1. What is the Reverse Sales Calculator for Quebec?

This calculator helps determine the pre-tax amount when you know the total amount paid including GST (5%) and QST (9.975%) in Quebec. It's useful for accounting, expense tracking, and financial analysis.

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• Total Amount — Final price including GST and QST (CAD)
• 1.05 — Represents the 5% GST
• 1.09975 — Represents the 9.975% QST

Explanation: The formula works backward from the total amount to find the original price before taxes by dividing by the combined tax multipliers.

3. Importance of Tax Calculation

Details: Accurate tax calculation is crucial for proper accounting, expense reporting, and understanding the true cost of goods and services before taxes.

4. Using the Calculator

Tips: Enter the total amount paid including taxes in CAD. The calculator will show the breakdown of pre-tax amount, GST, and QST.

5. Frequently Asked Questions (FAQ)

Q1: Why is QST calculated on the amount including GST?
A: In Quebec, QST is applied to the selling price plus GST, making it a tax on a tax.

Q2: Are there different tax rates in Quebec?
A: The standard rates are 5% GST and 9.975% QST, but some items may have different tax treatment.

Q3: Can I use this for business expenses?
A: Yes, this calculator helps businesses determine the pre-tax amount for accurate accounting and input tax credits.

Q4: How accurate is this calculation?
A: The calculation is mathematically precise for standard taxable goods and services at the current Quebec tax rates.

Q5: What if I only know the pre-tax amount?
A: If you know the pre-tax amount, simply multiply by 1.05 then by 1.09975 to get the total with taxes.