Tax
GST registration
Most groceries are zero-rated, but candy, snacks, carbonated drinks, hot food, catering and sweet baked goods sold in packs of fewer than six are taxable at 5%. You must register once your sales pass $30,000 in a quarter or over four quarters — and zero-rated grocery sales count toward it.
- Who issues it
- Canada Revenue Agency
Who needs it
Restaurants & cafésOpening or running a restaurant, café, take-out or coffee shop.BakeriesSweet baked goods sold in packs of fewer than six are taxableCaterers & personal chefsCatered food is taxableFood trucks & cartsSelling from a truck, trailer or cart.Delivery-only & ghost kitchensHot and prepared food is taxablePackaged food makersSnacks and candy are taxableKombucha, juice & coffee makersMaking non-alcoholic drinks, or roasting coffee.Grocers & specialty food shopsRunning a grocery, market store, deli counter or specialty food shop.Butchers, delis & fishmongersCutting and selling meat, fish or deli foods.
The rules behind this page
- Excise Tax Act, Schedule VI, Part III (Basic Groceries) and s. 148 (small supplier)(Schedule VI, Part III and s. 148)Government of Canada (Justice Laws) · Current to 2026-09-03 (last amended 2026-06-18)