Updated Checked by the Tax-Services.ca editorial team How we check
The sales tax in Toronto is 13%. It’s the Ontario harmonized sales tax (HST), which bundles the 5% federal GST with an 8% provincial part into one charge. On $1,000 of taxable goods you pay $130 and the total is $1,130.
Does Toronto add its own sales tax?
No. The CRA’s GST/HST and PST rates table lists Ontario at 13% and shows no separate provincial sales tax. That surprises people who’ve paid a city levy on a hotel room or a parking charge elsewhere, but we found no separate city sales tax in the official sources we read, so the price you see plus 13% is what leaves your card.
Buying somewhere else in Ontario doesn’t change the rate. A coffee in Scarborough and a laptop downtown are taxed the same way, because the HST follows the province and not the postal code. If you want the Toronto angle in one place, our Toronto tax page pulls it together.
What does 13% look like in dollars?
| Price before tax | HST at 13% | You pay |
|---|---|---|
| $80.00 | $10.40 | $90.40 |
| $200.00 | $26.00 | $226.00 |
| $1,000.00 | $130.00 | $1,130.00 |
Those figures come out of the GST and HST calculator set to Ontario. It also runs the reverse: type a total and it gives back the price and the tax. For small buys, the maths is quick: a $12 toque carries $1.56 of HST, so the till shows $13.56.
How do you take the tax out of a receipt?
Divide by 1.13. Don’t subtract 13%. A $113 receipt holds a $100 price and $13 of HST. Taking 13% off $113 would give $14.69, and that’s wrong.
Ever tried to split a restaurant-style bill and found the tax line doesn’t match your maths? This is usually why. It also comes up when you’re checking an expense claim or working out what a supplier really charged. The reverse tax calculator does it in one step.
What isn’t taxed at 13%?
Less than you’d think, but not nothing.
The CRA says basic groceries are zero-rated in every province, so a loaf of bread carries no GST or HST. Other items may be exempt or taxed differently, and the CRA’s lists decide which. We haven’t tried to sort restaurant meals, children’s clothing or prepared foods, so check the item on the CRA site before assuming.
The CRA also explains that the “place of supply” decides which rate applies to a sale, meaning the province where the supply is treated as made, which is why an online order shipped to a Toronto address can be taxed differently from the same item bought in a shop in Alberta. For an ordinary shop purchase in Toronto, that’s Ontario.
How do you budget for a big purchase?
Add the tax to your target price before you start shopping, not after. A $2,400 laptop in Toronto carries $312 of HST, so the real cost is $2,712. If a store advertises “tax in” prices, divide by 1.13 to see what the shelf price really was. Little habits like this keep the surprise at the till small, and they matter most on furniture, appliances and anything bought on a payment plan.
What happens on a new home?
This is where 13% gets big. On a $600,000 new home, the HST works out to $78,000. The new housing rebate calculator shows an Ontario rebate of $24,000, which leaves $54,000, or 9% of the price. The federal first-time buyer rebate isn’t in that number, since the default case isn’t a first-timer’s.
The rebate rules have layers. Ontario has an enhanced rebate for some agreements signed from April 2026 to March 2027, and it phases out between $1.5 million and $1.85 million. At $1.85 million and above, only the regular Ontario new housing rebate of up to $24,000 applies. If that could apply to you, read the CRA page first. Toronto buyers also pay land transfer tax, which the land transfer tax calculator covers separately.
What if you run a small business in Toronto?
You charge 13% on taxable sales, but only once you’re required to register. The CRA’s small supplier limit is $30,000 of taxable sales over four consecutive calendar quarters. Go past it in a single quarter and you register at once.
Below that line you may still register on purpose, mostly to claim input tax credits on what you buy. That matters if you’re a freelancer with a laptop, a home office and a few software subscriptions, since those purchases carry 13% and you’d otherwise eat it. Say you spend $2,000 on gear and software in a year: that’s $260 of HST, and if you’re registered you can claim back the HST you paid on those business costs.
How we checked the figures
The 13% Ontario rate, the 8% provincial part, the 5% GST, zero-rated groceries and the small supplier rule come from the Canada Revenue Agency. The new home figures come from the CRA’s new housing rebate pages, read in September 2026. The calculators use the same rates, and this site has no tie to any government.
Frequently asked questions
What is the sales tax rate in Toronto?
13% HST, the Ontario rate. It combines 5% federal GST and an 8% provincial part.
Does Toronto have a city sales tax as well?
We found none in the official sources we read. The Ontario 13% is the rate that applies.
How much tax is on a $100 purchase?
$13 on most goods, so you pay $113.
Are groceries taxed in Toronto?
Basic groceries are zero-rated across Canada, per the CRA. Other food items depend on the CRA's lists.
Do I pay HST on a new home?
Yes. On a $600,000 new home the HST is $78,000, and Ontario's rebate can cut $24,000 from it.
- GST, HST, PST and QST explained for every province
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