Canadians :HST , Whats in it for the Govt

I could have sworn there was a HST thread somewhere, but the search function shows no such beast.

Anyhoo, Harmonized sorta probably means that the Fed 7 percent and the Ontario 8 percent will get merged and the Ontario web site gushes on how it will be good for all of us.

Finally someone thought of the children.

But really , um, whats in it for the two entities known as the govt

Declan

Previous thread on topic: What is Harmonized Sales Tax?

Here’s what I said in that thread:

Like so many things in life, the answer is money!

HST will now be payable on every home sold in Canada. Think about that for a moment. Remembering that houses often cost in excess of $100,000 it’s a lot of money for the government.

Why aren’t Canadians demanding change? They got it pretty good, don’t want to make a fuss, and the alternative parties are just as bad as this one, it never produces any change.

Wait, what? They’re going to do HST all over Canada? What about provinces that don’t have a provincial sales tax, like Alberta?

It’s not universal. It can’t be since it requires a harmonization with a province. Heck, Alberta already has HST, since HST = GTS + Prov. Sales Tax. :wink:

As others have said, not all provinces have or will have HST, at least in the near future. Also, I believe that HST only applies to the sale of new homes, not the sale of existing homes.

So the Tor Sun says stuff is going to go up in price , while somethings should either remain as is, price wise, or even go down. Since so many more things are going to be coming under the tax umbrella that were not covered previously, would’nt it have been better to drop the provincial tax down to 5 percent with the GST merger.

Ontario is going to be running deficits for a few years , but eventually Im not sure I would be comfortable with that kind of money coming in to Govt coffers, when the economy starts picking up again.

Declan

I knew it was going to be more money, no govt screws with the tax system unless it returns more money than the old way of doing things, or simplifies existing taxes,so that people who avoid paying taxes will start remitting.

As for the HST being payable on new housing, was this not true of the GST? or was there an exemption.

Declan