Prince Edward Island
Prince Edward Island charges 15% HST.
Prince Edward Island harmonized on April 1, 2013 and moved to 15% on October 1, 2016. Heating oil, children’s clothing, children’s footwear and books are rebated down to 5% at the register, and private vehicle sales are taxed under a separate provincial Act.
How much is HST on Prince Edward Island?
HST on Prince Edward Island is 15%, made up of a 5% federal portion and a 10% provincial portion charged as one blended tax. PEI has no separate PST on general purchases, so a $100 taxable purchase on Prince Edward Island costs $115.00.
- Federal GST
- 5%
- Provincial part of the HST
- 10%
- Combined rate
- 15%
- Tax on $100
- $15.00
$100.00 plus $15.00 tax is $115.00 in Prince Edward Island.
Prince Edward Island charges 15% on most goods and services.
Rates verified July 2026. This is an estimate, not tax advice. Confirm the rate that applies to your sale with the Canada Revenue Agency or the Prince Edward Island tax authority before you invoice or file. Not registered yet? Read how to get a GST number in Canada.
The arithmetic
How do you calculate 15% HST on Prince Edward Island?
Multiply the pre-tax price by 0.15 to add the tax, or divide a tax-included total by 1.15 to strip it back out. Because PEI uses one blended tax there is no provincial layer applied to a GST-inclusive amount, so nothing compounds.
| Amount before tax | GST 5% | HST (provincial part) | Total tax | Total |
|---|---|---|---|---|
| $100.00 | $5.00 | $10.00 | $15.00 | $115.00 |
| $500.00 | $25.00 | $50.00 | $75.00 | $575.00 |
| $1,000.00 | $50.00 | $100.00 | $150.00 | $1,150.00 |
| $5,000.00 | $250.00 | $500.00 | $750.00 | $5,750.00 |
Every line is calculated in whole cents, so the parts always add up to the total. Rates verified July 2026.
To work backwards in Prince Edward Island, divide the tax-included total by 1.15. A $115.00 total comes apart into $100.00 before tax, $5.00 of GST and $10.00 of the provincial part. The reverse GST and HST calculator does that for any total, in any province.
Special rates
What is rebated or taxed separately on Prince Edward Island?
PEI rebates the 10% provincial part on four categories: heating oil, children’s clothing, children’s footwear and books. Private transfers of vehicles, boats and aircraft leave the HST system and fall under the Retail Sales Tax Act instead.
| What it applies to | Rate | How it works |
|---|---|---|
| Point-of-sale rebate goods (effective 5%) | 5% | PEI rebates the 10% provincial part of the HST at the till on four categories of qualifying goods: heating oil, children's clothing, children's footwear, and books. The retailer collects only the 5% federal part. Qualifying heating oil covers furnace oil, stove oil, kerosene, paraffin and diesel sold as heating fuel, but expressly excludes propane, natural gas and natural gas liquids, wood and wood pellets, and heavy or bunker fuel oil, which are all taxed at the full 15%.princeedwardisland.ca |
| Retail Sales Tax on private transfers of vehicles, boats and aircraft | 15% | When a vehicle, boat or aircraft changes hands in a private sale (the seller is not a GST/HST registrant), no HST applies. Instead PEI levies a 15% Retail Sales Tax under section 15 of the Retail Sales Tax Act on the taxable value of the designated property. For a vehicle the taxable value is the greater of the declared price and the lesser of the Canadian Red Book / Canadian Sport Vehicle Blue Book average wholesale value and a written appraisal. Settler's effects, qualifying family transfers, inheritances, and boats bought by commercial fishers are exempt.princeedwardisland.ca |
| Pari-mutuel wagering tax | Varies | Part 2 of PEI's Retail Sales Tax Act levies a separate tax on bets placed at a race meeting with a pari-mutuel betting system operated in the province: 8% on a win, place or show bet and 15% on a feature wager. A bet placed in PEI on a race being run at a track outside the province is taxed at 11% regardless of bet type.
|
| Charge | How it is calculated |
|---|---|
| Environment tax on new tires | PEI charges a flat-dollar environment tax on every new tire sold at retail in the province, and on tires attached to a motor vehicle bought outside PEI and brought in: $4 per tire with a rim size of 43.18 cm (17 inches) or less, and $11.25 per tire with a rim size greater than 17 inches. It is a dollar amount, not a percentage, and it is charged in addition to the 15% HST. Tires for motorized wheelchairs, tires in settler's effects, tires on a family-transfer vehicle, resale stock held by registered vendors, and purchases by an Indian resident on a PEI reserve are exempt.princeedwardisland.ca |
These are cents or dollars per unit. They are built into the shelf or pump price rather than added at the till, so they never appear as a percentage on a receipt.
Worth knowing
What makes Prince Edward Island's HST different?
