To HST or not to HST? That is BC’s question.
BC HST Referendum Ballots are being mailed out by Elections BC, beginning June 13, 2011. The deadline is July 22, 2011. The referendum question will be:
“Are you in favour of extinguishing the HST (Harmonized Sales Tax) and reinstating the PST (Provincial Sales Tax) in conjunction with the GST (Goods and Services Tax)? Yes/ No.”
If the referendum passes, BC will return to having a 5% GST and 7 % PST. The exact process for changing back has not been announced. In an effort to keep the HST, the BC government promises a reduction of 2% in the HST rate, from 12% to 11% in July 2012 and further down to 10% in July 2014.
What do we think? We’ve often said that we are only in this business thanks to the government – as long as they keep things complex, obtuse, and ever-changing, our services are needed.