Further to the recent changes regarding the Harmonized Sales Tax (HST) in Prince Edward Island and British Columbia, here is a summary of the Canadian federal and provincial sales tax rates effective April 2013.
Notes that may help
- British Columbia – 12% HST (applicable until March 31, 2013)
- Ontario – 13% HST (5% federal component and 8% provincial component)
- New Brunswick and Newfoundland – 13% HST (5% federal component and 8% provincial component)
- Nova Scotia – 15% HST (5% federal component and 10% provincial component)
- Prince Edward Island – 14% HST (5% federal component and 9% provincial component)
- It is important to note that the tax rates can change (often in the Spring at the time budgets are tabled).
- If a supplier is registered for GST purposes, they will have to charge: (1) GST in respect of taxable sales in Canada, and (2) HST at the applicable HST rate if the HST place of supply rules deem a supply to be made in a participating province.
- The rules may be different on when a vendor must register for provincial sales tax purposes (in Quebec, British Columbia, Manitoba or Saskatchewan) and charge provincial sales tax on a sale of goods in a province or on services in respect of tangible personal property.