IT MAY NOT BE TOO LATE;
Hello Ontario ,
This new RST/GST tax is not getting any coverage in the newspaper/television and I am not sure why. It is going to be the biggest tax increase in history. It’s like no one wants to inform us of the facts. I have been investigating and I would like to share my findings.
The new tax will be administered by the Federal Government. It will be based on the GST, that means if the tax is currently collected on the Goods and Service Tax at 5% it is going to be increased to 13%, that sounds fine as Ontario 's Provincial Retail Sales Tax is 8%. Add the two together and things seem fine.
One problem, Retail Sales Tax is not collected on everything that Goods and Services Tax is, the key word here is “Services”. Retail Sales Tax is not collected on services. What is going to increase?
Here is a small list of services currently only taxed at 5% going up to 13%.
Natural Gas bill
Gas at the pumps- That is like 7 cents per L., or, in English, 31 cents a gallon (that is a tax on top of a tax)
Massage therapy & Condo Maintenance Fees !
Anything that requires labour around your house- plumber, electrician, painting, grass cutting ext.
Electricity bill- This is a good one. Look at your electricity bill there is a charge on it for debt retirement charge. That is a charge for the huge debt the OPC ran up. Only in Ontario would we pay tax on a debt, and only in Ontario would we increase this tax.
This is just a small list as there is so much much more.
Let’s talk about small business for a minute.
Mr. Mcguinty tells us in the budget that this new tax is going to save mall businesses 500 million dollars. I do not know how much it costs to fill out a six line tax return monthly, but all small business owners I know do their own. If you are in business you will know about compensation on your Retail Sales Tax return. This is when you get to keep 5% of the tax collected up to $1,500.00 per year to help with your administration costs. That is gone once this tax is combined. Really it only helps large corporations with multiple vendor permit numbers, not small businesses.
Good news, I thought. There were two places where we were going to see an advantage to this tax. First there is no GST on used cars if bought privately and provincial tax on alcohol in between 10% to 12%. That is 2% to 4% higher than our normal Retail Sales Tax. Good old Mcguinty took care of that real quick. He is now saying to make it fair between used car lots, that he will collect the Retail Sales Tax on used cars still. Get ready for this one, he is going to add a levy on alcohol to promote social responsibility. This man is using the words social responsibility at the same time as he is raising our taxes, what he promised not to do.
Sending this could save you a lot of money over your lifetime. Please forward it to everyone in your contact list.
Stand up Ontario and tell him we cannot afford any more Mcguinty politics. No new taxes.
AND SIGN THE PETITION.