Sales Taxes in Canada

Sales Taxes In Canada

In Canada, three types of sales taxes are levied. These are as follows:

  • Provincial sales taxes (PST), levied by the provinces
  • Goods and Services Tax (GST), a value-added tax levied by the federal government
  • The combined Harmonized Sales Tax (HST), also a value-added tax, a single, blended combination of the PST and GST which is used in British Columbia, Ontario, and the Atlantic provinces of New Brunswick, Newfoundland and Labrador, and Nova Scotia. The HST is then collected by the Canada Revenue Agency, which then remits the appropriate amounts to the participating provinces.

Every province except Alberta has implemented either a provincial sales tax or the Harmonized Sales Tax. The federal GST rate is 5 percent, effective January 1, 2008.

The territories of Yukon, Northwest Territories, and Nunavut do not have either the HST or territorial sales taxes. Only the GST is collected. The three northern jurisdictions are heavily subsidized by the federal government, and its residents receive some additional tax concessions due to the high cost of living in the north.

Read more about Sales Taxes In Canada:  Provincial Sales Taxes

Famous quotes containing the words sales, taxes and/or canada:

    Make friends with the angels, who though invisible are always with you.... Often invoke them, constantly praise them, and make good use of their help and assistance in all your temporal and spiritual affairs.
    —St. Francis De Sales (1567–1622)

    The law before us, my lords, seems to be the effect of that practice of which it is intended likewise to be the cause, and to be dictated by the liquor of which it so effectually promotes the use; for surely it never before was conceived by any man entrusted with the administration of public affairs, to raise taxes by the destruction of the people.
    Philip Dormer Stanhope, 4th Earl Chesterfield (1694–1773)

    I see Canada as a country torn between a very northern, rather extraordinary, mystical spirit which it fears and its desire to present itself to the world as a Scotch banker.
    Robertson Davies (b. 1913)