Shopping for groceries in Canada can be an overwhelming experience, especially when you’re trying to stretch your budget. But did you know that there are many grocery items you can purchase without paying taxes? That’s right—certain foods and beverages are considered “basic groceries” and are exempt from the Goods and Services Tax (GST) or the Harmonized Sales Tax (HST). This means you won’t see extra charges for these items at checkout, making it easier to keep your grocery bill lower.
While you may already be aware of some tax-free grocery items, you might be surprised by just how many foods and drinks fall into this category. Whether you’re trying to shop strategically or simply curious about which products won’t cost you extra at the register, here’s a detailed list of tax-free groceries in Canada.
Table of Contents
1. Fruits and Vegetables
All types of fruits and vegetables, whether fresh, frozen, canned, or vacuum-sealed, are tax-free in Canada. This includes popular choices like apples, carrots, potatoes, and leafy greens. Even mixed vegetable packs that are labeled for specific uses like “stir-fry” or “chop suey mix” are exempt from tax.
2. Meat
Fresh meats, poultry, and fish are tax-free. Whether you’re picking up chicken breasts, beef steak, or fresh fish fillets, these items will not have any GST or HST added to their price.
3. Dairy
Dairy products are generally exempt from taxes, including milk. This applies to all types of unflavoured white milk (whole, skim, and partially skimmed) in any package size. However, flavored milk products such as drinkable yogurt are only tax-free when they come in larger packaging (more than a single serving). Eggs are also tax-free in Canada.
4. Bread
Bread products are another category of tax-free groceries. This includes everyday breads such as bagels, croissants, English muffins, and even tortillas and pie crusts. However, bread with sweetened fillings or coatings does not qualify for this exemption.
5. Dough
All types of dough, such as pizza dough, puff pastry, cookie dough, and others, are tax-free in Canada. Whether you’re baking at home or buying pre-packaged dough for convenience, you won’t be charged extra taxes.
6. Crackers
Most crackers are tax-free, with a few exceptions. Salted crackers, soda crackers, rice crackers, and crispbreads all fall into the tax-free category. However, graham crackers are taxable. So, when you’re looking for a crunchy snack, be sure to check the label for tax-free options.
7. Cereal
Breakfast cereals, including granola, are tax-free in Canada. This also includes any cereal products that are labeled as such, even if they may look similar to taxable snack foods like cookie or candy-based cereals.
8. Baking Items
Many common baking ingredients are also exempt from taxes, including:
- Chocolate chips and baker’s chocolate
- Edible cake decorations (like sprinkles or fondant)
- Liquid chocolate icing
- Bulk industrial chocolate
9. Salads
While prepared salads that are mixed and ready to eat are taxable, ingredients sold separately for salad making—like lettuce, croutons, and dressings—are tax-free as long as they are not pre-mixed.
10. Frozen Pizza
Frozen pizzas are tax-free, as they require additional preparation before they can be consumed. While these pizzas are pre-packaged, they need to be cooked before eating, which makes them eligible for the tax exemption.
11. Frozen Sandwiches
Frozen sandwiches also fall into the tax-free category. These sandwiches are not considered ready-to-eat, as they require cooking or additional preparation, keeping them free from taxes.
12. Savoury Pies
Meat pies and other savory pies are tax-free, making them a budget-friendly option for those who enjoy these hearty meals.
13. Condiments
Common condiments such as ketchup, mustard, and relish are exempt from taxes at the grocery store, making it easy to stock up on essentials for your next meal.
14. Popcorn
Popcorn kernels, whether plain or flavored, are tax-free. So, if you’re looking to enjoy a movie-night snack without the extra cost, unpopped kernels are the way to go. Pre-popped popcorn is taxable, but kernels remain a tax-free option.
Inheritance Tax in Canada: Estate Taxes, Probate, and Capital Gains
Canada Capital Gains Tax 2025-2026: Major Changes, New Rates & What It Means for You
Vacant Home Tax in Toronto: 2025 Updates and Key Details
Smart Strategies to Avoid or Reduce Capital Gains Tax on Property in Canada 2025
15. Nuts and Seeds
Unsalted nuts and seeds are tax-free, unless they are mixed with other snacks or seasoned. If you buy plain, raw nuts or seeds, they won’t have any added taxes.
16. Coffee Beans
Coffee lovers can save money by purchasing coffee beans, which are tax-free. However, ground coffee is taxable, so grinding the beans yourself can be a simple way to avoid paying tax.
17. Bottled Water
Plain bottled water is tax-free in Canada, provided it comes in a package with two or more bottles or in a bottle larger than 600 millilitres. Additionally, syrups, crystals, and powders for making beverages (except for fruit-flavored ones) are also exempt from taxes.
18. Juice
Non-carbonated fruit juice with at least 25% natural fruit juice is tax-free, as long as it comes in a package larger than 600 millilitres or is sold in multiple small servings.
19. Cereal Bars
While most snack bars are taxable, cereal bars and muffin bars that come in boxes containing six or more bars are exempt from taxes. These bars often contain a mixture of cereals and other ingredients like honey or fruit, making them a great snack option without the extra cost.
20. Meal Replacement and Nutritional Supplement Bars
Bars that are considered meal replacements or nutritional supplements (including protein bars) are tax-free, except when sold from a vending machine.
By shopping strategically and taking advantage of tax-free groceries, you can save a significant amount of money on your grocery bill. Whether you’re stocking up on essentials like fresh fruits and vegetables, enjoying a snack of nuts and seeds, or preparing a hearty meal with meat and bread, Canada’s tax-free groceries offer an easy way to reduce your expenses without compromising on quality or nutrition. Keep these items in mind the next time you head to the grocery store, and happy shopping!
One thought on “Certain Groceries in Canada Are Tax-Free, Helping You Save Money”