Taxes and Tax Refunds for Visitors
What You Should Know About Taxes
There is an 8% Provincial Sales Tax (PST), a 7 % federal value-added General Services Tax (GST), special taxes on food and liquor in restaurants, and a room tax on visitor accommodation.
As a visitor you will be charged:
GST -- the federal Goods and Services Tax of 7 %. This is a value-added consumption tax that applies to most goods, purchased gifts, food/beverages, and services, including most hotel and motel accommodation.
PST -- the Ontario provincial sales tax of 8% on any goods you buy, but not on services or accommodation.
Room Tax -- a 5% provincial tax (in place of PST) on most tourist accommodation charges, as well as the 7% GST.
Food Service -- In restaurants, 7% GST and 8% PST will be added to the food portion of your final bill, as well as a Liquor Service -- a provincial tax on alcoholic beverages (10%, in addition to the 7% GST).
Special Note: Rented houseboats do not qualify as rental accommodations for purposes of the taxes mentioned above. Houseboat rental fees are taxed at a rate of 8% (PST) and 7% (GST), both non-refundable.
Sales Tax Refunds
The Visitor Rebate Program offers tax refunds to both tourists and to business travelers.
Click here for complete information on tax refunds, visit the official site of the Visitor Rebate Program.
