July 23, 2010
Delta – Less than three weeks after the introduction of the HST in BC, consumers and businesses alike are reporting that the impact of the new tax is much worse than many thought it would be, says former BC Premier Bill Vander Zalm.
We are finding that the government has not been truthful with us about the HST yet again. The new tax actually amounts to more than 12% in some cases, because we have a tax on taxes,” said Vander Zalm, leader of the Fight HST petition to repeal the tax.
Vander Zalm says that anyone who has purchased an item with an eco fee or a deposit fee will notice the HST is applied on top of those other taxes. “The same problem occurs with the Parking Sales Tax – 12% HST is added on the 21% parking tax for a total of 35.2% in tax. It is outrageous!”
Vander Zalm says many parking vendors, as well as other businesses, have used the HST as an opportunity to increase the cost of goods at the same time. “Many have noticed that parking charges were also raised along with the new tax. In some cases parking fees went from $ 6.50 per hour to $ 10.00 per hour.”
“But it’s not just parking garages. Some grocery items not subject to the HST went up as well. Our friend took their youngest son to the barber last week. Before the HST he charged $10, but after HST the haircut became $15 including the HST.”
Vander Zalm says that same barber would only cut hair for cash, and would not issue receipts. In some cases, people have reported being charged GST, PST and HST on the same bill. “My drycleaner tells me he is being hit twice – first with an eco fee and now the HST on his dry cleaning service. He says customers will now go without in order to save money they must pay elsewhere.”
Vander Zalm says the government has done an abysmal job of informing business on how and what to charge the HST on. He says it has given a lot of people a great excuse to up prices, and to overcharge on the tax.
Vander Zalm says he has received numerous emails from British Columbians complaining about the tax:
A Kamloops man was told he would not have to pay any HST on the purchase of a new home he was having built because it was under the $520K threshold. But then his builder told him he had to pay an additional $23,000 up front until he received his “rebate” from the government on his taxes a year from now. “I don’t have that kind of money lying around. I will have to borrow it from a bank at interest. So much for HST not affecting a new home under $520K!”
A Vancouver man says his wife bought a package of “Huggies” diapers and was charged .80 cents HST. “Wasn’t that the same product the Finance Minister was holding up on TV saying there would be no HST? Either Safeway doesn’t know what they are doing, or Hansen, or both. What a fiasco!”
A furious accountant recently found out when he went to sell his boat that instead of the buyer having to pay only 5% GST, they now had to pay 12% under a “new” provincial tax called the TDP which was implemented to compete with the HST. “The buyer refused to pay the additional 7%, so guess who had to eat that?!”
A North Vancouver woman who runs a child care centre got a huge shock when she went to pay the rent on her business. The commercial lease increased by $691 per month due to HST. “This will put me in dire straits if I don’t pass the cost on to my clients. People are already struggling, and now to hit them with this, just after the government voted themselves a raise! Enough is enough!”
A Fishing Charter company in Mission says business is down significantly over last year as consumers have less disposable income as a result of the HST. He says costs are also up, making the HST a double whammy for him. “Instead of coming out of a recession, the government is making it worse with the HST. This is going to kill my business. I hope they all rot in hell with the other dictators in history.”
A businesswoman put an offer on a C11 zoned house to use as a building for her business. Then she found out that another $40,800 in HST would be applied to the sale because the tenants are paying more than $20 per day each for the two suites. As the building has no revenues, she has no way of getting the tax back. “I cancelled the deal. The HST cost me my location, cost both realtors their commissions and cost the vendor his sale. What a great way to stifle economic growth!”
A manufacturer of automatic gates says the HST has been responsible for several sales cancellations and is doing irreparable harm to his company. “They have started another tax cheating society such like we see in third world countries where bribes and cheating on taxes is the norm.”
A customer at a Mac’s convenience store in Salmon Arm was charged $2.33 for a magazine listed at $1.99 before taxes. On the receipt it listed the taxes at 12% “PST” plus 5% “GST” for a total of 17% in sales taxes. “Even some large chains haven’t figured out what they are supposed to charge in taxes. It is a total mess and a total rip off!”
Vander Zalm points out that even a soothing, stress preventing cup of coffee at Starbucks that used to be $1.69 is now $ 2.00 including the HST. “The price just went up and so far nothing has come down, not even the price of a ton of coal or a barrel of oil,” said Vander Zalm. “So far we have only seen price increases but no price decreases. The Minister of Finance admitted that the Aluminum Company in northern B.C., this year alone, would benefit to the tune of $70 million. But don’t hold your breath waiting for the price of aluminum to come down.”
Vander Zalm says citizens have called to tell him that when they complained too many time to the government about the HST, they were blocked as “spam” by the Finance Ministers email.
“He doesn’t want to hear the complaints. He won’t hear them. This government has shut its ears and its mind to the people. Now, they are spending millions on radio ads, and a mail out to all BC households! They are drunk with power. It is total madness, and British Columbians are being asked to pay the price for it all.”
Vander Zalm says early reports on the petition signature validation have been positive, and he is hopeful both the petition and the court challenge will have positive results, forcing the government to reverse course on the HST, saving BC from its long term negative consequences.
