The Ontario Liberal Government has recently hinted that the province will combine the five per cent federal goods and services tax with the province's eight per cent sales tax.
This decision was made after consulting business groups, and it is clear that the “harmonization” of PST and GST will directly benefit corporations who will gain massive tax cuts and reduced production costs through refunds for the provincial portion of taxes paid for equipment and materials.
While companies will save an estimated $100 million per year, this merging will negatively impact middle and low income people, and will disproportionately impact women and parents. The price of several household products that are currently exempted from the PST will rise, such as baby food and formula, diapers, shoes, and vitamins and medicine.
It is also unclear as to how Fist Nations will be impacted by this decision, since they are currently exempted from paying PST where sales take place on reserve land.
Instead of getting people what they need and financially supporting the people with the lowest income levels in the province in the midst of an economic crisis, yet again the government will be making tax breaks for the rich. We didn’t create the economic crisis and we should not have to pay for it!
The decision to harmonize GST and PST could happen as early as tomorrow!
CONTACT your local representatives, the Premier of Ontario and the Federal Finance Minister NOW to let them know that YOU DO NOT SUPPORT THE HARMONIZATION OF PST AND GST!
Premier Dalton McGuinty – 1-416-325-1941
Finance Minister Jim Flaherty – 1- 613- 992-6344
Peterborough MPP Jeff Leal – 705-742-3777
FIGHT TO WIN!