GST/HST on renovations: why quotes differ by province

GST/HST applies to renovation work in Canada, so the total you pay depends partly on where you live: 13% HST in Ontario, 5% GST in Alberta, for example. That is one reason two quotes for the same job can look far apart. The other, bigger reason is labour: trades are paid differently from province to province, and a renovation is mostly labour. Here is how to separate the two, so you can compare quotes properly.

Our figures are before GST/HST

Every cost on this site is shown before GST/HST. We do that on purpose: the rate depends on your province, and a pre-tax figure is the only way to compare the same job across the country, or two contractors who present their prices differently.

In practice:

• In Ontario, a bathroom renovation quoted at our national mid-range figure of $20,000 before tax would cost that amount plus 13% HST.
• In Alberta, the same pre-tax amount would carry 5% GST instead.

A quick way to do the maths: multiply the pre-tax amount by 1.13 in Ontario or 1.05 in Alberta. For other provinces, check the rate that applies where you live.

Is tax in the quote or not?

Contractors do not all present prices the same way. Some quote a pre-tax total and add GST/HST on the invoice; others quote a single tax-included figure. Before comparing:

1. Ask each contractor whether GST/HST is included, and to show it as a separate line.
2. Compare pre-tax totals with each other and with our figures.
3. Check the payment schedule. Make sure it is clear whether each instalment, including the deposit, is before or after tax.

A quote that looks cheaper because tax has simply been left out is not cheaper.

Why the same job costs more in some provinces

Tax explains only part of the gap. Most of it comes from what the work itself costs locally.

Labour rates

We build every estimate from the bottom up: the hours each task takes, multiplied by local trade rates, plus materials, then checked against market prices and real quotes. The hours are the same everywhere; tiling a shower takes as long in Halifax as in Calgary. What changes is the hourly rate for plumbers, electricians, carpenters and tile setters, which we adjust province by province using official wage data. That is why a labour-heavy job such as a bathroom shows a wide spread across provinces. You can see it for yourself on Bathroom remodel, where each province has its own figure.

Materials and distance

Materials come through national supply chains and vary less than wages. Distance still counts: in remote and northern communities, getting materials and crews on site adds time and cost that shows up in quotes.

Demand

Where renovators are booked months ahead, they have little reason to sharpen their pencils. In quieter markets, and in quieter seasons, there is more room to negotiate.

Permits and licensed trades

Electrical, gas and plumbing work needs licensed trades and usually a permit. Permit fees are set locally and are not in our figures, so they can add a small difference between cities.

Tax and rebates

Rebates reduce what you pay out of pocket. Start from the full, tax-included price of the job, subtract the rebate you are approved for, and read each program's terms on what it covers. In 2026, for example, Ontario Home Renovation Savings offers up to $7,500 for a cold-climate air-source heat pump in homes heated by electricity, oil, propane or wood, with pre-approval and a participating contractor. The federal Canada Greener Homes Grant and Loan are closed.

A worked comparison

Say you have three bathroom quotes:

• one is a single tax-included number,
• one is a pre-tax total with HST added at the bottom,
• one is pre-tax only, with "plus applicable taxes" in small print.

Put all three on the same footing: strip the tax out of the first, ignore the tax line on the second, and use the third as it is. Then check that the scope matches (same tile height, same fixtures, tub or shower) and compare the three pre-tax numbers with our figure for your province. Only then does the cheapest quote tell you something useful.

Other projects

The same logic applies to every job. A mid-range kitchen renovation without appliances typically costs $27,900 before GST/HST (Kitchen remodel), and a Level 2 EV charger about $1,800 (EV charger installation).

Check your quote

Our "Is my quote fair?" tool compares your price with what homeowners in your area typically pay for the same job. Enter the pre-tax amount, since our figures are before GST/HST, and it will tell you whether your quote looks low, typical or high.