Want to figure out how much the original cost of your purchase was before taxes were added? Look no further than this reverse tax calculator for Canadians. The reverse calculator below takes into account all GST, HST, PST, and QST for all the provinces in Canada.
It will work as a reverse GST calculator, a reverse HST calculator, a reverse GST PST calculator, and even a reverse GST QST calculator.
Here are the steps to use this reverse GST, HST, PST, QST calculator:
- Determine the total amount of the purchase. This is the amount that includes all taxes and fees.
- Enter the total amount of the purchase into the calculator
- Select the province where the purchase was made. Different provinces have different tax rates, so it’s important to select the correct province to get an accurate calculation.
- The calculator will automatically calculate the amount of GST, HST, PST, or QST that was included in the total amount.
- Review the results. The calculator will show you the amount of taxes that were included in the total amount, as well as the breakdown of the taxes by province.
Understanding GST, HST, PST, QST
If you are a business owner or a consumer in Canada, you must be familiar with the different types of sales tax that are applicable in the country. The four types of sales tax in Canada are GST, HST, PST, and QST. In this section, we will explain what each of these taxes is and how they work.
GST (Goods and Services Tax)
GST is a federal tax that is applicable in all provinces and territories in Canada. The current GST rate is 5%. If you are a business owner, you are required to register for GST if your annual revenue is over $30,000. If your revenue is less than $30,000, you can voluntarily register for GST. As a consumer, you will pay GST on most goods and services that you purchase in Canada.
HST (Harmonized Sales Tax)
HST is a combined federal and provincial tax that is applicable in five provinces – Ontario, New Brunswick, Newfoundland and Labrador, Nova Scotia, and Prince Edward Island.
The HST rate varies from province to province, ranging from 13% in Ontario to 15% in other provinces. HST is a single tax that replaces both the federal GST and the provincial sales tax. As a consumer, you will pay HST on most goods and services that you purchase in these provinces.
PST (Provincial Sales Tax)
PST is a sales tax that is applicable in some provinces in Canada. The PST rate varies from province to province. As a business owner, you are required to register for PST if you have a permanent establishment in a province that has PST. As a consumer, you will pay PST on most goods and services that you purchase in these provinces.
QST (Quebec Sales Tax)
QST is a sales tax that is applicable in Quebec. The current QST rate is 9.975%. As a business owner, you are required to register for QST if you have a permanent establishment in Quebec or if you make taxable supplies in Quebec. As a consumer, you will pay QST on most goods and services that you purchase in Quebec.
The Concept of Reverse Tax Calculation
If you’ve ever wondered how much you paid in taxes for a particular item, you might have used a sales tax calculator. But what if you want to know how much you paid in taxes after the fact? That’s where a reverse tax calculator comes in.
A reverse tax calculator is a tool that helps you determine the amount of tax you paid on a purchase after the fact. It’s useful if you need to know how much you paid in taxes for a particular item, or if you need to calculate the pre-tax price of an item based on the total price you paid.
The concept of reverse tax calculation is relatively simple. When you purchase an item, the price you pay usually includes the cost of the item plus any applicable taxes. To calculate the pre-tax price of the item, you need to subtract the tax amount from the total price you paid.
For example, if you purchased an item for $100 and the tax rate was 5%, you would have paid $5 in taxes. To calculate the pre-tax price of the item, you would subtract $5 from $100, which gives you a pre-tax price of $95.
Reverse tax calculators can be used for a variety of purposes, including:
- Calculating how much you paid in taxes for a particular item
- Determining the pre-tax price of an item based on the total price you paid
- Verifying the accuracy of a sales receipt or invoice
- Calculating the amount of tax you need to pay on a refund or credit
Benefits of Using a Reverse Tax Calculator
A reverse tax calculator is a useful tool that helps you calculate the pre-tax amount of a purchase. It is especially helpful when you need to know the exact amount of taxes that were included in a purchase price. Here are some benefits of using a reverse tax calculator:
1. Accurate Calculation
A reverse tax calculator ensures that your calculations are accurate. It eliminates the guesswork that comes with trying to calculate the pre-tax amount of a purchase. By entering the total amount including tax, you can calculate the exact amount of tax paid and the pre-tax amount.
2. Time-Saving
Using a reverse tax calculator saves you time. It eliminates the need to manually calculate the pre-tax amount of a purchase. This is especially helpful when you have to calculate the pre-tax amount of multiple purchases.
3. Cost-Saving
A reverse tax calculator can help you save money. By knowing the pre-tax amount of a purchase, you can determine if you are being charged the correct amount of tax. If you find that you have been overcharged, you can request a refund for the excess amount.
4. Convenience
A reverse tax calculator is a convenient tool that you can use anytime, anywhere. You can access it from your computer, tablet, or smartphone. This makes it easy to calculate the pre-tax amount of a purchase while you are on the go.
Potential Challenges and Solutions
When using a reverse GST, HST, PST, QST calculator, there may be several potential challenges that you may face. Here are some of the most common ones and the solutions to overcome them:
Challenge: Incorrect Input
One of the most common challenges that you may face when using a reverse GST, HST, PST, QST calculator is incorrect input. If you enter the wrong amount, the calculator will give you the wrong result. This can lead to incorrect financial statements, which can cause problems down the line.
Solution: Double-Check Your Input
To avoid this challenge, double-check your input before hitting the calculate button. Make sure that you have entered the correct amount and that you have selected the right province or territory.
