As of October 17, 2026, Manitoba’s general retail sales tax (RST) rate remains 7%; it has not been abolished. GST is a separate federal tax. Effective July 1, 2026, an expanded exemption applies to specified food and beverages for human consumption, subject to statutory exceptions. Manitoba RST; provincial food notice.
Where the Rumour Came From
Manitoba’s Budget Implementation and Tax Statutes Amendment Act, 2026 received royal assent on June 1, 2026. The relevant retail-sales-tax provisions took effect July 1, 2026. The food change did not abolish the 7% general RST. Manitoba statute.
One more terminology note: Manitoba’s provincial sales tax is legally called the Retail Sales Tax (RST). “PST” is the informal, everyday name people use for the same tax — the two terms refer to the same 7% charge, they’re just different labels.
What Actually Changed on July 1, 2026
The expanded exemption includes listed ready-to-eat foods, certain snacks and beverages. The law excludes purchases in specified venues, including restaurants, vending machines, certain event and sporting facilities, and catering contracts; a separately paid restaurant area within a store can also be treated differently. Manitoba Act, food exemption; food and beverage notice.
- Ready-to-eat prepared food: self-serve sandwiches, pre-made salads, soups, rotisserie chicken and samosas
- Party platters: sushi trays, cold cut platters, fruit and cheese arrangements
- Snack foods: chips, pretzels, cheese puffs, salted nuts, trail mix
- Confectionery: candy, chocolate bars, chewing gum
- Single-serving baked goods, and beverages including carbonated drinks; specified non-carbonated fruit and fruit-and-vegetable drinks, some with less than 25% fruit juice; spring water, drinkable yoghurt and chocolate milk; qualifying sports, energy and protein drinks without a Health Canada natural health product licence; and de-alcoholized beer and wine containing 1% alcohol by volume or less
Manitoba’s notice says beverages with more than 1% alcohol, certain licensed dietary supplements, and pet food remain taxable. Non-food goods can also be taxable. Whether an item is exempt from Manitoba RST does not by itself determine its GST treatment; check the federal rules separately. Manitoba food notice.
Manitoba’s Rates in 2026
| Rate | Administered by | |
|---|---|---|
| Manitoba RST (PST) | 7% | Manitoba Finance |
| Federal GST | 5% | Canada Revenue Agency |
| Combined | 12% | Two separate filings |
Manitoba is not an HST province — RST and GST are two separate taxes, filed to two separate agencies, and registering for GST with the CRA does not register you for Manitoba RST. On a $1,000 fully taxable sale: $50 GST + $70 RST = $1,120 total.
What This Means for Your Business
Manitoba RST registration and federal GST/HST registration are separate decisions. Manitoba allows a small-business registration exception for certain vendors with annual taxable sales under $30,000, but the notice lists exceptions; check the actual business, purchases and sales. Manitoba small-business notice.
Does the food change end Manitoba RST?
Manitoba continues to list the general RST rate at 7%. The July 2026 exemption changed the treatment of qualifying food and beverages; it did not remove all provincial retail sales tax. Future policy is uncertain. Manitoba current RST guidance.
Unlike federal GST, RST paid on most day-to-day business purchases — office equipment, software licences, supplies — is generally not recoverable as an input tax credit. There’s no equivalent ITC mechanism for RST the way there is for GST/HST; for a registered business, RST paid on operating costs is usually just an expense, unless a specific resale or manufacturing exemption applies. That’s a real difference from how GST/HST works, and it catches out business owners who assume every sales tax they pay is recoverable.
This is general information, not tax advice. Rates and exemptions can change; confirm current rules with Manitoba Finance before filing.
Related guides
Sources
Sources checked October 17, 2026.