Harmonized Sales Tax (HST)

The Harmonized Sales Tax (HST) is a consumption tax in some Canadian provinces that combines the federal Goods and Services Tax (GST) with the provincial sales tax (PST). This streamlined tax system simplifies collection for businesses and ensures that consumers pay a single tax rate on most goods and services. HST is designed to promote efficiency in the taxation process and reduce costs for businesses, which can contribute to lower prices for consumers. Different provinces may have different HST rates, reflecting their specific economic conditions and policies.