HST Calculator 2026 – Canada Harmonized Sales Tax Tool

  • Adam
  • January 7, 2026

Free HST calculator for Canada. Calculate Harmonized Sales Tax for all provinces with 2026 rates. Add/remove HST, get federal & provincial breakdowns!

HST Calculator 2026 - Canada Harmonized Sales Tax Calculator

Calculate Harmonized Sales Tax (HST) for Canada with our comprehensive calculator. Get accurate HST calculations for Ontario, Nova Scotia, New Brunswick, Newfoundland & Labrador, and Prince Edward Island based on current 2026 rates. Essential tool for businesses, consumers, accountants, and anyone needing to calculate Canadian sales tax.

🍁 What is HST (Harmonized Sales Tax)?

The Harmonized Sales Tax (HST) is a consumption tax used in five Canadian provinces that combines the federal Goods and Services Tax (GST) with the provincial sales tax into a single, harmonized tax. The HST is administered by the Canada Revenue Agency (CRA).

HST Provinces (2026):

• Ontario: 13% HST (5% federal + 8% provincial)

• Nova Scotia: 14% HST (5% federal + 9% provincial) - Reduced from 15% in April 2025

• New Brunswick: 15% HST (5% federal + 10% provincial)

• Newfoundland & Labrador: 15% HST (5% federal + 10% provincial)

• Prince Edward Island: 15% HST (5% federal + 10% provincial)

Non-HST Provinces: Alberta, British Columbia, Manitoba, Saskatchewan, Quebec, Yukon, Northwest Territories, and Nunavut use GST only or GST + separate PST systems.

HST Tax Calculator

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Select how you want to calculate HST
Enter the amount in Canadian dollars (CAD)
Automatically set based on selected province

Your HST Calculation Results

What is the Harmonized Sales Tax (HST)?

The Harmonized Sales Tax (HST) is a value-added consumption tax used in Canada that combines the federal Goods and Services Tax (GST) with provincial sales taxes. Introduced in 1997, the HST streamlines tax collection by merging two separate taxes into one, simplifying compliance for businesses and reducing administrative costs. The Canada Revenue Agency (CRA) collects the HST and distributes the provincial portion to participating provinces.

The HST applies to most goods and services sold or provided in participating provinces. While the federal portion remains at 5% across all HST provinces, the provincial portion varies, resulting in different total HST rates. This harmonized system allows businesses to claim Input Tax Credits (ITCs) on the entire HST paid on business expenses, unlike traditional provincial sales tax systems where the provincial component was often not recoverable.

HST Calculation Formulas

Adding HST to a Price (Pre-Tax Amount)

Formula to Add HST:

\[ \text{HST Amount} = \text{Price Before Tax} \times \frac{\text{HST Rate}}{100} \]
\[ \text{Total Price} = \text{Price Before Tax} + \text{HST Amount} \]

Or simplified:

\[ \text{Total Price} = \text{Price Before Tax} \times \left(1 + \frac{\text{HST Rate}}{100}\right) \]

Example: Adding HST in Ontario (13%)

Given: Product price before tax = $100.00, HST rate = 13%

Calculation:

HST Amount = $100.00 × (13 ÷ 100) = $100.00 × 0.13 = $13.00

Total Price = $100.00 + $13.00 = $113.00

Alternative Method:

Total Price = $100.00 × 1.13 = $113.00

Removing HST from a Total Price (HST-Inclusive)

Formula to Remove HST:

\[ \text{Price Before Tax} = \frac{\text{Total Price}}{1 + \frac{\text{HST Rate}}{100}} \]
\[ \text{HST Amount} = \text{Total Price} - \text{Price Before Tax} \]

Or calculate HST directly:

\[ \text{HST Amount} = \text{Total Price} \times \frac{\text{HST Rate}}{100 + \text{HST Rate}} \]

Example: Removing HST in New Brunswick (15%)

