Quick answer
HST in Nova Scotia is 14%, a federal part and a provincial part charged together as one tax.1 It came down from 15% on April 1, 2025, so books and returns that reach back past that date hold both rates.1 Since then Nova Scotia has been the only Atlantic province with a lower rate than its neighbours: goods a Halifax business delivers to New Brunswick, Newfoundland and Labrador or Prince Edward Island carry their rate of 15%, not 14%.2,3
Who charges HST in Nova Scotia?
A business registered for the GST is registered for the HST too, and charges it on its taxable sales made in Nova Scotia.4 Registration becomes required once taxable sales pass the small supplier threshold; the general guide to when a business has to register explains that test.
Not every sale carries the full rate. A zero-rated supply, such as basic groceries, is taxable at a rate of zero everywhere in Canada,3 and an exempt supply carries no HST at all. The difference matters to the seller: a registrant can claim back the HST it pays on purchases used to make zero-rated sales, but generally not on purchases used for exempt ones.4
Which rate applies on a sale outside Nova Scotia?
The rate follows the place of supply, not the seller’s address.3 For goods, that is generally the province where they are delivered or made available to the customer.5 For most services, it is the customer’s home or business address in Canada, and for a service to a building or land, it is where the property is.5
Which rate applies either side of the April 2025 change?
The rate that applies depends on the earlier of the day the HST became payable and the day it was paid. If that was before April 1, 2025, the rate is 15%; on or after it, 14%.1 An amount becomes due on the earliest of the day an invoice is issued, the date on the invoice, the day an invoice would have been issued without undue delay, and the day a written agreement requires payment.1
| Situation | Rate |
|---|---|
| Invoiced before the change, paid after it | 15% |
| Paid in full before the change, for something supplied after it | 15% |
| Work done before the change, invoiced after it | 14% |
| A deposit taken before the change, applied to an invoice issued after it | 14% |
| A refund on goods sold before the change and returned after it | The rate charged on the original sale |
Sales of new housing and other real property in Nova Scotia have transitional rules of their own.3
What else changed with the rate?
- The quick method. Its remittance rates changed for reporting periods beginning on or after April 1, 2025. In a period that straddled the date, the old remittance rates applied to amounts that became due or were paid before it.1
- Taxable benefits. An employer registered for GST/HST accounts for HST on certain taxable benefits it reports for an employee who reports to work in Nova Scotia. For the 2025 taxation year, the factor it uses blends the two rates; from 2026 on, it reflects the lower rate alone.1
- Allowances and reimbursements. The factors for working out the HST deemed paid on an allowance or a reimbursement for expenses in Nova Scotia changed for amounts paid on or after the change.1
Which sales get a point-of-sale rebate?
In Nova Scotia, books, children’s clothing and footwear, and children’s diapers qualify. The seller credits the provincial part of the HST at the till and collects only the federal part.4 Books here include audio books and printed scripture, but not e-books, newspapers, magazines, colouring books or agendas.4
On the return, a seller can either report the full HST and claim the rebates it credited as an adjustment, or report only the federal part on those sales.4 Either is accepted. What matters is using one of them every time, which is why the method belongs in the bookkeeping notes rather than in someone’s memory.
What does an HST return need from the books?
- sales split by the rate charged, so each province’s HST and the zero-rated sales can be reported correctly
- the HST paid on every business purchase, at the rate the supplier actually charged, with the supporting documents in hand before the claim is made6
- point-of-sale rebates recorded the way the return reports them
- in a catch-up, the transactions from before the change kept at the rate that applied to them
Most registrants have a time limit for claiming an input tax credit they missed,6 so purchase records kept month by month are worth more than a shoebox at year-end. The filing dates for each reporting period are in our guide to Nova Scotia’s business dates.
Frequently asked questions
Do I charge Nova Scotia HST on goods shipped to New Brunswick?
No. Goods take the rate of the province where they are delivered, so a delivery to New Brunswick carries 15%.3,2
What rate do I use to refund a sale from before the change?
The rate charged on the original sale. A price adjustment on an older sale also uses the original rate.1
Do I charge HST on children’s clothing in Nova Scotia?
Only the federal part. The seller credits the provincial part at the point of sale, and if it does not, the customer can apply to the CRA for that rebate.4
Is the HST on my business purchases a cost?
Not usually, for a registrant. HST paid on purchases for your commercial activities is claimed back as input tax credits, to the extent the purchases are used in those activities.6
Sources
- Nova Scotia HST Rate Decrease – Questions and Answers on General Transitional Rules for Personal Property and Services (Notice 342), Canada Revenue Agency. Accessed .
- GST/HST calculator (and rates), Canada Revenue Agency. Accessed .
- Charge and collect the GST/HST, Canada Revenue Agency. Accessed .
- General Information for GST/HST Registrants (RC4022), Canada Revenue Agency. Accessed .
- GST/HST and place-of-supply rules, Canada Revenue Agency. Accessed .
- Input tax credits, Canada Revenue Agency. Accessed .
This article is general information about how things usually work in Canada, current as of the date it was last updated. It isn’t advice about your own tax or accounting position, which depends on facts we haven’t seen.