Overview of Canadian Sales Taxes

The Canadian sales taxes include the Provincial Sales Tax (PST), the Quebec Sales Tax (QST), the Goods and Services Tax (GST), and the Harmonized Sales Tax (HST) which is a combination of the PST and the GST in some provinces. 

  • The GST applies to most goods and services made in Canada; however, certain exceptions may apply.
  • The PST is a retail sales tax that is payable when a taxable good or service is acquired for personal or business use, unless a specific exemption applies.
  • The HST generally applies to the same base of goods and services as the GST. The participating provinces (New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario and Prince Edward Island) harmonized their PST with the GST to implement the HST.
  • In Quebec, the most common consumption taxes are the:
    • GST, which is calculated at a rate of 5% on the selling price.
    • QST, which is calculated at a rate of 9.975% on the selling price excluding the GST.

Canadian Sales Tax Table (Updated July 1, 2014)

PROVINCE APPLICABLE
SALES TAX
GST1 HST1 QST2 PST3 TOTAL
Alberta GST 5%       5%
British Columbia GST + PST 5%     7% 12%
Manitoba GST + PST 5%     8% 13%
New Brunswick HST   13%     13%
Newfoundland and Labrador HST   13%     13%
Northwest Territories GST 5%       5%
Nova Scotia HST   15%     15%
Nunavut GST 5%       5%
Ontario HST   13%     13%
Prince Edward Island HST   14%     14%
Quebec GST + QST 5%   9.975%   14.98%
Saskatchewan GST + PST 5%     5% 10%
Yukon GST 5%       5%

1Generally, GST/HST for shipments is calculated based on the rate applicable in the destination province instead of theorigin province.

2Generally, QST is only applicable to shipments within Quebec (i.e., when Quebec is both the shipment origin anddestination province).

3Generally, PST is not applicable to shipping charges, including most surcharges. However, HST is applicable in mostcases.

This tax table is provided as a courtesy and for informational purposes only.
For current tax rates and specific guidelines, visit the Canada Revenue Agency or Revenu Québec website.

Calculation of Canadian Sales Taxes

Example 1

A Manitoba manufacturer hires FedEx to transport products from its plant in Winnipeg to a wholesaler in Toronto.

Manitoba
 
Ontario
Winnipeg
 
 
Transportation Service
 
 
Toronto

The supply of this transportation service is subject to HST at a rate of 13% because the destination of the transportation service is in Ontario.

Transportation Cost: CAD$100
Ontario HST (13%): CAD$13
Total: CAD$113

Example 2

An Ontario manufacturer hires FedEx to transport products from its plant in Toronto to a wholesaler in Montreal.

Ontario
 
Quebec
Toronto
 
 
Transportation Service
 
 
Montreal

The supply of this transportation service is subject to GST at a rate of 5% because the destination of the transportation service is in Quebec. In this case, the QST does not apply because the transportation service originated outside of Quebec.

Transportation Cost: CAD$100
Ontario GST (5%): CAD$5
Total: CAD$105

Example 3

A Quebec manufacturer hires FedEx to transport products from its plant in Montreal to a wholesaler in Quebec City.

Quebec
 
Quebec
Montreal
 
 
Transportation Service
 
 
Quebec City

The supply of this transportation service is subject to GST at a rate of 5%, plus QST at a rate of 9.975% because this is an intra-Quebec transportation service.

Transportation Cost: CAD$100
Ontario GST (5%): CAD$5
QST (9.975%): CAD$9.98
Total: CAD$114.98

Additional Information

FedEx Express GST/HST number: 121832950RT0001
FedEx Express QST number: 1003874920TQ0002
FedEx Ground GST/HST number: 140728460RT0001
FedEx Ground QST number: 1018940643TQ0001

Additional Resources

Canada Revenue Agency
Revenu Québec