Sales Tax Questions
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Does my US business need to collect Canadian GST/HST/PST?

TL;DR

Once Canadian sales exceed CAD $30,000, you must register with the CRA for GST/HST and collect at rates ranging from 5% to 15% depending on province. BC, Saskatchewan, Manitoba, and Quebec require separate provincial registrations on top of the federal layer, making Canada more complex than it first appears.

Canada’s tax system has federal and provincial components that operate separately. A US seller crossing the CAD $30,000 threshold needs federal GST/HST registration, and may need separate provincial registrations on top.

The federal layer: GST/HST

Registration threshold: CAD $30,000 in taxable supplies to Canadian customers in any 12-month rolling period.

Tax rate by province:

ProvinceTax typeRate
AlbertaGST only5%
British ColumbiaGST + PST5% + 7% = 12% (collected separately)
SaskatchewanGST + PST5% + 6% = 11% (collected separately)
ManitobaGST + PST5% + 7% = 12% (collected separately)
OntarioHST13% (single harmonized tax)
QuebecGST + QST5% + 9.975% = 14.975% (collected separately)
Nova ScotiaHST15%
New BrunswickHST15%
PEIHST15%
Newfoundland & LabradorHST15%
Northwest TerritoriesGST only5%
NunavutGST only5%
YukonGST only5%

Registration: Through the Canada Revenue Agency (CRA). US businesses without a Canadian presence register as a non-resident. CRA assigns a Business Number (BN) and GST/HST account.

The provincial layer: PST and QST

For provinces that don’t use HST, sellers may need separate provincial registrations:

British Columbia: BC has economic nexus thresholds for PST collection from out-of-province sellers. US sellers with significant BC sales may need to register for BC PST separately from GST.

Saskatchewan: Out-of-province sellers with Saskatchewan customers may need to register for Saskatchewan PST.

Manitoba: Manitoba’s RST (Retail Sales Tax) has registration requirements for out-of-province sellers above certain thresholds.

Quebec (QST): Revenu Québec administers QST separately from CRA. US sellers above the CAD $30,000 threshold must also register for QST with Revenu Québec.

What US sellers typically need to do

  1. Track Canadian sales to identify when the CAD $30,000 threshold is approaching
  2. Register with CRA for GST/HST before the threshold is crossed
  3. Confirm whether BC, Saskatchewan, Manitoba, or Quebec PST/QST obligations apply based on sales volume to those provinces
  4. Collect the correct rate based on the customer’s province of residence
  5. File GST/HST returns quarterly (most common for new registrants)

Frequently asked questions

Does my US ecommerce store need to collect Canadian GST/HST?
If your business sells more than CAD $30,000 in taxable supplies to Canadian customers in any 12-month period, you are required to register for Canada's GST/HST and collect it on sales to Canadian buyers. The $30,000 threshold applies to worldwide taxable sales, but the practical trigger for most US sellers is their Canadian sales volume. Registration is done through the Canada Revenue Agency (CRA).
What is the difference between GST, HST, and PST in Canada?
GST (Goods and Services Tax) is Canada's federal value-added tax at 5%. HST (Harmonized Sales Tax) is a combined federal+provincial tax used in Ontario (13%), Nova Scotia (15%), New Brunswick (15%), PEI (15%), and Newfoundland (15%) — these provinces have harmonized their provincial tax with the GST. PST (Provincial Sales Tax) is a separate provincial tax used in BC, Saskatchewan, and Manitoba, sellers must register separately for PST in each of these provinces. Quebec uses the QST (Quebec Sales Tax) at 9.975% administered separately by Revenu Québec.

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