Table of contents
Sales tax
In Canada, there are multiple different indirect sales taxes:
- Federal Goods and Services Tax (GST): Federal tax that applies to the supply of most goods and services in Canada.
- Harmonised Sales Tax (HST): Tax where federal and provincial tax is combined into one sales tax. This tax is in effect in five provinces: New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario and Prince Edwards Island.
- Provincial Sales Tax (PST): Provincial tax levied in addition to GST. This tax is levied by British Columbia, Saskatchewan and Manitoba.
- Québec Sales Tax (QST): Provincial tax specifically for Québec and levied in addition to the GST.
Province Type Rate Provincial sales tax Federal GST
| Province | Type | Rate | Provincial sales tax | Federal GST |
|---|---|---|---|---|
| Alberta | GST | 5% | 0% | 5% |
| British Columbia | GST + PST | 12% | 7% | 5% |
| Manitoba | GST + PST | 12% | 7% | 5% |
| New Brunswick | HST | 15% | 10% | 5% |
| Newfoundland | HST | 15% | 10% | 5% |
| Northwest Territories | GST | 5% | 0% | 5% |
| Nova Scotia | HST | 15% | 10% | 5% |
| Ontario | HST | 13% | 8% | 5% |
| Prince Edward Island | HST | 15% | 10% | 5% |
| Québec | GST + QST | 14.975% | 9.975% | 5% |
| Saskatchewan | GST + PST | 11% | 6% | 5% |
| Yukon | GST | 5% | 0% | 5% |
To find out whether a certain supply is taxable or exempt, you can check on the Canadian government‘s website.
💡 The Government of Canada has announced a proposed measure to provide GST/HST relief on certain items from 14 December 2024 to 15 February 2025. Certain items such as prepared food and meals will be subject to the temporary zero-percent rate. Find more information here.