Calculating Quebec's Lodging Tax (3.5%)

Quebec's lodging tax is 3.5% of the room rate. What makes it unusual is that GST and QST are then calculated on top of it: one of the rare cases in Quebec where a sales tax really does apply to another tax.

Hotel room with a large bed, armchair and bedside lamp, a night subject to the lodging tax

Lodging Tax Calculator

Enter the price of one night. Goods and services supplied with the accommodation (breakfast, parking, dinner) are excluded from the 3.5%, but are part of the GST and QST base.

Decimals with a period or a comma.

Calculation receipt

QC · Lodging tax 3.5%

The lodging tax is calculated per night, then rounded to the cent, just as on an establishment's invoice.

The Rate: 3.5% of the Room Rate

The lodging tax is 3.5% of the price of a night's stay. This single rate has been in effect since November 1, 2016: before that, the amount varied from one tourism region to another. The tax has existed since 1997 and now applies in 21 of Quebec's 22 tourism regions (all except Nunavik).

It's collected by the establishment's operator, or by the digital accommodation platform that processes the payment, then remitted to Revenu Québec. It has nothing to do with municipal taxes: it's a provincial tax, separate from GST and QST.

What Exactly the Tax Is Calculated On

The 3.5% tax is calculated on the room rate only. Breakfast, parking, dinner or any other goods or services supplied with the accommodation are excluded, whether billed separately or included in a package.

This is the most common mistake on a package invoice: applying the 3.5% to the full package price rather than just the room portion inflates the tax collected.

Comparison of the two tax bases: the 3.5% lodging tax applies only to the room rate, while GST and QST apply to the room rate, extras and the lodging tax itself

GST and QST Are Calculated on Top

An operator registered for GST and QST must calculate both taxes on a total that includes the room rate, the lodging tax, and the price of any goods or services supplied with the accommodation.

Order matters. First apply the 3.5% to the room rate, add that tax to the price, and that new subtotal becomes the base for GST and QST. The lodging tax is therefore part of the taxable amount.

The three steps of the calculation: a $150.00 room rate, $5.25 of lodging tax, a $155.25 taxable subtotal, then GST and QST for a total of $178.50

Example: one night at $150.00

Room rate $150.00
Lodging tax (3.5%) $5.25
Taxable subtotal $155.25
GST (5% of $155.25) $7.76
QST (9.975% of $155.25) $15.49
TOTAL $178.50

If you forgot to include the lodging tax in the base, GST would drop to $7.50 and QST to $14.96, for a total of $177.71: a $0.79 gap on a single night, repeated for every room and every night.

A Package with Breakfast

The principle stays the same, but the two tax bases differ: the 3.5% only touches the room rate, while GST and QST apply to everything, lodging tax included. For a $150.00 night with a $20.00 breakfast:

  • Lodging tax: $150.00 × 3.5% = $5.25 (breakfast excluded)
  • GST and QST base: $150.00 + $20.00 + $5.25 = $175.25
  • GST: $8.76 · QST: $17.48
  • Total due: $201.49

Frequently Asked Questions

Are GST and QST calculated on the lodging tax?

Yes. A registered operator must calculate GST and QST on a total that includes the room rate, the lodging tax, and any goods or services supplied with the accommodation. On a $150.00 room rate, the tax base is therefore $155.25, not $150.00.

Is breakfast subject to the lodging tax?

No. The 3.5% applies only to the room rate. Breakfast, parking, dinner and other services are excluded, whether billed separately or included in a package. They do, however, remain subject to GST and QST.

What is the lodging tax rate in Quebec?

The rate has been 3.5% of the room rate since November 1, 2016. It applies in 21 of Quebec's 22 tourism regions (all except Nunavik). Before that, the amount varied from one region to another.

Does the lodging tax apply to Airbnb rentals?

Yes, the tax covers accommodation units rented in a covered establishment, including when the rental goes through a digital platform. Since January 1, 2020, the platform generally collects and remits the tax when it processes the payment.

Stone facades and restaurant awnings on a street in Old Quebec

The Case of Intermediaries

When the accommodation unit is rented to an intermediary, a tour operator for example, who acquires it in order to rent it out again, the tax is no longer a percentage but a flat $3.50 per night. The 3.5% rate then applies normally when the unit is rented to the final customer.

Do the Calculation

The site's Quebec sales tax calculator calculates GST and QST on a given amount. For a lodging invoice, enter the taxable subtotal (the room rate, the lodging tax and any extras) and the receipt will show both taxes correctly. To work back from a displayed total to the starting price, use the reverse sales tax calculator.

Sources

Article provided for informational purposes, current with the rates in effect in 2026. CalculatriceTaxes.ca is an independent site, not affiliated with the Canada Revenue Agency or Revenu Québec.