I Did Not Stay Extra Time in Nova Scotia Because of 15% HST
I was in Nova Scotia for the Canadian Bar Association convention in Halifax. I could have stayed an extra few days to enjoy the scenery and experience a "vacation". However, after days of seeing 15% HST charged on my bills, I decided to go home to Ontario. I admit it, I was turned off by the higher HST rate. I knew that many goods and services are less expensive in Nova Scotia, the higher tax rate still affected my decision - rightly or wrongly.
I went into the Baton Rouge restaurant on a Monday night at 8:30 PM and it was virtually empty. It was almost empty on a nice night in the summer. This is a symptom of a bigger problem.
When I purchased goods in Nova Scotia, it bought things that I could not find in Ontario. I bought super seven crystal (and other hard to find crystals) at Little Mysteries bookstore. I bought a Buddha Board (I love this purchase) at a neat little store on Grafton. I did not buy clothes or goods that could be purchased at home.
Why am I writing this on my blog? Someone needs to provide evidence that the higher HST rate affects decisions. Nova Scotians commented to me that the economy is struggling in Nova Scotia and the recent times have been difficult for people.
Nova Scotians - please provide comments so that your storied (good and bad) are available for your elected representatives to read. Please use clean language as I do not publish words that I would not say to my Grandmother.
Cyndee Todgham Cherniak is the founding lawyer of LexSage, a boutique international trade law and sales tax firm in Toronto,
I see this whenever friends and family visit me in Ontario, too. My hometown in Ohio has a sales tax of 7%, with no additional federal or state sales taxes on top of that. When visitors here get get hit with the 13% HST, and no refund at the border on the PST as they used to, they buy as little as possible, and leave a few days sooner than previously -- and this is especially so when coupled with how high prices for most things are in Ontario compared to the US (on just about everything, even on goods made in Canada). I can only imagine it's worse in those provinces which not only have high PST rates, but charge the PST portion of their sales taxes on the goods plus the GST, not just on the original value of the goods.
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