Harmonized Sales Tax (HST)

The Harmonized Sales Tax (HST) consists of a provincial sales tax of 10 per cent and a federal goods and services tax of 5 per cent for a combined rate of 15 per cent. It is collected from consumers at the point of sale. 

Information related to supplies subject to HST in PEI, refer to publications listed by numbers GI-144 through GI-153 Canada Revenue Agency Forms and Publications on topics as follows:

  • GI-144: Purchases of new housing
  • GI-145: Owner-built homes, mobile homes and floating homes
  • GI-146: Builders of new housing
  • GI-147: Stated price net of GST/HST new housing rebate
  • GI-148: Stated price net of GST/HST new housing rebate and PEI Transitional new housing rebate
  • GI-149: Landlords of new rental housing
  • GI-150: Transitional tax adjustment for house builders
  • GI-151: Provincial transitional new housing rebate
  • GI-152: Assignment of purchase and sale agreements for grand-parented housing
  • GI-153: Builder disclosure requirements

HST is administered by the federal government. For assistance with the application of HST in PEI, refer to Canada Revenue Agency.

What province of Prince Edward Island guides and notices would help me understand the implementation of HST for Prince Edward Island?

Are there formal agreements between the Government of Canada and the Province of Prince Edward Island with respect to the implementation of a harmonized sales tax (HST) which combines the federal goods and services tax (GST) and the provincial sales tax (PST)?

Human Resources Agreement (HRA):

A Harmonized Sales Tax Human Resources Agreement (HRA) has been recently signed between the Canada Revenue Agency and the Government of Prince Edward Island.

Comprehensive Integrated Tax Coordination Agreement (CITCA):

A Comprehensive Integrated Tax Coordination Agreement (CITCA) (8 Mb) regarding the implementation of the Harmonized Sales Tax (HST) in Prince Edward Island was signed on November 26, 2012 between the Government of Canada and the Province.

Memorandum of Agreement:

A Memorandum of Agreement (MOA) (3.6 Mb) regarding the implementation of the Harmonized Sales Tax (HST) in Prince Edward Island was signed on May 30, 2012 between the Government of Canada and the Province. The MOA (3.6 Mb) allows for more detailed negotiations to begin on the terms of implementation of the HST in PEI.

When the HST came into effect in 2013, the Province enacted the Retail Sales Act to provide for the levy of tax on the private transfer from non HST registrants of designated property, i.e. vehicles, boats and aircraft. For information see Retails Sales Tax.

Disclaimer: This page is prepared for information purposes only, and should not be considered a substitute for the applicable statutes. Should there be any conflict between the contents of this page and the statutes, the statutes shall prevail.

Published date: 
May 29, 2023