In Ontario, while the Harmonized Sales Tax (HST) is generally 13%, certain essential items are either "Zero-Rated" (0% tax) or "Exempt." Essential basic groceries—such as milk, bread, vegetables, farm-gate eggs, and raw meat—are not taxed. However, "prepared" foods like rotisserie chickens, snacks, or sodas are taxed. Other tax-exempt items include prescription drugs, insulin, and medical devices like hearing aids. A significant "Point-of-Sale Rebate" exists for specific items where you only pay the 5% federal portion of the tax instead of the full 13%; these include children's clothing and footwear, children's diapers, books (including audiobooks), and feminine hygiene products. Additionally, long-term residential rents and most health/dental services provided by licensed physicians are exempt from HST. In 2026, the Ontario government continues to use these exemptions to mitigate the cost of living for families and low-income households.