Government of Nova
gov.ns.caGovernment of Nova Scotia Nova Scotia, Canada
Municipal Affairs
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Municipal and Villages HST Offset Grant

The Harmonized Sales Tax (HST) Offset Grant helps municipalities and villages deal with the effects of the increased costs for services as a result of the implementation of the HST. Each year, the Department of Municipal Affairs distributes $6 million to municipalities and villages through this program. The funding for the grant comes from part of the Nova Scotia Power Incorporated $34.6 million annual payment to the province in lieu of property taxes.

In order to receive the grant, municipalities must submit a form to the Union of Nova Scotia Municipalities (UNSM) for calculation of their HST Offset Grant. This form is then submitted to the Department of Municipal Affairs who audits the forms and calculates each HST grant allocation.

Grant Calculation

For Municipalities: The HST Grant for each municipality is allocated on the basis of the municipality's share of its federal portion of the HST. It is calculated by dividing the total rebate amount per municipality by the total rebates for all municipalities and multiplying that by $6 million.

For villages: Villages receive a grant equal to the average of all HST Offset allocations paid to municipalities.

How to Apply

Municipalities must submit a form to the UNSM by March 15th for the calculation of their portion of the HST Offset grant. For information regarding the deadline of forms to the UNSM, please contact UNSM directly.

Villages must complete the forms sent by the Department of Municipal Affairs in May of each year, and return to the Department of Municipal Affairs by August 31st in order to be eligible to receive the HST Offset Grant.