Use this calculator to find the amount of sales tax on purchases in Newfoundland and Labrador. Newfoundland charges a 15% Harmonized Sales Tax (HST) which combines the federal Goods and Services Tax (GST) and the provincial sales tax into a single rate.
You can also enter the total amount after tax to reverse-calculate the pre-tax price.
How Newfoundland’s HST works
Newfoundland and Labrador uses the Harmonized Sales Tax (HST) system, which combines two components into a single 15% rate:
| Component | Rate |
|---|---|
| Federal GST | 5% |
| Provincial PST (NL portion) | 10% |
| Total HST | 15% |
Unlike provinces that charge GST and PST separately (such as British Columbia and Saskatchewan), Newfoundland’s HST is collected as a single tax. Businesses register for and remit HST to the Canada Revenue Agency (CRA) which then distributes the provincial share to Newfoundland.
Quick HST calculation examples
Here are common purchase amounts with the 15% Newfoundland HST applied:
| Purchase Price | HST (15%) | Total Cost |
|---|---|---|
| $50 | $7.50 | $57.50 |
| $100 | $15.00 | $115.00 |
| $500 | $75.00 | $575.00 |
| $1,000 | $150.00 | $1,150.00 |
| $5,000 | $750.00 | $5,750.00 |
| $25,000 | $3,750.00 | $28,750.00 |
| $50,000 | $7,500.00 | $57,500.00 |
Formula: Total = Purchase Price × 1.15
To find the pre-tax amount from a total: Pre-tax = Total ÷ 1.15
What is exempt from HST in Newfoundland?
Not everything is subject to the full 15% HST. Some items are zero-rated (taxed at 0%) or exempt:
Zero-rated items (0% HST):
- Basic groceries (milk, bread, vegetables, meat, etc.)
- Prescription drugs
- Most medical devices
- Agricultural products
Exempt items (no HST charged):
- Most health and dental services
- Educational services (tuition)
- Childcare services
- Residential rent
- Most financial services
Reduced-rate or point-of-sale rebate items:
- Some provinces offer point-of-sale rebates on items like children’s clothing and books, but Newfoundland does not offer point-of-sale HST rebates on these items
HST on major purchases in Newfoundland
The 15% HST has a significant impact on large purchases. Here is what the tax adds to common big-ticket items:
| Purchase | Example Price | HST | Total |
|---|---|---|---|
| New vehicle | $40,000 | $6,000 | $46,000 |
| Home renovation | $25,000 | $3,750 | $28,750 |
| Furniture set | $3,000 | $450 | $3,450 |
| Laptop | $1,500 | $225 | $1,725 |
New homes: HST applies to new home purchases in Newfoundland. However, buyers may qualify for the federal GST/HST New Housing Rebate (up to $6,300 on the federal portion) and the Newfoundland provincial new housing rebate. This can significantly reduce the effective tax on a new home purchase.
How Newfoundland’s HST compares to other provinces
| Province | GST | PST | HST | Total Rate |
|---|---|---|---|---|
| Alberta | 5% | 0% | — | 5% |
| British Columbia | 5% | 7% | — | 12% |
| Ontario | — | — | 13% | 13% |
| Manitoba | 5% | 7% | — | 12% |
| Quebec | 5% | 9.975% | — | 14.975% |
| Newfoundland | — | — | 15% | 15% |
| New Brunswick | — | — | 15% | 15% |
| Nova Scotia | — | — | 15% | 15% |
| PEI | — | — | 15% | 15% |
Newfoundland shares the highest sales tax rate in Canada (15%) with New Brunswick, Nova Scotia, and PEI. Alberta has the lowest rate at just 5% GST with no provincial sales tax.
For other provinces, use the sales tax calculators below.
HST rebates and credits for Newfoundland residents
Newfoundland residents can offset the impact of HST through several programs:
- GST/HST credit: A quarterly payment from the CRA for low and moderate-income individuals and families. A single person can receive up to $519/year and a family with children receives more
- Newfoundland and Labrador Income Supplement: An additional provincial benefit for lower-income residents
- New housing rebate: Partial rebate of HST paid on new home purchases (both federal and provincial portions)
These credits are automatic when you file your tax return — no separate application is needed.
Newfoundland tax context
Beyond the 15% HST, Newfoundland residents should be aware of the province’s overall tax picture:
- Provincial income tax: Newfoundland has provincial tax brackets with rates ranging from 8.7% to 21.8% — the highest top marginal rate in Canada
- Average income: See the average income in Newfoundland for context on what residents earn
- Combined top rate: At 54.80%, Newfoundland has one of the highest combined marginal tax rates in the country
For broader financial planning in Newfoundland, use the hourly to salary calculator and the capital gains tax calculator.
Data sources
HST rates are set by the Government of Canada and the Province of Newfoundland and Labrador. The current 15% HST rate has been in effect since July 1, 2016 when the provincial portion was increased from 8% to 10%.
Frequently asked questions
What is the sales tax in Newfoundland?
Newfoundland and Labrador charges a 15% HST which combines the 5% federal GST and 10% provincial PST into a single harmonized tax.
Is HST the same as GST in Newfoundland?
No, HST (15%) includes GST (5%) plus Newfoundland’s provincial portion (10%). Businesses remit the full HST to the CRA.
What items are exempt from HST in Newfoundland?
Basic groceries, prescription drugs, most medical devices, health services, residential rent, and educational services are exempt or zero-rated.
Does Newfoundland have the highest sales tax in Canada?
Newfoundland shares the highest sales tax rate (15% HST) with New Brunswick, Nova Scotia, and PEI.
Related guides
- Newfoundland tax brackets
- Newfoundland capital gains tax calculator
- Average income in Newfoundland
- Canada sales tax by province
- RRSP contribution limit guide
- TFSA contribution limit guide
