Is HST the same as tax?
Is HST the same as tax? What Is the Harmonized Sales Tax (HST)? Canada's harmonized sales tax (HST) is a consumption tax paid by local consumers and businesses. As the name implies, it “harmonizes” (combines) the nation's federal goods and services tax and various provincial sales taxes.
How do you calculate HST?
Take the total price with tax and divide it by 1 + the sale tax rate. That result equals the original price before tax was applied, meaning the remainder is the HST amount. You can use a sales tax calculator to quickly get the correct amount. Meaning the retail price was $29.99 and the 13% HST is equal to $3.90.
Is HST mandatory in Ontario?
Most businesses in Ontario are required to register with the federal government for a GST / HST account and collect GST / HST on taxable sales.