Hst Calculator Ontario 2017

Ontario's Harmonized Sales Tax (HST) is a consumption tax that combines the provincial sales tax and the federal goods and services tax. This calculator helps you determine the HST amount for purchases made in Ontario during 2017.

What is HST in Ontario?

HST is a single sales tax rate that replaced Ontario's provincial sales tax and the federal goods and services tax (GST). It was introduced in Ontario on July 1, 2010, and has been applied to most goods and services sold in the province.

The HST rate is applied to the total price of taxable goods and services. Some items are exempt from HST, including basic groceries, prescription drugs, and medical services.

How to Calculate HST

To calculate the HST amount for a purchase, you need to know the total price of the item and the applicable HST rate. The formula is:

HST Amount = (Total Price × HST Rate) / (1 + HST Rate)

This formula accounts for the fact that the HST is included in the total price. For example, if you buy a product priced at $100 with an HST rate of 13%, the HST amount is calculated as:

HST Amount = ($100 × 0.13) / (1 + 0.13) = $11.76

The total price includes the HST, so the pre-tax price is $100 - $11.76 = $88.24.

HST Rates in 2017

In 2017, Ontario had the following HST rates:

Category	HST Rate
Most goods and services	13%
Alcohol and tobacco products	13% + 2% = 15%
Accommodation services	12%

The standard HST rate for most goods and services was 13%. Some categories had different rates, such as 15% for alcohol and tobacco products and 12% for accommodation services.

HST Exemptions

Certain items are exempt from HST in Ontario. These include:

Basic food and groceries
Prescription drugs
Medical services
Books and newspapers
Public transit fares
Certain clothing items

For a complete list of HST exemptions, you can refer to the Ontario government website.

FAQ

What is the difference between HST and PST?: HST combines the provincial sales tax (PST) and the federal goods and services tax (GST) into a single tax rate. This makes the tax system simpler and more transparent.
How do I know if an item is taxable?: Most items are taxable at the standard HST rate. However, some items are exempt or have different rates. You can check the Ontario government website for a complete list of taxable and exempt items.
Can I claim HST back on business expenses?: Yes, businesses can claim HST on eligible business expenses. The rules for claiming HST vary depending on the type of business and the nature of the expense.
Is HST applied to online purchases?: Yes, HST is applied to most online purchases made in Ontario. The tax is included in the total price, and you can use this calculator to determine the HST amount.
What if I live outside Ontario?: If you live outside Ontario, you are not subject to HST. However, you may be subject to other taxes, such as the federal GST or provincial sales tax in your home province.