A heating-oil rebate no other province runs, a surviving Retail Sales Tax on private sales, a pari-mutuel wagering tax inside the same statute, and a flat-dollar tax on every new tire.
Common questions
Questions about Prince Edward Island sales tax.
What is the sales tax rate in Prince Edward Island?
The sales tax rate in Prince Edward Island is 15% HST, made up of the 5% federal GST portion and a 10% provincial portion. PEI does not charge a separate provincial sales tax on top of the GST, because the two are blended into one Harmonized Sales Tax administered by the Canada Revenue Agency.
Is there PST in Prince Edward Island?
There is no separate PST in Prince Edward Island. PEI harmonized its provincial sales tax with the federal GST on April 1, 2013, so the single 15% HST replaces PST entirely. The one exception is a 15% Retail Sales Tax that still applies to private (non-registrant) sales of vehicles, boats and aircraft.
Do you pay HST on children's clothing in Prince Edward Island?
Children's clothing and children's footwear in Prince Edward Island get a point-of-sale rebate of the 10% provincial part of the HST, so shoppers pay only the 5% federal portion. The rebate is applied automatically by the retailer at checkout. Children's diapers and car seats do not qualify in PEI and are taxed at the full 15%.
Are books taxed in Prince Edward Island?
Books in Prince Edward Island are taxed at an effective 5% rather than 15%, because PEI provides a point-of-sale rebate of the 10% provincial part of the HST on qualifying printed books, audiobooks that are a spoken reading of a printed book, printed scripture, and a printed book packaged with a related CD or DVD.
How much tax do I pay when I buy a used car privately in Prince Edward Island?
A private used-car purchase in Prince Edward Island is taxed at 15% Retail Sales Tax rather than HST, calculated on the greater of the declared purchase price and the lesser of the Canadian Red Book average wholesale value and a written appraisal. The buyer pays it directly to Taxation and Property Records at registration or within 20 days after the end of the month of purchase, whichever comes first.
Is heating oil taxed in Prince Edward Island?
Qualifying heating oil in Prince Edward Island is charged only the 5% federal part of the HST, because PEI rebates the 10% provincial part at the point of sale. Furnace oil, stove oil, kerosene, paraffin oil and diesel sold as heating fuel qualify, but propane, natural gas, wood and wood pellets, and heavy or bunker fuel oil do not and are taxed at the full 15%.
Across Canada
How does Prince Edward Island compare with the rest of Canada?
At 15%, Prince Edward Island is tied with New Brunswick and Newfoundland and Labrador for the highest sales tax in Canada, and a full point above Nova Scotia since April 2025.
| Province or territory | Tax type | GST | Provincial | Total |
|---|---|---|---|---|
| British Columbia | GST + PST | 5% | 7% PST | 12% |
| Alberta | GST only | 5% | None | 5% |
| Saskatchewan | GST + PST | 5% | 6% PST | 11% |
| Manitoba | GST + RST | 5% | 7% RST | 12% |
| Ontario | HST | 5% | 8% provincial portion | 13% |
| Quebec | GST + QST | 5% | 9.975% QST | 14.975% |
| New Brunswick | HST | 5% | 10% provincial portion | 15% |
| Nova Scotia | HST | 5% | 9% provincial portion | 14% |
| Prince Edward Island | HST | 5% | 10% provincial portion | 15% |
| Newfoundland and Labrador | HST | 5% | 10% provincial portion | 15% |
| Yukon | GST only | 5% | None | 5% |
| Northwest Territories | GST only | 5% | None | 5% |
| Nunavut | GST only | 5% | None | 5% |
Rates verified July 2026 against federal and provincial government sources.
Where the Prince Edward Island rates come from
Every Prince Edward Island figure on this page was checked against the government sources listed below and verified in July 2026. Rates change, most often on January 1 or April 1, so treat this as a maintained reference rather than a filing document. It is an estimate, not tax advice. Verify with the Canada Revenue Agency before you rely on a number.
- canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/charge-collect-which-rate.html
- canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/charge-collect-which-rate/calculator.html
- princeedwardisland.ca/sites/default/files/publications/revenue_tax_guide_197.pdf
- princeedwardisland.ca/sites/default/files/publications/revenue_tax_guide_198.pdf
- princeedwardisland.ca/sites/default/files/legislation/r-13-03-retail_sales_tax_act.pdf
- princeedwardisland.ca/sites/default/files/legislation/e-08-3-environment_tax_act.pdf
- canada.ca/en/revenue-agency/services/forms-publications/publications/gi-169/point-sale-rebate-on-heating-oil.html
- canada.ca/en/revenue-agency/services/forms-publications/publications/gi-063/point-sale-rebate-on-childrens-goods.html
- canada.ca/en/revenue-agency/services/forms-publications/publications/rc4034/rc4034-gst-hst-public-service-bodies-rebate.html
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