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Ontario sales tax is a single 13% HST on most goods and services, so a $1,000 purchase costs $1,130.00. Five of those points are the federal GST and eight are Ontario’s own share, but you’ll only ever see the one line on a receipt.
How is the 13% split between Ottawa and Ontario?
The federal part is 5% and the provincial part is 8%. The split matters in only a few places, mostly new housing rebates, where the two parts are treated separately. For everyday shopping you can treat it as one 13% tax.
Ontario doesn’t run a separate provincial sales tax. That’s the main difference from British Columbia or Saskatchewan, where a shop adds GST and PST as two lines. In Ontario the Canada Revenue Agency collects the whole thing and passes Ontario’s share along.
What does Ontario sales tax add to common prices?
These amounts come from the GST and HST calculator set to Ontario, with the amount before tax.
| Price before tax | HST at 13% | You pay |
|---|---|---|
| $200 | $26.00 | $226.00 |
| $1,000 | $130.00 | $1,130.00 |
| $2,500 | $325.00 | $2,825.00 |
The same $2,500 would cost $2,850.00 in Nova Scotia at 14% and $2,625.00 in Alberta at 5%. Crossing a provincial line for a big purchase can move the bill by a few hundred dollars. Not so fast. The rate that applies can follow where the goods are delivered, so a trip doesn’t always save anything.
Here’s how it plays out for a real person. Maya in Ottawa buys a $1,200 laptop, so the HST is $156.00 and she pays $1,356.00. If a friend in Calgary orders the same laptop, the tax is $60.00 and the total is $1,260.00. That $96 gap is the whole story of why shoppers on the Ontario side of a provincial line grumble about prices.
What if the price already includes HST?
A lot of people get this wrong. If a sign says $1,130 with tax in, the tax isn’t 13% of $1,130. It’s 13% of the price before tax. Divide by 1.13 and you get $1,000.00 before tax and $130.00 of HST.
The reverse HST calculator does that step for you. It’s handy for checking a quote, splitting a shared bill or filling in an expense claim where the receipt shows only the total.
Is everything taxed at 13% in Ontario?
No. Some supplies are zero-rated, which means 0%, and groceries and prescription drugs are the standard examples in the agency’s guide. Others are exempt, like residential rent. And the agency’s rate page applies the harmonized tax to most other supplies in Ontario, so if you’re unsure about a particular item, check that page rather than assuming.
New homes are a special case. Buying a new house or condo brings a large HST bill, and rebates can return part of it. Try the new housing rebate calculator with your price. Our own data notes flag that some of the Ontario rebate rules for 2026 are modelled as straight lines where the official formula isn’t confirmed, so treat the answer as an estimate.
What should an Ontario business do about HST?
Register once taxable sales pass $30,000 over four calendar quarters in a row, or in a single quarter. You then have 29 days from your effective date of registration to sign up. If one quarter breaks $30,000, that date is no later than the sale that pushed you over. If it’s only the four-quarter total, you stop being a small supplier at the end of the month after the quarter that crossed it, as laid out on the CRA’s page on when to register. Below that line you’re a small supplier and can skip it, though voluntary registration lets you claim credits on what you spend.
A registered business charges 13% to customers and claims input tax credits on HST it paid for business costs. You send the agency the difference. If your credits are bigger than your collected tax, you get a refund instead. Keep the invoices, because the claim rests on them. For purchases over $500, the agency’s page lists what an invoice needs to show, including the supplier’s name and GST/HST number.
Which rate applies to an online order?
Usually the one for the province where the sale is treated as made, which for goods is often where they’re delivered. The CRA puts the principle simply.
The rate of tax to charge depends on the place of supply.
Charge and collect the GST/HST, Canada Revenue Agency, canada.ca
So an Ontario shop shipping to Nova Scotia may charge 14%, not 13%. If you’re the buyer, the receipt tells you which rate was used.
Where do people slip up?
Charging 13% to a customer outside Ontario is the classic one. The rate can follow the place of supply, and the agency has a separate page for that. Another is mixing up the tax you collect with money you earned. And don’t copy a rate from an older article: Nova Scotia’s HST dropped from 15% to 14% on 1 April 2025, which shows rates do move.
Our sources
The 13% rate, the 5% and 8% split and the provincial comparisons come from the Canada Revenue Agency‘s GST/HST rate page, read in October 2026. The $30,000 threshold, the 29 days and the credit rules come from the agency’s registrant guide and its input tax credit page. Ontario sets its own share of the tax, so the province’s finance ministry has the last word on its part.
Frequently asked questions
What is the sales tax rate in Ontario?
It's a 13% HST on most goods and services. The federal share is 5% and the Ontario share is 8%.
Does Ontario have PST?
No. Ontario uses one harmonized tax collected by the Canada Revenue Agency, so receipts show HST and no separate PST.
How do I take HST out of a total?
Divide the total by 1.13 to get the price before tax. A $1,130 total holds $1,000 and $130 of HST.
Are groceries taxed in Ontario?
Basic groceries are zero-rated under the federal rules, so they carry 0% HST. Restaurant meals and many prepared foods are taxed.
When must an Ontario business charge HST?
When taxable sales pass $30,000 over four calendar quarters in a row, or in a single quarter. You have 29 days to register from the sale that crosses the line.
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