Given: Total price including HST = $115.00, HST rate = 15%

Calculation:

Price Before Tax = $115.00 ÷ 1.15 = $100.00

HST Amount = $115.00 - $100.00 = $15.00

Alternative Method (Direct HST Calculation):

HST Amount = $115.00 × (15 ÷ 115) = $115.00 × 0.130435 = $15.00

Current HST Rates Across Canada (2026)

Province/TerritoryTax TypeRateFederal ComponentProvincial Component
OntarioHST13%5%8%
Nova ScotiaHST14%5%9%
New BrunswickHST15%5%10%
Newfoundland & LabradorHST15%5%10%
Prince Edward IslandHST15%5%10%
AlbertaGST Only5%5%0%
British ColumbiaGST + PST12%5% GST7% PST (separate)
ManitobaGST + RST12%5% GST7% RST (separate)
SaskatchewanGST + PST11%5% GST6% PST (separate)
QuebecGST + QST14.975%5% GST9.975% QST (separate)
YukonGST Only5%5%0%
Northwest TerritoriesGST Only5%5%0%
NunavutGST Only5%5%0%

⚠️ Important Note on Nova Scotia: On April 1, 2025, Nova Scotia reduced its HST rate from 15% to 14%, making it the first HST province to lower its rate. This 1% reduction remains in effect for 2026 and represents significant savings for Nova Scotia consumers and businesses.

History of HST in Canada

Original Implementation (1997)

The HST was first introduced on April 1, 1997, in three Maritime provinces: New Brunswick, Nova Scotia, and Newfoundland and Labrador, all at 15% (7% GST + 8% provincial). This pioneering harmonization aimed to reduce tax complexity and improve economic efficiency in the Atlantic region.

Ontario Adoption (2010)

On July 1, 2010, Ontario became the largest province to adopt the HST at 13% (5% GST + 8% provincial), replacing its previous 8% Retail Sales Tax (RST) system. This controversial move faced significant public opposition initially but ultimately streamlined business taxation in Canada's most populous province.

British Columbia's Brief HST Period (2010-2013)

British Columbia implemented the HST at 12% on July 1, 2010, but following a 2011 referendum where 55% of voters opposed the tax, the province reverted to separate GST and PST on April 1, 2013. BC remains the only province to have repealed the HST after implementation.

Prince Edward Island (2013)

PEI became the fifth and most recent province to adopt the HST on April 1, 2013, at 14%, which was later increased to 15% on October 1, 2016.

Rate Adjustments

- **July 1, 2016:** New Brunswick and Newfoundland & Labrador increased HST from 13% to 15% - **October 1, 2016:** Prince Edward Island increased HST from 14% to 15% - **April 1, 2025:** Nova Scotia reduced HST from 15% to 14% (first HST reduction in Canadian history)

HST vs. GST + PST: Key Differences

FeatureHST SystemGST + PST System
Tax CollectionSingle combined taxTwo separate taxes
AdministrationCanada Revenue Agency (CRA)CRA for GST, province for PST
Input Tax CreditsFull ITC on entire HSTITC only on GST portion
Business ComplianceSingle return filingSeparate federal and provincial returns
Point-of-SaleOne line item on receiptGST and PST shown separately
ExemptionsUnified exemption rulesDifferent exemptions for GST vs PST
Refund ProcessingSingle refund from CRASeparate refunds from federal and provincial

What is Taxable Under HST?

The HST applies to most goods and services sold or provided in HST provinces. Understanding what is taxable helps businesses comply with regulations and consumers budget accurately.

