Northwest Territories Sales Tax Rate
Complete guide to sales tax in Northwest Territories (NT) for 2026. Combined rate: 5%.
Combined Rate
5%
GST Only (Federal)
Federal (GST)
5%
Provincial
None
Tax on $100
$5.00
Tax Rate Breakdown
Before and After Tax in Northwest Territories
Quick reference for common purchase amounts at 5% combined rate
| Before Tax | GST (5%) | Total Tax | After Tax |
|---|---|---|---|
| $100.00 | $5.00 | $5.00 | $105.00 |
| $500.00 | $25.00 | $25.00 | $525.00 |
| $1,000.00 | $50.00 | $50.00 | $1,050.00 |
| $5,000.00 | $250.00 | $250.00 | $5,250.00 |
Tax-Inclusive Price Breakdown
If the total price already includes tax, here is how it breaks down
| Total (incl. tax) | Tax Included | Price Before Tax |
|---|---|---|
| $100.00 | $4.76 | $95.24 |
| $500.00 | $23.81 | $476.19 |
| $1,000.00 | $47.62 | $952.38 |
| $5,000.00 | $238.10 | $4,761.90 |
Sales Tax Comparison Across Canada
How Northwest Territories's 5% rate compares to other provinces
| Province | Tax Type | Rate | Tax on $1,000 | vs. NT |
|---|---|---|---|---|
| Alberta (AB) | GST | 5% | $50.00 | -- |
| Northwest Territories (NT) | GST | 5% | $50.00 | -- |
| Nunavut (NU) | GST | 5% | $50.00 | -- |
| Yukon (YT) | GST | 5% | $50.00 | -- |
| Saskatchewan (SK) | GST+PST | 11% | $110.00 | +6% |
| British Columbia (BC) | GST+PST | 12% | $120.00 | +7% |
| Manitoba (MB) | GST+PST | 12% | $120.00 | +7% |
| Ontario (ON) | HST | 13% | $130.00 | +8% |
| Nova Scotia (NS) | HST | 14% | $140.00 | +9% |
| Quebec (QC) | GST+QST | 14.975% | $149.75 | +9.975% |
| New Brunswick (NB) | HST | 15% | $150.00 | +10% |
| Newfoundland and Labrador (NL) | HST | 15% | $150.00 | +10% |
| Prince Edward Island (PE) | HST | 15% | $150.00 | +10% |
Sales Tax in Northwest Territories: A Complete Guide
The Northwest Territories charges only the federal 5% GST with no territorial sales tax, making it one of the most tax-friendly jurisdictions in Canada for consumer purchases alongside Alberta, Nunavut, and Yukon.
Businesses operating in the Northwest Territories benefit from the simplified tax environment, as they only need to register for and remit the federal GST. The standard GST exemptions apply, including basic groceries, prescription drugs, and medical devices. The absence of a territorial sales tax helps offset the higher cost of living in the North, where goods are generally more expensive due to transportation and logistics challenges.
The Northwest Territories has never imposed a territorial sales tax. With a small population spread across a vast geographic area, the administrative costs of implementing a separate territorial tax would be disproportionately high relative to the revenue generated. The federal government provides significant transfer payments to the territory, which, combined with resource royalties, supports public services without the need for a consumption tax. This arrangement recognizes the unique economic challenges of northern communities.