Challenge: Outdated Rates
Another challenge that you may face is outdated rates. GST, HST, PST, and QST rates can change from time to time, and if you are using an outdated calculator, you may get the wrong result.
Solution: Use a Reliable Calculator
To avoid this challenge, use a reliable calculator like the one above that is up-to-date with the latest rates. You can check the Government of Canada website to see the latest rates for GST, HST, and QST. For PST, you will need to check the website for your province or territory.
Challenge: Complex Calculations
Calculating reverse GST, HST, PST, QST can be challenging, especially if you have to deal with multiple provinces or territories. This can be time-consuming and can lead to errors.
Solution: Use a Calculator with Multiple Provinces and Territories
To overcome this challenge, use a calculator like the one above that can handle multiple provinces or territories. This will save you time and ensure that you get an accurate result. Some calculators even have a feature that allows you to compare the results for different provinces or territories side-by-side.
GST/HST/PST/QST Provincial Table
Here are the tax rates broken down by province:
| Province | GST (%) | HST (%) | PST (%) | QST (%) | Total Tax (%) |
| Alberta | 5% | 5% | |||
| British Columbia (BC) | 5% | 7% | 12% | ||
| Manitoba | 5% | 7% | 12% | ||
| New Brunswick | 15% | 15% | |||
| Newfoundland and Labrador | 15% | 15% | |||
| Northwest Territory | 5% | 5% | |||
| Nova Scotia | 15% | 15% | |||
| Nunavut | 5% | 5% | |||
| Ontario | 13% | 13% | |||
| Prince Edward Island (PEI) | 15% | 15% | |||
| Quebec | 5% | 9.975% | 14.975% | ||
| Saskatchewan | 5% | 6% | 11% | ||
| Yukon | 5% | 5% |
Reverse GST Calculator
Provinces and Territories with GST: Alberta, British Columbia (BC), Manitoba, Northwest Territory, Nunavut, Quebec, Saskatchewan, Yukon
GST Tax Rate: 5%
If you’re looking for a reverse GST-only calculator, the above is a great tool to use. Just set it to the GST Only setting, and enter in the after-tax dollar amount that you want to reverse. The given number will be the before-GST number that will be calculated.
With the reverse GST calculator above, you won’t ever have to calculate this again manually. The GST is a Goods and Services Tax for most things sold in Canada.
Reverse HST Calculator
Provinces and Territories with HST: New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario, Prince Edward Island
HST Tax Rate: 13% for Ontario, 15% for others
If you want a reverse HST calculator, the above tool will do the trick. Just set it to the HST province that you want to reverse, and enter in the after-tax dollar amount that you want to reverse. The given number will be the pre-HST number that will be calculated.
With the reverse HST calculator above, you won’t ever have to calculate this manually again and should save you a lot of time.
The Harmonized Sales Tax (HST) is a combined federal and provincial goods and services tax.
Reverse GST PST Calculator
Provinces and Territories with PST: British Columbia, Manitoba, Saskatchewan
PST Tax Rate: 6% for Saskatchewan, 7% for others
If you’re looking for a reverse GST and PST calculator, you can set the calculator above to one of the three provinces that have PST. This will combine the GST and PST; you can enter the amount to reverse it.
If you want a reverse GST PST calculator BC only, just set the calculator above for British Columbia, and it will back out the 12% combined tax rate for the amount you enter in.
The Provincial Sales Tax (PST) applies only to three provinces in Canada. The PST is combined with GST to give the total tax for goods and services for residents of those provinces.
Reverse GST QST Calculator
Provinces and Territories with QST: Quebec
QST Tax Rate: 9.975%
The above calculator works as a reverse GST QST calculator also. You just set the province to Quebec, set the dollar amount you want to reverse, and the tool will do the rest.
It’s great to have a reverse GST QST calculator because it will save you a lot of time when you’re trying to figure out how much taxes you have spent on your purchase.
The Quebec Sales Tax (QST) is simply the sales tax applied in the province of Quebec. Why is QST 9.975%?
It’s because when the government changed it back in 2003 from 9.5% to 9.975%, they wanted to keep the same level of revenue because the calculation was slightly different and was no longer charging it on amounts, including GST.
Frequently Asked Questions
What is the formula for reverse GST calculation?
The formula for reverse GST calculation is:
Original Price = Final Price / (1 + GST Rate)
How do you calculate 5% backwards GST?
To calculate 5% backwards GST, you can use the following formula:
Original Price = Final Price / 1.05
How do you calculate GST 18% reverse?
To calculate GST 18% reverse, you can use the following formula:
Original Price = Final Price / 1.18
How can I use a reverse GST calculator in BC?
To use a reverse GST calculator in BC, you can search for “reverse GST calculator BC” online. There are several free online calculators available that you can use to calculate the original price of a product or service, including GST. You can also use the calculator above.
Where can I find a reverse GST calculator for Alberta?
To find a reverse GST calculator for Alberta, you can search for “reverse GST calculator Alberta” online. There are several free online calculators available that you can use to calculate the original price of a product or service, including GST. You can also use the calculator above.
Is there a reverse tax calculator available for Quebec?
Yes, there are several reverse tax calculators available for Quebec. You can search for “reverse tax calculator Quebec” online to find one. Some popular options include the Revenu Quebec website or third-party calculators.
Conclusion
It can be tricky to reverse your GST, HST, PST, and QST payments when you need them during tax time. Thanks to the reverse tax calculator above, this is no longer a worry.