Fully Taxable (HST Applicable)

- **Goods:** Most tangible personal property, electronics, clothing, furniture, vehicles - **Services:** Legal services, accounting, consulting, repairs, hair salons, cleaning - **Restaurant Meals:** Prepared food and beverages (dine-in or takeout) - **Hotel Accommodations:** Short-term lodging under 30 days - **Entertainment:** Movie tickets, concert admissions, sporting events - **Professional Services:** Engineering, architecture, design - **Telecommunications:** Phone, internet, cable services - **Digital Products:** Software, e-books, streaming services (with exceptions)

Zero-Rated (0% HST - Still Eligible for ITCs)

Zero-rated supplies are technically taxable at 0%, meaning businesses can claim ITCs:

• Basic Groceries: Milk, bread, vegetables, fruit, meat, fish, poultry, eggs, cereals

• Prescription Drugs: Medications prescribed by licensed physicians

• Medical Devices: Wheelchairs, hearing aids, eyeglasses (prescription)

• Feminine Hygiene Products: Made zero-rated in 2015

• Agricultural Products: Livestock, grains, raw wool

• Fishing Products: Fish for human consumption

• Exports: Most goods and services exported outside Canada

Exempt (No HST, No ITCs)

⚠️ Exempt supplies have no HST charged, but businesses cannot claim ITCs on related expenses:

• Residential Rent: Long-term residential rentals (30+ days)

• Most Healthcare Services: Doctor visits, hospital services, dental care

• Childcare Services: Daycare, nursery schools

• Educational Services: Elementary, secondary, post-secondary courses leading to certificates/diplomas

• Financial Services: Interest, insurance premiums, securities transactions

• Legal Aid Services

• Music Lessons: Private music instruction

HST Registration Requirements

Businesses providing taxable goods or services in Canada must understand HST registration obligations to ensure compliance with CRA regulations.

📋 Mandatory HST Registration:

You must register for HST if:

• Your business revenues from taxable supplies exceed $30,000 in a single calendar quarter

• Your cumulative revenues from taxable supplies over four consecutive calendar quarters exceed $30,000

• You provide taxi or ride-sharing services (no threshold)

• You're a non-resident business making taxable supplies in Canada

Voluntary Registration:

Even if below the $30,000 threshold, you may choose to register voluntarily to claim Input Tax Credits on business expenses. This is particularly beneficial for businesses with significant start-up costs or capital purchases.

Small Supplier Exemption:

Businesses earning less than $30,000 annually from taxable supplies qualify as "small suppliers" and are not required to register, charge, or remit HST. However, they also cannot claim ITCs.

Input Tax Credits (ITCs)

One of the most significant advantages of the HST system is the ability for registered businesses to claim Input Tax Credits, recovering the HST paid on business-related purchases and expenses.

Input Tax Credit Calculation:

\[ \text{ITC Claimable} = \text{HST Paid on Business Expenses} \times \text{Taxable Use Percentage} \]
\[ \text{Net HST Payable} = \text{HST Collected from Customers} - \text{Total ITCs Claimed} \]

ITC Example:

Scenario: An Ontario consulting business (13% HST)

• HST collected from clients: $6,500

• Business expenses with HST:

  - Office supplies: $2,000 + $260 HST

  - Computer equipment: $3,000 + $390 HST

  - Professional services: $1,500 + $195 HST

• Total ITCs claimable: $260 + $390 + $195 = $845

Net HST Remittance: $6,500 - $845 = $5,655 payable to CRA

Without the HST system, the business would pay $6,500 and could not recover the $845 paid on business expenses.

ITC Eligibility Requirements

To claim Input Tax Credits, businesses must:

- **Be registered for HST/GST** with a valid CRA business number - **Have documentation:** Original invoices showing supplier's name, GST/HST number, date, and HST amount - **Use for taxable supplies:** The purchase must relate to commercial activities that generate taxable revenues - **Meet time limits:** Claim ITCs within four years of the original HST payment - **File returns:** Submit regular GST/HST returns (monthly, quarterly, or annually based on revenue)

HST Filing and Remittance

The Canada Revenue Agency requires HST-registered businesses to file returns and remit net tax payable according to specific schedules based on annual taxable revenues.

