If you have a FreshBooks account, FreshBooks is required to charge sales tax on your subscription based on your credit card's billing address in certain geographic locations. Any new sales tax that is added will only apply to new payments for your FreshBooks subscriptions moving forward.
Canada
Canadian users in all provinces are required to pay the applicable provincial sales tax. This sales tax will vary by province:
- Alberta - 5% GST
- British Columbia - 12% (5% GST + 7% PST) as of Oct 5, 2023
- Manitoba - 5% GST
- New Brunswick - 15% HST
- Newfoundland and Labrador - 15% HST
- Northwest Territories - 5% GST
- Nova Scotia - 15% HST
- Nunavut - 5% GST
- Ontario - 13% HST
- PEI - 15% HST
- Quebec - 14.975% (5% GST + 9.975% QST)
- Saskatchewan - 11% (5% GST + 6% PST) as of Oct 5, 2023
- Yukon - 5% GST
United States
American users in the following states are required to pay the applicable state sales tax and in some states, the county tax as well. Since the state and county taxes are applicable based on location, select the link next to the state listed below that is applicable to you:
- Arizona - 5.6% state tax + local taxes
- Connecticut - 6.35% state tax
- Colorado, city of Denver only - 4.81% local tax
- District of Columbia - 6% state tax
- Hawaii - 4% state tax + local taxes
- Iowa - 6% state tax + local taxes
- Kentucky - 6% state tax
- Massachusetts - 6.25% state tax
- New Mexico - 4.875% state tax + local taxes
- North Carolina - 4.75% state tax + local taxes
- New York - 4% state tax + local taxes
- Ohio - 5.75% state tax + local taxes
- Pennsylvania - 6% state tax + local taxes
- Rhode Island - 7% state tax
- South Carolina - 6% state tax + local taxes
- South Dakota - 4.2% state tax + local taxes
- Tennessee - 7% state tax + local taxes
- Texas - 6.25% state tax + local taxes
- Utah - 4.85% state tax + local taxes
- Vermont - 6% state tax + local taxes as of Jan 2, 2025
- Washington State - 6.5% state tax + local taxes
Tax Exemptions
If your Business is exempt from paying provincial or state sales tax, reach out to our support team with your Sales Tax Exemption Certificate or supporting documentation.