Letters & Editorials
HST to benefit business
Surrey Leader - June 04, 2010
Something seems to have been lost in the conversation around the HST: The facts.
On July 1, every small business in B.C. will see an immediate seven-per-cent saving in the cost of doing business. That’s a saving that B.C. businesses can either pass on to consumers like you and me or reinvest in their businesses to help grow the B.C. economy and drive our province out of the global recession. Either way the HST is a win for the people of B.C.
Small businesses have long been able to claim back the five-per-cent GST they pay on the things they need to run their businesses. But they have never been able to claim back the seven-per-cent PST they pay, leaving them no choice but to pass along that seven per cent on to consumers. The HST finally corrects this situation.
B.C.’s small businesses will soon be able to claim back the full 12 per cent they pay in sales taxes on the things they need to run their businesses. These are the same small businesses that employ most of the people in this province; the same small businesses owned and operated by your friends, your neighbours and your family members.
The HST cost savings will apply to practically everything a business needs to function. The list, for anyone who bothers to seek it out, is extensive and includes everything from office furniture, software, vehicles, computers and machinery to office supplies, business travel costs, legal fees, advertising, phones, cellphones, energy and packaging costs.
The HST is going to give B.C.’s small businesses a seven-per-cent shot in the arm, and the resulting lower prices, increased investment, increased competitiveness, new jobs and other positive benefits will revitalize the B.C. economy.
These are the facts about the HST that have somehow been lost in the conversation.
Donald Leung
Burnaby
