Buying from a dealer
A dealer sale carries 13% HST on the advertised all-in price: 5% federal and 8% Ontario.
Government of Ontario, Harmonized Sales Tax (HST) · dated 2026-08-29
Car sales tax in Ontario, worked out
Buy a $30,000 vehicle from a dealer in Ontario and tax adds $3,900, so the deal is $33,900 before licensing and registration. Buy the same car privately and Ontario charges 13% when you register it, which is $3,900 on that price. Drive the same purchase across the border into Alberta and the tax is $1,500, which is $2,400 less.
Ontario is one of 11 jurisdictions this calculator holds a sourced tax rule for. Every figure on this page comes from a government page you can open, dated, and the arithmetic is done in front of you rather than behind a "results" button.
Tax at a dealer
13%
5% Federal GST plus 8% Ontario portion of the HST
Tax on a private sale
13%
collected when you register the vehicle
Tax on a $30,000 car
$3,900
bought from a dealer
The rules, and where they come from
Buying privately
A private sale carries 13% Ontario retail sales tax instead, collected by ServiceOntario when you register the vehicle rather than by the seller.
Government of Ontario, Retail Sales Tax · dated 2026-08-29
What the tax is charged on
The tax is charged on the purchase price or the vehicle’s wholesale value in the Canadian Red Book, whichever is greater. A cheap deal on a well-booked car is taxed as though you paid book.
Government of Ontario, Retail Sales Tax · dated 2026-08-29
Worth knowing
You do not pay retail sales tax on a vehicle bought from a GST/HST registrant anywhere in Canada. That sale carries HST instead.
Government of Ontario, Retail Sales Tax · dated 2026-08-29
| Jurisdiction | At a dealer | Tax on the example | Bought privately |
|---|---|---|---|
| Ontario | 13% | $3,900 | 13% at registration |
| Alberta | 5% | $1,500 | nothing provincial |
| British Columbia | 12% | $3,600 | 12% at registration |
| Nova Scotia | 14% | $4,200 | rate not published |
What that car costs a month
$1,344a month all-in
9.64% APR60 months7.29% to 11.99% for your credit
$1,335 to $1,353 a month, depending on the insurance quote you actually get
People also ask
How much tax do you pay on a car in Ontario?
A dealer sale carries 13% HST on the advertised all-in price: 5% federal and 8% Ontario. On a $30,000 vehicle that is $3,900, for $33,900 all in before licensing.
Do you pay tax on a private car sale in Ontario?
A private sale carries 13% Ontario retail sales tax instead, collected by ServiceOntario when you register the vehicle rather than by the seller. The tax is charged on the purchase price or the vehicle’s wholesale value in the Canadian Red Book, whichever is greater. A cheap deal on a well-booked car is taxed as though you paid book.
Does a trade-in cut the tax in Ontario?
Where a dealer takes your old vehicle in trade, the tax is charged on the difference: the trade-in credit comes off the price before GST or HST is applied. That is a federal rule, so it holds everywhere in Canada.
Sources
- Government of Ontario, Harmonized Sales Tax (HST) · dated 2026-08-29
- Government of Ontario, Retail Sales Tax · dated 2026-08-29
Every market figure the calculator itself uses is listed with its source on the assumptions page.