Retail Council of Canada Responds to GST and HST Relief Announcement

Retail Council of Canada (RCC) welcomes today’s sales tax relief announcement from the federal government. The removal of GST and HST on a sizeable list of goods will create major tax savings for Canadians, along with economic stimulus for our industry, both in the holiday season and in the first six weeks of the new year, which is typically the slowest period of the year for retail.

While we would have preferred to see a broader range of goods included in the tax relief measures, having more money overall in consumers’ wallets should also benefit sellers of other goods not captured in today’s announcement.

RCC understands that federal-provincial discussions have taken place with the non-harmonized provinces with their own provincial sales taxes (British Columbia, Saskatchewan, Manitoba and Quebec).  Retailers are asking that these provinces follow suit with today’s announcement so that full tax relief on these goods can benefit Canadians nationwide.

And if we have one further ask on our “Santa’s List”, it is that the parties come to a swift settlement in the Canada Post strike, so that purchases incentivized by this new measure can be delivered on time and Canada-wide ensuring a smooth and efficient holiday season both for retailers and consumers.

For more information, contact Matt Poirier, VP Federal Government Relations, RCC at mpoirier@retailcouncil.org.