Gst Pst Calculator Ontario
Calculate the Goods and Services Tax (GST) and Provincial Sales Tax (PST) in Ontario with this easy-to-use calculator. Understand how these taxes apply to your purchases and how to determine the total cost including tax.
How to Use This Calculator
Using the GST PST Calculator Ontario is simple:
- Enter the price of your item before tax in the "Item Price" field.
- Select the applicable tax rates from the dropdown menus. For most items, you'll use the standard rates.
- Click the "Calculate" button to see the GST, PST, and total cost.
- Review the breakdown of taxes and the final amount you'll pay.
The calculator will show you the amount of GST and PST separately, as well as the total cost including both taxes.
How GST and PST Work in Ontario
In Ontario, purchases are subject to both the federal Goods and Services Tax (GST) and the provincial Provincial Sales Tax (PST). Here's how it works:
Tax Calculation Formula
Total Cost = Item Price + (Item Price × GST Rate) + (Item Price × PST Rate)
GST Amount = Item Price × GST Rate
PST Amount = Item Price × PST Rate
The standard GST rate in Canada is 5%, while the PST rate in Ontario is 8%. These rates apply to most goods and services sold in Ontario.
Some items may be exempt from GST or PST, such as basic groceries, prescription drugs, and certain medical supplies. The calculator assumes you're purchasing a taxable item.
Worked Example
Let's calculate the total cost of a $100 item in Ontario:
- Item Price: $100.00
- GST (5%): $100 × 0.05 = $5.00
- PST (8%): $100 × 0.08 = $8.00
- Total Cost: $100 + $5 + $8 = $113.00
So, a $100 item would cost $113 after adding GST and PST in Ontario.
Note
This example uses the standard tax rates. Some items may have different tax rates or be exempt from tax.
Frequently Asked Questions
What is the difference between GST and PST?
GST is a federal tax that applies across Canada, while PST is a provincial tax that varies by province. In Ontario, the PST rate is 8%.
Are there any items that are exempt from GST or PST in Ontario?
Yes, some basic food items, prescription drugs, and certain medical supplies may be exempt from GST or PST. The calculator assumes you're purchasing a taxable item.
How do I know if an item is taxable?
Most items are taxable, but some basic necessities like groceries may be exempt. Check the product packaging or ask a sales associate if you're unsure.