On July 1, B.C. and Ontario will merge their provincial sales tax (PST) with the federal Goods and Services Tax (GST) creating a single harmonized sales tax (HST) — 12% in B.C. and 13% in Ontario. Unfortunately, the prospect of harmonization has been met with public discontent due to misinformation being spread by those who oppose the reform and want to derail it. Canadians mustn’t believe the anti-HST hype. The economic case for the HST is ironclad.Read more at the National Post.
Monday, July 05, 2010
HST is not Bad
I have written a post in the past attacking the HST. Now to be honest, I we know there are going to be some increases in taxes on specific items. However, after reading a article in the National Post I have to say convinced me that the HST will help economic growth and revenue. The PST places taxes on companies for manufacturing the product. This extra cost to the company increases prices. Thus, the burden goes to the consumer. With the HST, the PST will not exist, so the extra taxes will cease to exist, and will cause the company to reduce prices, hire more workers and make it cheaper to expand to other places. This is a good thing. I want the Quebec to implement the HST so that Quebecers can enjoy the benefits too. The rest of the country should too join the three Atlantic, British Columbia and Ontario.