QST and GST/HST
The three most common consumption taxes in Québec are:
- the goods and services tax (GST), which is calculated at a rate of 5% on the sale price
- the Québec sales tax (QST), which is calculated at a rate of 9.5% on the sale price plus GST
- the harmonized sales tax (HST)
- Example
- The taxes are calculated as follows on a taxable item with a selling price of $100:
| Selling price
|
$100.00
|
| GST ($100 × 5%)
|
$5.00
|
| QST ([$100 + $5] × 9.5%)
|
$9.98
|
| Total
|
$114.98
|
Under an agreement between the federal and Québec governments, Revenu Québec is responsible for administering the GST/HST in Québec. Consequently, Revenu Québec receives and processes the applications for GST/HST registration of all persons carrying on a commercial activity in Québec.