TORONTO, Ont. – For those who still have questions about the HST, or are confused as to how it will help, the Ontario Minister of Revenue had some answers.
John Wilkinson said that despite the higher costs for certain goods and services, the money from paying the tax will serve to help businesses almost immediately, and the average taxpayer will start to see the benefits in approximately a year’s time.
“Ontario now has the lowest personal income tax rate on the first $37,000 of income of any province in the country,” he told 680News.
Furthermore, he says that concerns of consumers will be addressed by most companies.
“The cost of business has gone down for every business in Ontario. Businesses who understand that will always provide their customers here in Ontario with the best value.”
The HST was also implemented in British Columbia, but at a lower rate of 12 percent.
Another notable difference is that B.C. residents will not have to pay HST on gasoline purchases, as they already pay a Carbon Tax.
“What we decided in Ontario is to apply the HST to all energy, … taking all of that money and permanently cutting people’s income taxes,” Wilkinson explained.
The HST is a part of Ontario’s largest tax reform in over 40 years.