Tax hike is here


Today, people in Ontario and British Columbia must learn to deal with a new and incredibly bad tax increase. This new HST (Harmonized Sales Tax) will make basic expenses like gasoline, home heating and many other things 8% more expensive. This comes at possibly the worst time (not that there is ever a good time for a new tax) because the economy is trying to recover and this can derail that and possibly set Canada on the opposite path.

For some reason, Ontarians re-elected Premier Dalton McGuinty in the last provincial election and he is responsible for Ontario having the HST now. There were two main reasons why he was re-elected: 1) his main competitor at the time, John Tory, ran a dumb campaign by wanting to extend public funding to faith-based schools. Tory basically shot himself in the foot. 2) Canadians and definitely Ontarians, are completely indifferent and ignorant to local politics. Many Ontarians and Canadians know more about American politics than they do Canadian or provincial politics. This helped the incumbent because, although McGuinty did a crummy job before the election, Ontarians were not aware of it and just went with the devil they knew. I am not saying this stuff because I support his challenger (I don’t even know who that would be at the moment), I am just shedding light on how we came to this point so we can hopefully learn from our mistakes.

Unless McGuinty lucks out with another incompetent challenger in the next election, Ontarians will likely not re-elect him because no matter how ignorant they may be to local politics, they will definitely feel the pinch of this new tax. Gas prices went up $0.08 cents a litre in Toronto overnight, completely as a result of this new tax. It now seems unlikely that we will experience times with below $1.00 gas prices in the Greater Toronto Area in the future. Buying a house will now be needlessly more expensive than it has to be and that doesn’t even take in to account the maintenance of that house, which is also more expensive now.

In B.C., about 700,000 people signed a petition to try to overturn this tax. I wish Ontario did something like this as well, although I don’t think it will work. People should voice their disgust with this new tax and call their elected representatives and the Premiers office. I don’t think that your complaints will overturn the tax but, perhaps they will insert some more cuts somewhere and it will also send them a message that the clock is ticking on their jobs because no one wants to vote for someone that was responsible for such an awful tax increase and the potential unwinding of an economic recovery.

Feel free to post a comment below with your complaints on this HST disaster.