GST vs HST in Canada: Which Rate Goes on Your Invoice

Canadian sales-tax treatment can depend on place-of-supply rules, the goods or services, registration status and other transaction facts. The customer's province alone may not answer every question. This is general information, not tax advice; check current CRA and provincial guidance for the sale.

The short version of how Canadian sales tax works

Canada has federal GST, HST in participating provinces and territories, and separate provincial taxes in some jurisdictions. The applicable tax and rate can depend on the place and type of supply, registration status and other facts. Rates and rules change; confirm the treatment for the transaction with the CRA and the relevant provincial authority.

Do you even need to charge it?

Registration duties can depend on taxable revenue, the period measured, entity and supply type, and special rules. Do not use a single general threshold to decide whether you must register or collect tax. Check current CRA guidance for your circumstances before invoicing.

What a GST/HST invoice needs on it

• Supplier and customer details — the required identifiers and addresses vary with the transaction and amount.
• Date, description and consideration — use the information required for the specific supply.
• Registration number and tax information — include the applicable account number and show tax as required by current CRA rules.
• Invoice records — keep the required supporting records and verify the document supports any input tax credit claim.

Cross-province and export transactions

For an out-of-province customer, determine the place of supply and tax treatment using the rules that apply to the transaction; neither the customer's province nor the seller's address alone answers every case. Some exports may qualify for zero-rated treatment when specific conditions are met. Confirm the current CRA rules and keep supporting records before applying a zero rate.

How to create one with SleekKitBox

1. Open the HST/GST Invoice (Canada) template.
2. Enter your business name and BN, the client, and the province that applies to the sale.
3. Enter only a rate you have verified for the place and type of supply — the form applies it to your totals.
4. Download the PDF. If you email it to clients who pay by transfer, adding a QR code with your payment details is a nice touch — SleekKitBox's free QR code generator makes one in seconds.

For cross-province or unusual transactions, confirm the place-of-supply and registration rules before using a rate or issuing the invoice.

Frequently asked questions

What's the difference between GST, HST and PST? They are different federal and provincial tax systems. Which ones apply and how to report them depends on the province or territory and the transaction.

Do I charge HST if my business is in Ontario but the client is in BC? Not necessarily — the applicable tax depends on where the supply happens and the parties' registration status, not just where you're based. Confirm before invoicing cross-province.

Where do I confirm current rates and rules? Start with the CRA's GST/HST guidance and check provincial guidance where needed.

👉 Create your Canadian invoice: free HST/GST Invoice (Canada) template →