Banking and Taxes

Moving to a new country means learning about a new monetary system. A currency converter is an excellent tool to aid you in the transition to the Canadian dollar. There are many currency converters available online including the Universal Currency Converter.

Banking

St. John's has multiple financial institutions such as banks, trust companies and credit unions. Many employers need you to have a bank account to directly deposit your pay. You will need two pieces of identification to open a bank account. All banks are government registered to ensure they adhere to strict regulations and policies.

A newcomer should assess his or her financial situation and discuss banking options with various banking service providers to find the bank that best meets their needs. Several of the larger banking institutions have branches in downtown St. John's. These are accessible via Metrobus routes (public transit).

Hours

Most banks in St. John's operate from Monday to Friday and are closed on weekends and on major holidays. The usual hours of operation run from 10 a.m. to 5 p.m., but several institutions offer extended hours and weekend services. For further information on banking in Canada contact the Canadian Bankers Association.

ATMs

St. John's has many Automated Teller Machines (ATMs) located throughout the city. ATMs allow you to access your bank account at your convenience. Banks may charge a processing fee. Usually signs on properties say 'ATM inside'.

Taxes

Residents of Canada must pay federal, provincial and municipal taxes. Taxes help fund the cost of government services. Here are some of the taxes that you can expect to pay while living in Newfoundland and Labrador.

Income Tax

All Canadian residents who are old enough to work must, by law, file an income tax return even if you have not earned money. If you are working for an employer, a percentage of your pay cheque will go to the federal government to cover the income tax that you owe. You will receive a refund when you submit your income tax return if you paid too much. If you have paid too little, you must submit additional payment. Taxes help fund the cost of government services. For further information on income tax visit the Canada Revenue Agency website.

Harmonized Goods and Services Tax (HST)

The HST is a tax that you pay when you buy goods and services in Newfoundland and Labrador. It is automatically added to the price of the item at the checkout. Please keep this in mind when you look at the price tag of an item. HST is added to the price tag amount. The HST rate in Newfoundland & Labrador is 15%.

Property Taxes

If you own property in the City of St. John's, you will have to pay property taxes to the municipal government. The City uses taxes to fund services such as water, sewage, snow clearing, waste collection and recycling.