Alberta is Canada's only province with no provincial sales tax. Calgary businesses collect 5% GST only — no PST, no HST. Here is exactly what that means for your business.
Alberta is the only province in Canada without a provincial sales tax. Here is what Calgary businesses and consumers actually pay.
The only sales tax in Calgary is the federal Goods and Services Tax (GST) at 5%. No provincial component is added on top.
Unlike BC (7%), Saskatchewan (6%), or Manitoba (7%), Alberta charges zero provincial sales tax. This is a significant advantage for consumers and businesses alike.
HST (Harmonized Sales Tax) combines federal and provincial tax into one. Provinces like Ontario (13%) and Nova Scotia (15%) use HST. Alberta does not.
Calgary businesses must register for GST once taxable revenues hit $30,000 in any 12-month period. Below that threshold, registration is optional.
How often you remit GST depends on your revenue. Most small Calgary businesses remit annually or quarterly. CRA assigns your reporting period at registration.
Once registered, you can recover the GST you paid on business expenses through Input Tax Credits — often making net GST costs lower than expected.
You must register for a GST account with CRA when your taxable revenues exceed $30,000 in any single calendar quarter, or in four consecutive quarters. Once you cross that threshold, you have 29 days to register. Voluntary registration is available at any time — and often makes sense if you have significant GST expenses you want to recover as Input Tax Credits.
Small suppliers (under $30,000) are exempt from charging GST on most sales but cannot claim ITCs on their purchases.
| Annual Taxable Revenue | Reporting Period |
|---|---|
| Under $1,500,000 | Annual |
| $1,500,000 – $6,000,000 | Quarterly |
| Over $6,000,000 | Monthly |
Late GST remittances trigger a penalty of 1% of the amount owing, plus 0.25% per month it remains unpaid. Swift Accounting manages GST filing and remittance for Calgary businesses so you never miss a deadline.
Registered businesses can claim Input Tax Credits (ITCs) to recover the 5% GST paid on business purchases — office supplies, equipment, professional services, software, and more. This means your net GST remittance is only the difference between GST collected from customers and GST paid on expenses. For many Calgary businesses, ITCs significantly reduce the actual GST cost.
Not everything is taxable. Common GST-exempt supplies in Calgary include:
Zero-rated supplies (like exports and certain agricultural products) are technically taxable at 0%, meaning businesses can still claim ITCs on related expenses.
Yes — 5% GST (federal) only. Alberta has no provincial sales tax, so Calgary is one of the lowest-tax places to shop and do business in Canada.
No. Alberta is the only province in Canada with no provincial sales tax (PST). Calgary businesses only collect and remit the federal GST at 5%.
Yes, once your revenues exceed $30,000 in any 12-month period. You can also register voluntarily before that threshold, which is often advantageous if you have significant business expenses with GST.
If you sell goods or services to customers in HST provinces (Ontario, Nova Scotia, etc.), you generally charge and remit HST at their province's rate, not Alberta's 5% GST. This applies to both physical goods and many digital services. Contact Swift Accounting if you sell across provinces — the rules can be complex.
Swift Accounting handles GST registration, quarterly filings, ITC claims, and CRA correspondence for Calgary businesses. Get it done right the first time.