GST/HST Quick Method Calculator

Enter your annual sales, the sales tax rate you charge and your business type to see the Quick Method remittance, the 1% credit, and the slice of collected GST/HST you keep instead of claiming input tax credits. Remittance rates are current for the 2025 tax year, including Nova Scotia’s 14% HST.

2025 tax year rates All 13 provinces Updates as you type

Your business

$

How it works. Under the Quick Method you still charge customers the full GST/HST, but you remit a lower flat rate applied to your tax-included sales instead of tracking input tax credits on most purchases. A 1% credit applies to the first $30,000 of eligible supplies each fiscal year. The spread between what you collect and what you remit is yours to keep.

You remit under the Quick Method

$0

8.8% remittance rate on $0 tax-included sales

You keep $0 You remit $0
GST/HST collected$0
Remittance before credit$0
1% credit on first $30,000$0
You keep$0

The Quick Method is only available while annual worldwide taxable supplies, including GST/HST, stay at or under $400,000. Electing means giving up input tax credits on most operating purchases — ITCs on capital purchases such as equipment and vehicles can still be claimed.

An estimate is a starting point. Get your real number.

This calculator uses published rates. Your actual position depends on the credits, deductions and structure behind your numbers.

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How the Quick Method trade works

Registered under the regular method, you remit the GST/HST you collect minus input tax credits on your purchases. The Quick Method replaces that bookkeeping with one flat remittance rate applied to your tax-included sales — 8.8% for an Ontario service business charging 13% HST, for example. Because the flat rate is set below the tax you collect, the difference stays in the business, and a 1% credit on the first $30,000 of supplies each fiscal year sweetens the first remittance.

The trade suits service businesses with low taxable costs — consultants, trades, freelancers — because they were not claiming many ITCs anyway. Eligibility caps out at $400,000 of annual worldwide taxable supplies including GST/HST, and you make the election with CRA (form GST74 or through your business account) by the due date of the return for the period you want it to start.

What this calculator does not cover

ITCs on capital purchases — equipment, vehicles, real property — remain claimable under the Quick Method and are not modelled here. Businesses in GST-plus-PST provinces have extra wrinkles (PST is never part of this calculation), and a business with heavy taxable expenses can easily be worse off electing, which only a side-by-side of real numbers settles. For that comparison, or to handle the election itself, see GST/HST and sales tax services, or add the tax to a price with the GST/HST calculator.

Quick Method remittance rates (same-province supplies)
Tax chargedServicesGoods for resale
5% 3.6%1.8%
13% 8.8%4.4%
14% 9.4%4.7%
15% 10%5%

Rates assume at least 90% of supplies are made in the province where the business is located; the goods rates require resale goods to be at least 40% of taxable supplies.

Rates reviewed for the 2025 tax year by Udit Gupta, Founder and Tax Accountant. Federal and provincial rates change annually, and this tool is an estimate for planning rather than tax advice. Confirm current figures before relying on them for a filing.

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Frequently asked questions

It is a simplified way for small businesses to remit sales tax: instead of tracking input tax credits on every purchase, you remit a flat percentage of your tax-included sales. The flat rate is set below the rate you charge customers, so part of the tax you collect stays with the business as compensation for the ITCs you give up.
Most businesses whose annual worldwide taxable supplies, including GST/HST, are $400,000 or less. Some are excluded regardless of size — accountants, bookkeepers, financial consultants, lawyers and certain others cannot elect. You file the election with CRA and generally must stay on the method for at least a year.
You give up ITCs on most operating expenses — supplies, rent, subcontractors — which is the price of the lower remittance rate. ITCs on capital purchases such as computers, equipment and vehicles can still be claimed separately, which is why the method favours businesses with low day-to-day taxable costs.
On the first $30,000 of eligible tax-included supplies in each fiscal year, you reduce your remittance by 1% of those supplies — up to $300 a year. The credit applies from the start of each fiscal year while the election is in effect, and this calculator nets it against the remittance automatically.
Service businesses with few taxable purchases usually come out ahead, because the spread they keep exceeds the ITCs they forgo. Resellers get a much lower remittance rate but also carry heavy taxable inventory costs, so the answer is closer. Run your real expense profile against both methods before electing — the calculator shows the collected-versus-remitted side only.

What Canadians search about this

Answered plainly. Browse every question in the Canadian tax answers directory.

There is no single rate. Federal personal income tax for 2026 runs through five brackets: 14%, then 20.5%, 26%, 29% and 33% on the highest band, and your province's brackets stack on top, so your combined marginal rate is the federal rate plus the provincial one. The 2026 federal basic personal amount is $16,452, tapering to $14,829 as net income rises from $181,440 to $258,482. Capital gains and Canadian dividends are taxed on a different basis.
Work out the tax you actually owe for the year, then compare it with what has already been paid. Total your income, subtract deductions to reach taxable income, apply the federal and provincial brackets, take off your credits, and set the result against the tax withheld on your T4 and other slips plus any instalments. If more was withheld than you owe, the difference is your refund. Tax software approved for NETFILE runs the same arithmetic once your slips are entered.
Yes. Rent you receive is taxable income. You report the gross rents, subtract deductible expenses such as mortgage interest, property tax, insurance, utilities you pay, repairs, condominium fees and advertising, and the net rental profit is added to your other income and taxed at your marginal rate. There is no separate rental tax rate. A rental loss can generally offset other income where the property is genuinely rented at fair market value.
A tip the customer chooses to leave is not payment for the meal, so no GST or HST applies to it. A service charge the business adds to the bill is different: it forms part of the price of what was supplied and is taxed like the rest of the bill. Set your point-of-sale system so voluntary tips sit outside the taxable sale, otherwise you remit tax you never actually collected.
Commodity tax is the practitioner's term for taxes charged on transactions in goods and services rather than on income. In Canada it covers GST at 5% for 2025 and 2026, the HST in participating provinces, provincial sales taxes, Quebec's QST, and excise and fuel levies. The seller collects the tax and remits it to the government, so the business acts as collector while the buyer ultimately bears the cost.
EI benefits do not arrive on a T4. Service Canada issues its own benefits slip showing what you were paid and any tax withheld, and posts it in My Service Canada Account as well as CRA My Account, in good time for the filing deadline. EI is taxable, and withholding at source is often lighter than your real rate, so a balance can be owing. Report the slip even if no paper copy reaches you.
Udit Gupta, founder of Tax Filings Canada

Rates and method reviewed by Udit Gupta

Ex Big 4 — Ernst & Young, Deloitte · International & cross-border tax specialist · CPA Canada (In-Depth Tax Program) · Chartered accountant, ICAI & MIA

Udit Gupta has over 15 years of experience helping corporations and business owners with corporate structuring, corporate tax filing, bookkeeping, payroll, GST/HST, cross-border tax and CRA representation. He is Big 4 trained, at Ernst & Young and Deloitte, and qualified as a chartered accountant in India and again in Malaysia. In 2014 he founded his accounting practice to serve entrepreneurs, startups and non-resident business owners across Canada. View full member bio.

The Institute of Chartered Accountants of India — member 521458 · Malaysian Institute of Accountants — member CA 44667 · Ex Big 4: Ernst & Young, Deloitte · CPA Canada (In-Depth Tax Program), completed 19 Dec 2023 · In-Depth GST/HST Part I, 12 Jul 2022 · Part II, 5 Jul 2023

Editorial policy. Every page is researched against primary sources — the Income Tax Act, CRA publications and CPA Canada guidance — and every rate or threshold is stated with the tax year it applies to.

Sources. CRA — Businesses · Income Tax Act (Justice Laws Website)

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