- Topics
- Sales Tax
- Prince Edward Island
Transitional Rules for PEI’s HST Rate Increase Released
Tax Development Jun 17, 2016
Tax Development Jun 17, 2016
In its 2016 budget, PEI had proposed an increase in its Harmonized Sales Tax (“HST”) rate from 14% to 15%, effective October 1, 2016. The province has now released transitional rules relating to this rate change. Similar to the rules provided for the increase in HST in both New Brunswick and Newfoundland and Labrador, the transitional rules provide a standard approach for determining the applicable tax rate for transactions that straddle the implementation date. Specific rules address various types of supplies, including tangible personal property, services, leases and licences, intangible personal property, and real property. The transitional rules generally require the new rate of 15% to be charged on invoices dated after September 30, 2016.
For more information, please see the link below:
Transitional Rules for the Prince Edward Island HST Rate Increase