Learn how GST, HST, PST, and QST apply to freelancers in Canada using Upwork, including tax rates by province, exemptions, and registration.
What are Canada's indirect taxes for freelancers?
When you use Upwork in Canada, indirect taxes like GST, HST, PST, and QST may apply to your purchases and services we provide on the platform. These are value-added taxes imposed by national and provincial governments — and Upwork is required to collect them where applicable.
Depending on where you live, you may see one or more of these taxes:
- Goods and Services Tax (GST) only, collected by the Canada Revenue Agency (CRA)
- Harmonized Sales Tax (HST) — Both national and provincial goods and services taxes are combined and collected by the CRA (Applies in Ontario, New Brunswick, Newfoundland and Labrador, Nova Scotia, and Prince Edward Island)
- GST plus provincial sales taxes (PST) — Each goods and services tax is collected separately by the appropriate government body. (Applies in British Columbia, Saskatchewan, and Manitoba)
- GST plus Quebec Sales Tax (QST) — Each goods and services tax is collected separately by the appropriate government body
If you have a GST/HST or QST number and enter it in your tax information on Upwork, we're not required to collect these taxes from you. We're still required to collect PST in BC, SK, and MB for all users in those provinces.
What services and purchases do taxes apply to for freelancers?
- Freelancer service fees (not your earnings)
- Connects purchases
- Membership fees, such as for our Freelancer Plus plan
Note: If you’re required to collect GST/HST or QST from your own clients, that’s your responsibility — not handled through Upwork.
What are the indirect tax rates by province in Canada?
The chart below shows which combination of national and provincial taxes are collected on a per-province basis:
| Province | Type | Nat’l. rate | Prov. rate | Total Tax Rate |
|---|---|---|---|---|
| AB | GST | 5% | 0% | 5% |
| BC | GST/PST | 5% | 7% | 12% |
| MB | GST/PST | 5% | 7% | 12% |
| NB | HST | 5% | 10% | 15% |
| NL | HST | 5% | 10% | 15% |
| NT | GST | 5% | 0% | 5% |
| NS | HST | 5% | 10% | 15% |
| NU | GST | 5% | 0% | 5% |
| ON | HST | 5% | 8% | 13% |
| PE | HST | 5% | 10% | 15% |
| QC | GST/QST | 5% | 9.975% | 14.975% |
| SK | GST/PST | 5% | 6% | 11% |
| YT | GST | 5% | 0% | 5% |
How are indirect taxes for Canada calculated on Upwork?
Example: Let’s say you earn $100 USD and pay a 10% freelancer service fee ($10 USD). Depending on your province, you might pay:
- GST only — $1 USD
- HST — Between $2.60 and $3 USD
- GST + PST — $1 USD for GST, between $1.20 and $1.40 USD for PST
- GST + QST — $1 USD for GST, $2.00 USD for QST
Am I required to enter my GST/HST or QST number?
No, but if you enter a valid GST/HST or QST number in your tax information, we won't have to collect these taxes from you. (If you live in a province that requires PST, we'll still have to collect that tax.)
For validation purposes, the taxpayer name you enter on your W-8BEN or W-8BEN-E form (found in your Tax forms) must match the name attached to your GST/HST or QST number.
Are there any exemptions from taxes in Canada?
Canada doesn't offer any applicable tax exemptions for services that Upwork provides, but if you enter your GST/HST or QST number in your tax information we won't have to collect these taxes from you.
We still have to collect PST in British Columbia, Saskatchewan, and Manitoba even if you provide a GST/HST or QST number.
Will you collect indirect taxes if I'm only residing in Canada temporarily?
Yes. As long as your tax residence is set to Canada, we’re required to collect them. If you move, update your tax information — we’ll adjust accordingly.
Can I use my business number for exemption from indirect tax collection in Canada?
No — a business number is a completely separate business identifier and has no bearings on taxes. You need to enter a GST/HST, or QST number.
What are the GST/HST and QST numbers in Canada?
They’re business identifiers issued by the government:
If I enter a valid GST/HST or QST after I've already paid Canada taxes, will you refund that money?
No. Upwork can’t refund these taxes — we send them straight to the government. You may be able to claim input tax credits or deductions on your tax return.
Disclaimer:
This information is for general guidance only and shouldn’t be taken as tax advice. It may not be updated in real time and may not reflect recent changes. For help with your specific situation, it’s best to consult a qualified tax advisor or your local tax authority.