GST, QST, HST: Which Taxes to Charge Clients Outside Quebec?

Charging GST and QST to a Montreal client is easy. But what about a client in Toronto? Vancouver? New York? With remote work and online sales, “which taxes do I charge clients outside Quebec?” has become an unavoidable question for local freelancers and small businesses. Here are the place of supply rules, explained simply.

The basic principle: the tax follows the client

As a general rule, the applicable tax depends on the place of supply — in practice, where your client is located or where the goods are delivered, not where you work. A Quebec City designer serving an Ontario client charges Ontario taxes, not Quebec’s.

The three scenarios in one table

Important nuance: for shipped goods, the delivery destination determines the tax. For services, it is generally the client’s address. Special cases exist (services related to real property, events, etc.) — when in doubt, verify.

Selling in the rest of Canada: GST or HST

Good news: your GST registration already covers HST. You simply collect the rate of the client’s province (13% in Ontario, 14 to 15% in the Atlantic provinces, 5% GST alone in non-harmonized provinces like Alberta) and remit it all through your usual return. QST, for its part, never applies to clients outside Quebec.

Watch out, however, for the separate provincial sales taxes (British Columbia, Saskatchewan, Manitoba): if you actively solicit clients in those provinces, registration for their provincial tax may be required under their rules. This mostly matters for goods sold in volume.

Selling internationally: zero-rated is not exempt

Exports of goods and most services provided to non-residents are zero-rated: taxable at 0%. The distinction pays:

• you collect no tax from the foreign client;
• you keep the right to claim your ITCs/ITRs on expenses related to those sales — unlike exempt supplies;
• that revenue counts toward the $30,000 small supplier threshold and gets reported in your returns.

Keep proof of the client’s non-resident status and of the export (billing address, shipping documents): that is what justifies the 0% in an audit. For the basics of registration and input tax credits, see our complete GST/QST guide.

Online sales and marketplaces

If you sell through an e-commerce platform (marketplace, app store, content platform), check who collects the tax: since 2021, many platform operators are required to collect and remit GST/HST and QST on your behalf for certain sales. Read your platform’s reports — charging tax twice is as problematic as not charging it at all.

The most common traps

• Charging QST to an Ontario client — QST stops at the Quebec border;
• Charging 5% to a Toronto client — 13% HST applies, not GST alone;
• Leaving zero-rated sales out of the $30,000 threshold — they count;
• Not documenting exports — without proof, the 0% can be denied;
• Misconfiguring your online store — per-province rates must be exact from the very first sale.

How InnoBooks handles sales outside Quebec

With InnoBooks, the right rate follows the right client:

• ✅ Per-client tax rates: GST+QST, HST or zero-rated based on their location;
• ✅ Compliant invoices with your registration numbers and the tax breakdown;
• ✅ Tax reports separating collected, paid and zero-rated — your returns practically prepare themselves;
• ✅ Multi-currency to invoice foreign clients in their own money.

Frequently asked questions about taxes outside Quebec

I’m building a website for a client in France. Which tax?

A service provided to a non-resident: generally zero-rated (0%). No Canadian tax on the invoice, but keep proof that the client is abroad and report the sale normally.

My client has offices in Montreal and Toronto. What do I charge?

The practical rule: the address of the actual recipient of the service (the office that receives the work and that you deal with). If the mandate is delivered to the Toronto office, Ontario HST applies. Specify the billing address in the contract to remove any ambiguity.

Do I need to register for other provinces’ taxes?

For GST/HST: no, your federal registration is enough. For the separate provincial taxes (B.C., Saskatchewan, Manitoba): only if you meet their presence or solicitation criteria — mostly an issue for sellers of goods. Business-to-business services usually escape them.

What if I cross $30,000 entirely through foreign clients?

You must still register: zero-rated sales are taxable supplies that count toward the threshold. The upside: once registered, you recover ITCs/ITRs on all your eligible expenses, even though your sales are at 0%.

Bottom line

Remember the magic question: where is my client? In Quebec: GST+QST. Elsewhere in Canada: GST or HST depending on the province, never QST. Abroad: zero-rated, with proof on file. Configure your rates correctly once, and every invoice follows the rule.

Clients across the country? Try InnoBooks for free — the right tax rates, automatically, for every client.