Rules
Selling Silver Jewellery in Canada: Quality Mark and Receipt Rules
Selling silver jewellery in Canada regulations require federal quality marks and receipts, plus Competition Bureau and provincial permit rules.
What to take away
- Sellers in Canada must apply a prescribed quality mark, such as "sterling" or "925", before offering silver jewellery for sale.
- The Competition Bureau enforces the federal Precious Metals Marking Act, and non-compliance can lead to removal from sale, investigation, and prosecution.
- Invoices and online listings must not describe silver quality unless the article actually meets the standard and is marked.
- Home sellers making their own new jewellery generally do not need a secondhand dealer permit, but buying and reselling used silver may trigger provincial and municipal licensing.
- Keep records of every silver transaction, including the quality mark used and the buyer's jurisdiction, to support a due diligence defence.
Who has jurisdiction
The Competition Bureau is the named federal regulator for quality marks on precious metal articles sold in Canada. Competition Bureau Canada page It enforces the Precious Metals Marking Act, which sets minimum fineness for silver marks such as "sterling" and "925". Makers who stamp their own pieces should read Canadian Silver Hallmarking Rules before applying any quality mark.
Provincial and municipal governments control business licensing and secondhand dealer permits. A home studio selling only newly made silver jewellery usually falls under ordinary home-based business rules, which may require a municipal business licence. If you buy used silver or scrap and resell it, many provinces and cities classify you as a secondhand dealer, which requires a separate permit or police record.
What a home operation may and may not do
A home operation may make silver jewellery in a residential space, sell it online, and ship within Canada, provided local zoning allows home-based work. It may stamp solid sterling pieces with the correct quality mark. It may also sell silver-plated pieces without a quality mark, as long as the listing does not call them sterling or 925.
A home operation may not describe an item as sterling unless the article meets the 925 standard and carries the required mark. It may not buy used silver to resell without checking whether a secondhand dealer licence is needed in its municipality. It may not use a quality mark on filled or plated items unless the mark is specifically permitted for plated goods.
Labelling requirements
The Precious Metals Marking Act requires a quality mark to be applied to the article itself before sale. Precious Metals Marking Act A compliant label on the packaging or invoice should repeat the exact quality mark that appears on the piece. The table below shows marks commonly used for silver.
| Mark | Minimum silver content | Notes |
|---|---|---|
| "sterling" or "sterling silver" | 925 parts per 1,000 | Solid sterling jewellery and hollowware |
| "925" | 925 parts per 1,000 | Numeric equivalent of sterling |
| "silver plate" | No minimum silver content | Permitted only when clearly indicating a plated finish |
For the difference between solid sterling and Argentium-type alloys or silver plate, see Argentium-type alloys. The Silver alloys guide explains fineness, composition, and testing methods.
Online descriptions are regulated as written representations. A listing that says "sterling silver ring" is an invitation to buy, so the quality mark rules apply before the item is shipped.
Records to keep
Keep a written record for every silver jewellery sale. For GST/HST purposes, the Canada Revenue Agency expects registrants to show the amount of tax charged or a statement that tax is included. CRA GST/HST information The HST rate depends on the buyer's province and ranges from 5% to 15%.
- Date of sale and province or territory of the buyer
- Description of each article, including the quality mark applied
- GST/HST registration number and amount collected, if registered
- For secondhand purchases, seller's name, address, and proof of ownership
For secondhand buys, apply the same Seller Checks used by US online shoppers to verify marks before paying.
What happens if you skip it
A seller who applies a sterling mark to silver-plated earrings may have those earrings pulled from sale and could face prosecution under the Precious Metals Marking Act. The Competition Bureau can also ask a seller to correct a misleading advertisement or listing. Repeated non-compliance may be referred for investigation under the Competition Act.
The practical risk is not only confiscation. A customer who discovers silver-filled jewellery sold as sterling can file a complaint with the Bureau, which then becomes a permanent record.
Common questions
Do I need a federal licence to sell my own sterling jewellery in Canada? No. Canada does not issue a federal licence for jewellery sellers. You must follow federal quality mark rules and any provincial or municipal business licence requirements.
Can I sell silver-plated jewellery without a quality mark? Yes, provided you do not describe it as sterling or 925. Misleading descriptions are treated as quality mark violations.
What must an invoice show for a silver ring sold to another Canadian? An invoice should repeat the quality mark used on the ring, describe the item, state the price, and show GST/HST if you are registered.
Does a secondhand dealer permit apply if I buy estate silver to resell online? Often yes. Municipalities and provinces can require a secondhand dealer licence for buying and reselling used goods. Check your local bylaw before buying inventory.