look at the account.

Now, if you do collect PST, there are some cases where you can claim back PST you have paid, if you can prove to them that you are not the "end user" of the purchase and that the person you sold it to has paid the PST.  It's usually more work than it's worth though, unless it's a large amount, much easier to give your vendors a PST exemption certificate and just not pay it on items you are using for re-sale or manufacturing.  Of course, in order to claim any back, you have to be registered for PST and remit reports to the government. 

Hope that helps.

Hi there:   Someone else asked this questions a few days ago.  There seems to be some misunderstanding about needing to account for PST that is charged to you on vendor invoices for your purchases.  As the last reply stated, it is just a cost to you, not something that you have to remit or deal with in any way.  All you do is include it in the amount you are expensing for the purchase to the account that you expense it to.  What I do on my vendor invoices is take the total, subtract the GST amount, and note the result in red on my vendor's invoice and that is the amount that will be expensed when I post to the vendor's account in A/P.  (Which amount includes whatever PST was included in the invoice).  What this does then is separate out only the GST from your vendor's invoices to "GST Paid on Purchases".  There is no reason at all to keep track of the PST in this situation and since you don't charge PST on anything, then PST is not a concern for you.    Hope this helps.