1. What is Quebec Sales Tax?

Quebec has a combined sales tax system consisting of the federal Goods and Services Tax (GST/TPS) and the provincial Quebec Sales Tax (QST/TVQ). The total tax rate is effectively 14.975% on most goods and services.

2. How Does the Calculator Work?

The calculator uses the Quebec tax formula:

Where:

• \( Price \) — The base price before tax (CAD)
• \( 0.05 \) — 5% TPS (federal tax)
• \( 0.09975 \) — 9.975% TVQ (provincial tax, applied after TPS)

Explanation: The TVQ is calculated on the price after TPS has been added, resulting in a slightly higher effective rate than simply adding the two percentages.

3. Understanding TPS and TVQ

Details: TPS (Taxe sur les produits et services) is the federal 5% tax applied nationwide. TVQ (Taxe de vente du Québec) is the provincial tax that applies only in Quebec, currently at 9.975%.

4. Using the Calculator

Tips: Enter the base price before taxes in Canadian dollars. The calculator will show the breakdown of both taxes and the total amount to pay.

5. Frequently Asked Questions (FAQ)

Q1: Why is the total tax rate not exactly 14.975%?
A: Because the TVQ is applied after the TPS is added to the base price, making the effective rate slightly higher than simply adding 5% + 9.975%.

Q2: Are all items taxed at this rate?
A: No, some items like basic groceries, prescription drugs, and certain services may be exempt or taxed at different rates.

Q3: How is this different from HST in other provinces?
A: HST combines federal and provincial taxes into a single rate applied directly to the base price, while Quebec keeps them separate with TVQ applied after TPS.

Q4: Do tourists get tax rebates?
A: Foreign visitors may be eligible for rebates on the QST portion for certain goods, but not on services or the GST portion.

Q5: When did these tax rates come into effect?
A: The current TVQ rate of 9.975% has been in effect since January 1, 2013. The GST rate of 5% has been in place since January 1, 2008.