Canada has three different sales tax systems operating across provinces: the federal GST, the Harmonized Sales Tax (HST), and provincial sales taxes (PST/RST/QST). The rate you pay depends entirely on where you buy. This is the definitive 2025 reference for Canadian sales tax rates.
| Province/Territory | Federal GST | Provincial Tax | Total Rate | Tax System |
|---|---|---|---|---|
| Alberta | 5% | 0% | 5% | GST only |
| British Columbia | 5% | 7% PST | 12% | GST + PST |
| Manitoba | 5% | 7% RST | 12% | GST + RST |
| Saskatchewan | 5% | 6% PST | 11% | GST + PST |
| Ontario | 5% | 8% (prov. component) | 13% | HST |
| Quebec | 5% | 9.975% QST | 14.975% | GST + QST |
| New Brunswick | 5% | 10% (prov. component) | 15% | HST |
| Nova Scotia | 5% | 10% (prov. component) | 15% | HST |
| PEI | 5% | 10% (prov. component) | 15% | HST |
| Newfoundland | 5% | 10% (prov. component) | 15% | HST |
| Yukon | 5% | 0% | 5% | GST only |
| Northwest Territories | 5% | 0% | 5% | GST only |
| Nunavut | 5% | 0% | 5% | GST only |
The Goods and Services Tax (GST) is a federal value-added tax of 5% introduced in Canada in 1991. It replaced the hidden 13.5% Manufacturers' Sales Tax. GST applies to most goods and services sold in Canada. Businesses collect GST from customers and remit it to the CRA, claiming back GST paid on business purchases (Input Tax Credits).
The Harmonized Sales Tax (HST) combines the federal GST with a provincial component into a single tax. HST is collected by the CRA, which then distributes the provincial portion to the relevant province. Ontario (13%), Nova Scotia (15%), New Brunswick (15%), PEI (15%), and Newfoundland (15%) use HST. The benefit is a single registration, single remittance, and single set of rules for businesses.
Provincial Sales Tax (PST) is a separate provincial retail sales tax collected by BC (7%), Saskatchewan (6%), and Manitoba (7% — called RST). Businesses must register for PST separately from GST. PST rules differ from GST/HST — notably, BC's PST does not generally apply to services, while HST does.
Quebec's QST of 9.975% is structured similarly to HST but administered by Revenu Québec rather than the CRA. Quebec actually administers the federal GST on behalf of the CRA within Quebec. The combined GST + QST rate of 14.975% is nearly equivalent to the Atlantic HST of 15%.
The following are generally exempt from GST/HST across Canada:
PST exemptions differ significantly from province to province:
Registered businesses can claim Input Tax Credits (ITCs) for GST/HST paid on business purchases. This means the tax is effectively paid only by final consumers — not by businesses along the supply chain. This is a fundamental design feature that prevents tax on tax (cascading). Businesses with less than $30,000 in annual revenues generally do not need to register for GST/HST.
For online purchases from Canadian retailers, the tax rate is based on the destination — where the goods are shipped. Shipping to Alberta? Pay 5% GST. Shipping to Nova Scotia? Pay 15% HST. Alberta residents consistently pay the lowest sales tax on Canadian online purchases of any province.
You can't control tax rates, but you can control bank fees. KOHO offers free banking with no monthly fees and no minimum balance. Use code 45ET55JSYA for a bonus when you sign up.
Open KOHO Free — Code 45ET55JSYA