Ontario Hst Gst Calculator

Ontario uses a Harmonized Sales Tax (HST) system that combines the Goods and Services Tax (GST) and the Provincial Sales Tax (PST). This calculator helps you determine the total tax amount when you make a purchase in Ontario.

How HST and GST Work in Ontario

Ontario's tax system is unique because it combines the federal Goods and Services Tax (GST) and the provincial Provincial Sales Tax (PST) into a single Harmonized Sales Tax (HST). The current HST rate in Ontario is 13%.

HST Formula

HST = Price × (HST Rate)

Total Price = Price + HST

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

GST and PST Components

While the HST is the combined rate, you can break it down into its components:

GST (5%) - Federal tax
PST (8%) - Provincial tax
Total HST (13%) - Sum of GST and PST

Note: The HST rate may change periodically. Always check the latest rates from the Ontario government before making calculations.

How to Calculate Ontario Taxes

Calculating Ontario taxes is straightforward once you understand the formula. Here's a step-by-step guide:

Determine the price of the item before tax.
Multiply the price by the HST rate (13%).
Add the calculated HST to the original price to get the total amount to pay.

Example Calculation

Let's say you're buying a $100 item in Ontario:

Original price: $100
HST: $100 × 0.13 = $13
Total price: $100 + $13 = $113

So, you would pay $113 for the item, which includes the original price plus 13% HST.

Breaking Down the Tax

If you want to see the GST and PST components separately:

GST: $100 × 0.05 = $5
PST: $100 × 0.08 = $8
Total tax: $5 + $8 = $13

Common Scenarios and Examples

Here are some common scenarios where you might need to calculate Ontario taxes:

1. Purchasing Clothing

If you buy a $75 jacket:

HST: $75 × 0.13 = $9.75
Total price: $75 + $9.75 = $84.75

2. Buying Electronics

For a $500 laptop:

HST: $500 × 0.13 = $65
Total price: $500 + $65 = $565

3. Restaurant Meal

For a $40 meal:

HST: $40 × 0.13 = $5.20
Total price: $40 + $5.20 = $45.20

4. Home Improvement

For a $200 tool purchase:

HST: $200 × 0.13 = $26
Total price: $200 + $26 = $226

Tax Calculation Examples
Item Price	HST Amount	Total Price
$50	$6.50	$56.50
$150	$19.50	$169.50
$300	$39	$339

Frequently Asked Questions

What is the current HST rate in Ontario?

The current HST rate in Ontario is 13%, which combines the federal GST (5%) and provincial PST (8%).

How do I calculate HST on a purchase?

Multiply the price of the item by 0.13 (the HST rate) to get the tax amount, then add it to the original price.

Are there any items that are exempt from HST in Ontario?

Yes, some basic groceries, prescription drugs, and medical supplies are exempt from HST.

Can the HST rate change?

Yes, the HST rate can change periodically. It's always best to check the latest rates from the Ontario government.