Gift cards are a version of gift certificates offered by businesses in the form of swipe cards or chip cards. An amount of money is recorded on the card for use by a customer to purchase property or services from the issuing business or businesses.

Gift certificates are vouchers that allow customers to purchase property or services from one or more businesses.

Sales of gift cards and gift certificates are not taxable. However, if a customer uses a gift card or gift certificate, GST/HST and QST must be calculated on the price of the property or services purchased, as though it were a cash purchase. The value of the gift card or gift certificate is considered to cover all or part of the amount paid for the property or services purchased.