December 14, 2024

Handle the Canadian Tax Holiday Automatically with Shopify

We've automated tax compliance for the Canadian GST/HST holiday tax break, so you don’t have to handle it yourself. Here's what you need to know:

What's changing?

Starting December 14th, 2024, the Canadian government is temporarily removing GST/HST on select categories of goods. Shopify will automatically apply zero-rating to eligible products in your store with the right categories; no manual tax adjustments needed.

What products are eligible?

The tax break applies to the categories listed here. If your products are categorized under one of these categories, the zero-rating will apply automatically, as long as you do not have manual overrides.

If your store is not using registration-based taxes (if you enter the rates yourself in your Taxes and Duties settings), you will not have the GST/HST automatically zero-rated for the tax holiday.

What do you need to do?

  1. Review your product categories
  2. Ensure eligible products are assigned to the correct categories, by Dec 14th.
  3. That's it! If your products fall within a bolded category in the above PDF, tax will not be collected for the tax holiday automatically.

Pro tip: Use the bulk editor to quickly review and update multiple products at once.

Learn more about eligible categories