“We are going to keep fighting until the tax is gone. We’ll do it with the petition, or the court challenge, or if necessary, Recalls. But we won’t stop until they cancel this hated sales tax,” promised Vander Zalm.
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They were elected in good faith by the people of BC and promptly betrayed that trust with the Carbon Tax and HST. To quote an old song, “We won’t get fooled again!”
i am not surprise at what our govt. is doing isn`t this a communist province anyway . Where what the people say means nothing and the govt tells the people how things are while getting rich off the poor the old the sick , children, and lining their pockets on the way till they leave and we the people suffer with their @#$% . So we the people of B.C. have given our view on H.S.T . and we do`nt want it . As the Govt of the people you should have no other thought as to why you should not have put in it
place. But you did and it shows what you think of the people of B.C. that you work for and should care about.
But you do not .
Government, is no longer about, what is good for the people, the provinces, nor the country. I’s all about corruption and greed. I watched the Federal House on TV. The entire House, passed a motion to give, banks, large corporations, gas and oil companies, millions of our tax dollars. They also get huge tax reductions, and still their greed is a bottomless pit, they want the HST as well, and, even have the gall, to take their greed to court. BC people got a double hit. The provincial budget , really nailed us, and, in combination with the HST, we are left without enough money to live on. Campbell, Hansen and the liberals, are the worst government, in the history of Canada. They have put this province, in the billions of debt. Campbell, has destroyed the industry of central and northern BC. He has cost our mill people, 30.000 jobs. Every time Campbell closes a mill in BC, another mill opens in China, they also get our raw logs. The catalyst mill in, Campbell River, is being closed, China wants that mill too. China, owns a large chunk of, the dirty tar sands, in Alberta. Because, the F.N. People did not want the Enbridge pipeline, coming into the Port of Kitimat, over their rivers and land, because, pipelines leak. He is now going to, have the CN Railroad, bring the dirty oil sands from Alberta, in huge tanker, freight cars. Most of my brothers, at one time worked for the CN Railroad. My one brother worked, in the dangerous commodities department. He had to go out, to the train wrecks, and take care of the toxic spills. If a train derails, and spills all of that dirty oil, will get into the rivers, streams and will poison the land. And, I am here to tell you, this has happened many times. Anyway, I thought, the F.N. People, refused to have, China’s dirty oil tankers, in their, pristine coastal waters. The dreadful spills, into the Gulf, and the spill into a Michigan river, hasn’t taught, that idiot of a Campbell, a dam thing. He is so rabid for money, to pay for all the billions of his debt, he will pollute this province, completely, to get that money. We have to get rid of him now. By fall, he will have enough time for, his other polluting ventures, and their are more.
So far this month, the HST has cost me $58.50. I was shocked at the food costs, groceries, went way up just before the HST, came in. From what I can understand, some of the big chain store managers, were sent a 35 page pamphlet, on what to charge, what goods., for the HST. The store managers are angry, the customers are furious, the HST mess, is a total disaster. Instead of big business, lowering their prices, everything has gone up. I have found, not one saving penny, from any business. Rents went up, insurances went up, condo fees, trailer park fees, gasoline. Everything went up. So between the unreasonable, provincial budget taxes and the HST, I am buying from the underground. Next winter, is when the crunch will really hit us. In the north, heating bills, can be from, $350.00, to $450.00 per month. With no jobs, many people will lose their homes, or be evicted from their rentals. We have to be rid of Campbell and his Liberal Party, now. Not one of the Liberal ministers, would be any good. I have lost count, of, how many ministers, have been under investigation. We need someone to clean this mess up, before winter hits. There are rumors of another recession, on the way. I hope that isn’t true. Europe, is still floundering, likewise Britain, South America, Asia, with only China intact. Who knows, what in the hell will happen, especially with Campbell and Harper.
DOWN WITH THIS STUPID TAX! It benefits only the corporate elite and the Liberal scum in power. I cringe everytime I hear the stupid radio ads paid for by the BC Government (with OUR MONEY) praising the awesome benefits of HST. YUCK. I turn off the radio in my car everytime I hear that stupid ad. I hope the court challenge is successful, and we can be rid of this EVIL tax that has no benefit at all for the common wage earner.
I can see that there are some benefits to the HST, but I am particularly disgusted by 3 new and improved BC tax grabs (and that’s not all that is wrong with the HST):
1) The $1,000.00 PST credit for fuel efficient cars has disappeared under HST – if it was right to help the environment under PST, what has the environment done to be so slighted by the HST?
2) As BC residents we have always chafed under the PST tax that applies to every successive resale of a BC vehicle. In the process, the province could collect more tax on a vehicle than the vehicle was worth new. GST never applied to private sales. Now they have done one better, now even private sales attract the full HST rate of 12%. When is enough ever enough for these robbers in Victoria. It is time to mount a concerted anti-tax revolt. No goods should ever be taxed more than once, ever. The sales tax on any re-sales of vehicles should be eliminated altogether
3) Applying the full HST to home purchases is hugely punitive. The GST was bad enough. The tax credit that is available to some British Columbians is much less that the earlier GST credits. And of course, it is only available to some British Columbians. When is enough enough on the biggest ticket purchase we ever make.
It is time for taxpayers to rise up. Either the Liberals clean up the HST in consultation with BC taxpayers, or we should throw the gang out.