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Taxpayers federation likes HST over PST

Author: 2011/01/27
by Wayne Moore - Story: 59728
Castanet.net Kelowna
Jan 27, 2011 / 5:00 am

 

Given the choice, the Canadian Taxpayers Federation prefers the Harmonized Sales Tax (HST) over the Provincial Sales Tax (PST).

That's the message the federations B.C. Communications Director, Gregory Thomas, is hoping to get across to taxpayers as he tours across the province.

In September, voters in B.C. are scheduled to vote in a referendum asking if they want to repeal the HST and re-instate the PST.

Thomas says the Canadian Taxpayers Federation is urging B.C. residents to vote no in the referendum.

"The whole uprising against the HST was justified but the solution to go back to the PST is a terrible solution," says Thomas.

"If it comes to a vote on that people should vote no. That's the message we are trying to get out there. If you want to throw out the government and install a government that will give you a reasonable version of the HST then do it."

The PST was first introduced as the Social Services Tax in 1949. Thomas says a 'knee-jerk, lemming like rush back' would be a disaster.

"The PST is a horrible, horrible tax. It's way worse than the PST. It's a relic"

He says a tax like the PST would never be implemented in today's world.

"It's a 7% surcharge on operating in British Columbia as a business. You can't pass that cost on to your customer and recover it."

Thomas says the better solution is a more manageable HST, something in the neighbourhood of 10% (5% provincial and 5% federal).

He believes, like many, that the backlash against the HST has more to do with its implementation as it does about the tax itself.

Thomas says be feels the Fight HST campaign led by former premier Bill Vander Zalm underscores that.

He also says people are still upset about the tax even though phase two of the anti-HST campaign is not off to a very good start.

"With the recall, I think they are having a hard time connecting the dots. People have a separate opinion on the MLA, similar to the HST. They say there is going to be a by-election and is that going to fix the HST? No," says Thomas.

"People were ready to get rid of the premier though all of this and the caucus did it for them. I think people sense there is a solution and a remedy on its way but I don't think they see recall as that solution."

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