GST/HST Quick Method Calculator 2026 Canada

How the GST/HST Quick Method Works

The Quick Method is an alternative way to calculate GST/HST owing to the Canada Revenue Agency for small businesses. Instead of tracking every Input Tax Credit (ITC) on business expenses, you charge customers the regular GST/HST rate (5% GST, 13% HST in Ontario, 15% HST in Atlantic provinces) but remit only a fixed Quick Method percentage of your GST/HST-included revenue. The difference between collected and remitted is your business\'s tax saving. You\'re also entitled to a 1% credit on the first $30,000 of taxable supplies each fiscal year. To use the Quick Method, your annual worldwide taxable revenue (including associated parties) must not exceed $400,000 — this threshold was raised from $200,000 effective Budget 2018. Most service businesses save money with Quick Method; goods retailers with high cost of goods sold typically do not. Source: CRA RC4058 — Quick Method of Accounting.

2026 Quick Method Remittance Rates by Province

The Quick Method rate depends on (a) the type of supply (selling goods vs providing services) and (b) the province where the customer is located. For service businesses selling to Ontario (HST 13%), the remittance rate is 8.8%; selling to non-HST provinces (Alberta, BC, etc., GST 5% only), the rate is 3.6%. For goods retailers selling to Ontario, the rate is 4.4% (lower because goods typically have larger ITC pools); selling to non-HST provinces, the rate is 1.8%. Atlantic HST provinces (NB, NS, PE, NL — all 15%) have higher remittance rates because the collected tax is higher. The 1% credit on the first $30,000 of supplies further reduces remittance. See the full rate matrix at CRA Quick Method Rates Table.

Election and Election Cancellation

To use the Quick Method, file Form GST74 (Election and Revocation of an Election to Use the Quick Method of Accounting) by the due date of the first GST/HST return for which the election will apply. The election must be made by the first day of the second fiscal quarter in which you want to start using the method, or earlier. Once elected, you must continue using the Quick Method for at least one full fiscal year before revoking. You cannot use Quick Method if you are: a charity that has elected to use the net tax calculation for charities, a public service body, certain real-estate-focused businesses, financial institutions, or a person whose primary activity is providing certain services like legal accounting, bookkeeping, financial consulting, tax preparation, or actuarial services to its own clients (these are explicitly excluded by §227(4) ETA). Source: CRA Form GST74.

When Quick Method Saves Money — and When It Doesn\'t

Quick Method generally saves money when your business has LOW input costs (mostly labour and intangible expenses) — typical for consultants, freelancers, IT services, marketing agencies, and personal trainers. For a $100,000 service business in Ontario (HST 13%): Regular method remittance after $3,000 of ITCs = $13,000 - $3,000 = $10,000. Quick Method remittance = ($113,000 × 8.8%) - 1% credit on first $30,000 = $9,944 - $300 = $9,644. Quick Method saves $356. Quick Method does NOT save money for goods retailers with high inventory cost (because ITCs on inventory would exceed the Quick Method discount), restaurants (high food/beverage cost), and capital-intensive businesses (large equipment purchases). Always run both calculations annually — your inputs may shift between years and change which method wins. See our GST/HST Calculator for the regular method. Last updated May 2026.