Annual RevenueFiling FrequencyDue DateReporting Period
Over $6 millionMonthlyOne month after period endEach calendar month
$1.5M - $6MQuarterly (optional monthly)One month after quarter endEach calendar quarter
$30K - $1.5MAnnually (optional quarterly)Three months after fiscal yearFiscal year
Under $30KNot required (small supplier)N/AN/A

HST Rebates and Credits

GST/HST Credit (Tax Credit for Individuals)

The GST/HST Credit is a tax-free quarterly payment that helps low- and modest-income individuals and families offset the GST or HST they pay. The CRA automatically determines eligibility when you file your personal income tax return.

2026-2027 GST/HST Credit Maximum Amounts:

• $356 per eligible adult (up from $349 in 2025)

• $187 per child under 19 (up from $184)

• $187 additional supplement for single individuals (up from $184)

Income Phase-Out Threshold: $46,432 (2026)

Benefits phase out at 5% of family income above this threshold.

Payment Dates (Quarterly): January 5, April 5, July 5, October 5

New Housing Rebate

The HST New Housing Rebate allows individuals who purchase or build a new home as their primary residence to recover a portion of the HST paid. The federal rebate returns up to 36% of the federal portion (5% GST component) on the first $350,000 of the home's value, to a maximum of $6,300. Provincial rebates vary by province.

New Residential Rental Property Rebate

Landlords who purchase or substantially renovate a residential property for long-term rental can claim an HST rebate of up to 36% of the federal portion and varying percentages of the provincial portion, depending on the province.

Official Government Resources (2026)

Canada Revenue Agency (CRA)

