HST scrapped by 55 percent of voters
By Mona Mattei
The Province of B.C. heard from 1.6 million voters that the Harmonized Sales Tax (HST) must go. Nearly 55 percent chose to scrap the HST, and the provincial government is returning B.C. taxes to where they were one year ago. Following the results announcement, released this morning from Elections B.C., Finance Minister Kevin Falcon said that the provincial sales tax (PST) will be reinstated at seven percent with all the permanent PST exemptions and added that they will be streamlining the tax process. The transition back to the PST will take at least 18 months and during this time the provincial portion of the HST will remain at seven percent, and the federal government will be re-paid about $1.6 billion. “British Columbians have made their choice and we will honour that decision,” said Falcon. “Now more than ever, government must provide…economic stability and focus our attention toward growing our economy to create jobs and balancing our budget in a time of global economic uncertainty.” Falcon went on to assure citizens that the PST will not be applied to restaurant meals, haircuts, bikes and gym memberships – just as it was before the HST was introduced. The results of the HST referendum, were a win for democratic process according to Bill Vander Zalm, past-premier and lead campaigner for FightHST, as well as New Democratic Party Leader Adrian Dix. “Today, we have the results of the people’s referendum on the HST. It is a victory for fairness,” said Dix. “For a decade, the Liberal Party has shifted the tax burden onto B.C. families. A return to the PST will be good for communities, good for families and good for small business. It will make life a little bit more affordable for working families. It will also ensure that British Columbia has control over its sales tax policy, now and in the future. And it is a victory for democracy. The people of B.C. sent a clear message to the government – that our voices must be heard and our democratic rights respected.” The campaign against the HST implementation has taken two years and hundreds of volunteers to succeed. Vander Zalm spoke to supporters outside the Vancouver Courthouse today to celebrate the victory. “This is a historic day not only in our province but in our country. It’s the first time in the history of the British Commonwealth that the people actually had a say in how they are taxed,” Vander Zalm commented. “More importantly, I think it sent a message to politicians throughout our country… that they can’t simply do things because it’s the will of the premier or the party, that they have to – in fact, on an issue as big as they see it here – they have to consult the people.” The defeat of the HST was also supported by taxpayer watchdogs across the country. “The HST vote proves how powerful direct democracy really is,” said Jordan Bateman, B.C. director of the Canadian Taxpayers Federation. “Citizens do not want to be spectators in the political process. We want our voice to be heard, and this summer, it was—loud and clear.” The Canadian Taxpayers Federation has long advocated for ballot measures like the HST vote. “Nothing holds politicians to account like citizen involvement,” said Bateman. “The Canadian Taxpayers Federation hopes this referendum becomes a model for other provinces to put difficult issues to the public for their opinion.”
Meanwhile, the province now starts the work to bring the PST back. The Ministry of Finance will take on the task for re-establishing its capacity to administer the tax, re-register about 100,000 businesses and educate them on processes, and provide support for the changeover for small businesses to start collecting the provincial tax.
Regional Votes:
The Boundary – Similkameen voted: 59.48 % Yes and 40.52 % No
Kootenay West voted: 69.62 % Yes and 30.38 % No
Kootenay East voted: 60.87 % Yes and 39.13 % No
Link:
Comments