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Alberta Sales Tax 2026 | GST Only Province (5%)

Updated

Alberta Sales Tax

Alberta charges only 5% GST (federal Goods and Services Tax).

Tax TypeRate
Federal GST5%
Provincial PST0%
Total Sales Tax5%

GST Quick Calculator

Price Before TaxGST (5%)Total Price
$10.00$0.50$10.50
$25.00$1.25$26.25
$50.00$2.50$52.50
$100.00$5.00$105.00
$500.00$25.00$525.00
$1,000.00$50.00$1,050.00

Alberta Tax Advantage

Savings vs Other Provinces

PurchaseAlberta (5%)Ontario (13%)You Save
$100 item$105.00$113.00$8.00
$500 item$525.00$565.00$40.00
$1,000 item$1,050.00$1,130.00$80.00
$10,000 item$10,500.00$11,300.00$800.00
$40,000 car$42,000.00$45,200.00$3,200.00

What’s Taxable at 5% GST

Most goods and services:

  • Retail purchases
  • Electronics
  • Clothing
  • Furniture
  • Restaurant meals
  • Professional services
  • Vehicle purchases
  • Home renovations

GST Exemptions (0%)

Same exemptions as all of Canada:

CategoryExamples
Basic groceriesMilk, bread, produce, meat
Prescription drugsMedications with prescription
Medical devicesWheelchairs, hearing aids
Health servicesDoctor, dentist, physio
ChildcareDaycare services
Residential rentMonthly rent
Used homesResale properties

Big-Ticket Item Savings

Buying large items in Alberta vs Ontario:

ItemAlberta TotalOntario TotalAlberta Saves
$50,000 vehicle$52,500$56,500$4,000
$20,000 furniture$21,000$22,600$1,600
$5,000 electronics$5,250$5,650$400
$3,000 appliances$3,150$3,390$240

Alberta vs All Provinces

ProvinceSales Tax Rate
Alberta5% (GST only)
Yukon/NWT/Nunavut5% (GST only)
British Columbia12% (5% + 7% PST)
Saskatchewan11% (5% + 6% PST)
Manitoba12% (5% + 7% PST)
Ontario13% (HST)
Quebec14.975% (5% + 9.975% QST)
New Brunswick15% (HST)
Nova Scotia15% (HST)
PEI15% (HST)
Newfoundland15% (HST)

GST/HST Credit (Federal Rebate)

All low-to-moderate income Canadians — including Albertans — may qualify for the GST/HST Credit, a quarterly federal payment that offsets GST paid. The credit is issued by the CRA automatically based on your tax return.

Household TypeMaximum Annual Credit (2026)
Single, no children~$519
Married/common-law couple~$680
Per child under 19+$179

The credit phases out as net income rises. Single filers begin losing the credit above ~$40,000 in net income.

GST on Digital Services

Since July 2021, foreign digital service companies (Netflix, Spotify, Airbnb, Apple App Store, etc.) are required to collect and remit 5% GST on sales to Canadian consumers. This applies equally in Alberta. As a result, all streaming subscriptions, app purchases, and online rentals now include 5% GST regardless of where the platform is headquartered.

ServiceApprox. MonthlyGSTTotal
Netflix Standard$17.99$0.90$18.89
Spotify Premium$11.99$0.60$12.59
Apple iCloud+ 200GB$3.99$0.20$4.19

Business GST Registration

Alberta businesses must register to collect and remit GST once annual revenue exceeds $30,000 (the small supplier threshold). Below $30,000, registration is optional.

ThresholdRequirement
Under $30,000/yearOptional registration
$30,000 or moreMandatory registration
Filing frequencyMonthly, quarterly, or annual depending on revenue

Registered businesses can claim Input Tax Credits (ITCs) — deducting the GST they paid on business expenses from the GST they collected, remitting only the difference to the CRA.

Will Alberta Ever Introduce a PST?

Alberta’s resistance to a PST is long-standing. The province has relied heavily on natural resource royalties to fund public services. During oil price downturns (notably 2015–2016 and 2020), PST introduction has been debated, but no government has proceeded with it. Introducing a 7–8% PST would raise an estimated $10–13 billion annually — roughly eliminating the province’s recurring deficit. Alberta residents pay an estimated $2,000–$4,000 less per year in sales tax compared to Ontario residents with similar spending habits.