Government of Canada Tax Resources

Provincial Tax Authorities

Frequently Asked Questions

What is the difference between HST and GST?
GST (Goods and Services Tax) is the 5% federal sales tax that applies across all of Canada. HST (Harmonized Sales Tax) is a combined tax used in five provinces (Ontario, Nova Scotia, New Brunswick, Newfoundland & Labrador, and PEI) that merges the 5% federal GST with the provincial sales tax into a single rate. For example, Ontario's 13% HST consists of 5% GST + 8% provincial component. The key advantage of HST over separate GST/PST systems is that businesses can claim full Input Tax Credits on the entire HST amount, whereas with separate systems, ITCs are only available on the GST portion.
Which Canadian provinces have HST in 2026?
Five provinces use HST in 2026: Ontario (13%), Nova Scotia (14%), New Brunswick (15%), Newfoundland & Labrador (15%), and Prince Edward Island (15%). The remaining provinces and territories either use only GST at 5% (Alberta, Yukon, Northwest Territories, Nunavut) or combine separate GST and provincial sales tax systems (British Columbia, Manitoba, Saskatchewan, and Quebec). Nova Scotia reduced its HST from 15% to 14% on April 1, 2025, making it the first province to lower its HST rate.
How do I calculate HST on a price?
To add HST to a price, multiply the pre-tax price by the HST rate as a decimal. For Ontario (13%): multiply by 0.13, then add to original price. Example: $100 × 0.13 = $13 HST, total = $113. Quick method: multiply price by 1.13 to get total directly. To remove HST from a total price, divide by (1 + HST rate as decimal). For Ontario: divide by 1.13. Example: $113 ÷ 1.13 = $100 original price. Use our calculator above for instant accurate calculations for any province.
Do I need to register for HST?
You must register for HST if your business makes taxable supplies and your revenues exceed $30,000 in a single calendar quarter or over four consecutive quarters. Taxi and ride-sharing services must register regardless of revenue. Businesses below this threshold are "small suppliers" and aren't required to register, charge, or remit HST, but also cannot claim Input Tax Credits. Many businesses choose voluntary registration even below the threshold to recover HST paid on business expenses, particularly during startup phases with significant capital purchases. Register through CRA's Business Registration Online or by calling 1-800-959-5525.
What is an Input Tax Credit (ITC)?
An Input Tax Credit (ITC) allows HST-registered businesses to recover the HST they paid on business-related purchases and expenses. When you file your HST return, you subtract the total ITCs (HST paid on expenses) from the HST you collected from customers, remitting only the net amount to CRA. For example, if you collected $10,000 HST from sales but paid $3,000 HST on business expenses, you'd claim $3,000 in ITCs and remit only $7,000. To claim ITCs, you must be registered for HST, have proper documentation (invoices with supplier's GST/HST number), and the expenses must relate to taxable commercial activities. This is a major advantage of HST over traditional PST systems where provincial tax wasn't recoverable.
Are groceries taxed with HST?
Most basic groceries are zero-rated for HST, meaning 0% tax applies. This includes milk, bread, vegetables, fruits, meat, fish, poultry, eggs, cereals, and most food products for human consumption. However, prepared foods, restaurant meals, snacks, candy, soft drinks, and alcoholic beverages are fully taxable at the applicable HST rate. For example, raw chicken from a grocery store is zero-rated (0% HST), but a prepared rotisserie chicken may be taxable depending on the manner of sale. The zero-rated status means businesses selling these items can still claim Input Tax Credits on related expenses, unlike exempt supplies where no ITCs are available.
How often do I need to file HST returns?
HST filing frequency depends on your annual taxable revenue: Businesses with over $6 million file monthly, those with $1.5M-$6M file quarterly (or can choose monthly), and those with $30K-$1.5M file annually (or can choose quarterly). Small suppliers under $30,000 don't file. Monthly filers must submit returns one month after the reporting period ends (e.g., January return due February 28). Quarterly returns are due one month after the quarter ends. Annual filers have three months after their fiscal year end. You can file online through CRA's My Business Account, by mail, or through NETFILE-certified software. Late filing incurs penalties of 1% of unpaid tax plus 0.25% for each complete month late, up to 12 months.
Can I claim the GST/HST credit?
The GST/HST credit is an automatic quarterly payment for low- and modest-income Canadians to help offset sales tax costs. You're eligible if you're a Canadian resident age 19+, or under 19 with a spouse/common-law partner or child. The CRA determines eligibility when you file your personal income tax return—no separate application required. For 2026-2027, maximum amounts are $356 per adult, $187 per child under 19, and an additional $187 supplement for single individuals. Benefits start phasing out at family income of $46,432 at a rate of 5% of income above this threshold. Payments are issued quarterly on January 5, April 5, July 5, and October 5. Even if you have no income, file a tax return to maintain eligibility.
What's the difference between HST and PST?
HST is a harmonized tax combining federal GST with provincial sales tax into one rate administered by the Canada Revenue Agency. PST (Provincial Sales Tax) is a separate provincial tax administered by individual provinces, applied in addition to the 5% federal GST. Key differences: (1) HST is collected as a single tax; GST+PST are separate charges shown on receipts. (2) Businesses can claim full Input Tax Credits on HST; with PST, ITCs apply only to the GST portion, not PST. (3) HST has unified exemptions; GST and PST have different exemption lists. (4) HST requires one return to CRA; GST+PST require separate federal and provincial filings. (5) HST simplifies compliance and reduces administrative burden for businesses compared to dual GST/PST systems.
Why did Nova Scotia reduce its HST rate?
On April 1, 2025, Nova Scotia became the first HST province to reduce its rate, lowering it from 15% to 14%—a 1 percentage point reduction. The provincial government implemented this reduction as an affordability measure to help residents cope with rising costs of living, particularly housing and essential goods. The reduction costs the provincial treasury approximately $260 million annually in foregone revenue but provides direct savings to consumers and businesses. For a $10,000 purchase, Nova Scotians now save $100 compared to the previous 15% rate. This historic rate reduction demonstrates that while HST rates have primarily increased since the system's 1997 introduction, provincial governments can adjust rates downward when fiscal and economic conditions permit.

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