GST and QST Invoice in Quebec: Complete Guide

Charging GST and QST in Quebec

If you're self-employed, a freelancer, or running a small business in Quebec, charging taxes correctly is essential. Incorrect invoices can lead to accounting issues and problems during tax reporting.

In Quebec, two main taxes apply:

• GST (Goods and Services Tax): 5%
• QST (Quebec Sales Tax): 9.975%

In this guide, you’ll learn when to apply them, how to calculate them step by step, and how to create a compliant invoice.

When do you need to charge GST and QST?

You only charge GST and QST if you are registered for taxes. Registration depends mainly on your annual revenue.

• Over $30,000/year: registration is required
• Under $30,000/year: registration is optional

If you are not registered, you must not add taxes to your invoices.

How to calculate GST and QST

Taxes are always calculated based on the subtotal, which is the amount before taxes. Here is the exact method used on Quebec invoices.

1. Calculate the subtotal

Multiply unit price by quantity for each item

2. Calculate GST (5%)

GST = subtotal × 0.05

3. Calculate QST (9.975%)

QST = subtotal × 0.09975. It is calculated separately, not on GST.

4. Example

5. Repeat for every line and then sum up all the calculated GST and QST separetly

Now you can show the total of taxes at the bottom of your invoice. It is important to calculate each line item separately because some of them might be tax exempt. It's also important to show your registration number for each tax in the invoice

What a Quebec invoice must include

A compliant invoice must include several required elements.

• Business information
• Client information
• Service description
• Subtotal
• GST and QST separately
• Total amount
• Tax numbers

Official sources

For the official sources on this matter

Official source (CRA): canada.ca

Official source (Revenu Quebec): revenuquebec.ca

Canadian Invoice Tool

You can always create your own template and manually fill in and calculate taxes. But that often makes of invoicing a heavy chore that you end up postponing, which means you don't get paid! JustInvoice.ca offers a free tool for invoicing, no account needed, no credit card needed, and you can use it as often as you want! Here is just a mock up of what it looks like, click on the button below to go to the free invoice generator.