Provincial Sales Tax
Provincial Sales Tax (PST) is a tax imposed by individual provinces or territories on the sale of goods and services. It is typically added to the purchase price at the point of sale and is collected by retailers on behalf of the government. The rate and specific items subject to PST can vary from one province to another.
PST is different from the Goods and Services Tax (GST), which is a federal tax applied across Canada. Some provinces combine PST with GST to create a single tax known as the Harmonized Sales Tax (HST). Understanding PST is important for consumers and businesses to ensure compliance with tax regulations.