GST, HST, and PST explained
Canada has three sales tax types depending on the province. GST is the federal Goods and Services Tax (5%). HST is Harmonized Sales Tax — a single combined rate where federal GST and provincial sales tax merge (Ontario, Nova Scotia, New Brunswick, Newfoundland & Labrador, Prince Edward Island). PST is the standalone Provincial Sales Tax used in BC, Manitoba, and Saskatchewan, charged on top of the federal GST. Quebec uses GST plus its own QST at 9.975%. Alberta and the territories charge only the 5% GST.
Forward and reverse direction
Use forward (Add tax) when pricing products, building invoices, or projecting customer-facing totals. Use reverse (Remove tax) when reconciling tax-inclusive receipts, splitting POS register exports for accounting, or filing GST/HST returns. The calculator above handles both directions for every province with the correct breakdown of GST, HST, and PST/QST.
When US businesses need this
If you ship to Canadian customers above the $30,000 CAD threshold over 12 months, you must register for GST/HST and charge tax at the destination province rate. Marketplace facilitator rules apply on Amazon.ca and similar platforms. This calculator helps you model the per-province tax burden before launching into Canadian markets and reconcile collections after.
Filing GST/HST in Canada
Registered businesses file GST/HST returns monthly, quarterly, or annually depending on revenue. Input tax credits let you reclaim GST/HST paid on business expenses against tax collected on sales — making net remittance the difference between the two. Quebec's QST has its own filing system through Revenu Québec.
