Harmonized Sales Tax (HST) to boost investment, job creation

On July 23, the Provincial Government announced its plans to harmonize the 7% BC Provincial Sales Tax (PST) with the 5% Goods and Services Tax (GST), effective July 1, 2010, to boost new business investment, improve productivity, enhance economic growth and create jobs.  As a result, by combining the 7% PST with the 5% GST, BC will have the lowest Harmonized Sales Tax (HST) in Canada, with a single sales tax rate of 12%. All other provinces with an HST, and the one proposed by Ontario, have a rate of 13%. Click here for the full Provincial press release.

The BC Chamber supports the announcement by the Provincial and Federal Governments on account of the profound benefit HST will bring to the economy as a whole. Click here for the full BC Chamber press release.

The BC Chamber also recognizes that some sectors, particularly those who have direct interface with the end customer, will be negatively impacted by the change and notes that every effort must be made to work with these sectors to find solutions to address the challenge.

The Whistler Chamber of Commerce acknowledges the BC Chamber’s position, as well as the challenges that will be faced by many of Whistler’s businesses in the tourism industry.  It plans to stay abreast of the first round of lobbying currently underway with Government Ministries and, with its Resort partners, will decide on appropriate next steps in the coming weeks.