How Canadian sales tax works
Canada has a 5% federal GST. Five provinces combine it with their provincial tax into a single HST. The others either add a separate provincial tax (PST, Manitoba's RST or Quebec's QST) or charge GST only. Prices on shelves usually exclude tax, which is added at the till.
| Province or territory | Tax | Total rate |
|---|---|---|
| Ontario | HST | 13% |
| Nova Scotia | HST (cut from 15% on 1 April 2025) | 14% |
| New Brunswick, Newfoundland and Labrador, PEI | HST | 15% |
| Quebec | GST 5% + QST 9.975% | 14.975% |
| British Columbia, Manitoba | GST 5% + PST/RST 7% | 12% |
| Saskatchewan | GST 5% + PST 6% | 11% |
| Alberta, Yukon, NWT, Nunavut | GST only | 5% |
Worked examples on an $80 purchase
Ontario: $80 × 13% = $10.40 HST, total $90.40.
British Columbia: GST $80 × 5% = $4.00 and PST $80 × 7% = $5.60, total $89.60.
Quebec: GST $80 × 5% = $4.00 and QST $80 × 9.975% = $7.98, total $91.98. Since 2013 the QST is charged on the pre-tax price, not on top of GST.
Removing tax from a total
To find the pre-tax price, divide the total by 1 plus the combined rate: $90.40 ÷ 1.13 = $80.00 in Ontario. Subtracting 13% of the total ($90.40 × 0.87 = $78.65) gives the wrong answer.
Exceptions: basic groceries, prescription drugs and some other items are zero-rated or exempt, and provinces exempt different goods from PST. Businesses should confirm the rules on canada.ca before filing a GST/HST return.
Frequently asked questions
What is the HST rate in Ontario?
Ontario's HST is 13%, made up of the 5% federal GST and an 8% provincial portion.
What is the HST rate in Nova Scotia?
Nova Scotia's HST has been 14% since 1 April 2025, down from 15%.
How do I calculate GST and QST in Quebec?
Charge 5% GST and 9.975% QST, both on the pre-tax price. On $80 that is $4.00 GST and $7.98 QST, for a total of $91.98.
How do I remove HST from a price?
Divide the total by 1 plus the rate. In Ontario, $113 ÷ 1.13 = $100 before tax, so the HST is $13.