The purpose of an HLT is to free up your boil kettle so you can run directly from the MLT into the kettle.
You need an HLT large enough to hold your entire sparge volume. It is possible to get away with less..but, it's a big pain...and mostly defeats the purpose.
The minimum practical size of an HLT is your finished batch volume. So, if you make 5 gallon batches at a minimum you need a 5 gallon HLT. For high gravity beers 2x batch size is a better number.