$500,000 small business threshold is now applicable in all provincial jurisdictions except for Manitoba and Nova Scotia, which remain at $400,000.

The federal general and manufacturing and processing tax rates dropped from 18% to 16.5% in 2011 and will again in 2012 to 15%.

Provincial tax rate reductions have occurred and are further expected in British Columbia, New Brunswick and Ontario – check our tax rate tables.

British Columbia will cancel its HST and reinstate the former 7% Social Services Tax and 5% GST; targeted to be effective April 1, 2013.

Quebec Sales Tax (QST) rate rose from 7.5% to 8.5% on January 1, 2011 and rises to 9.5% on January 1, 2012