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Writer's pictureDan Cearns

Federal government introduces legislation for a holiday GST/HST break


DAN CEARNS The Standard


DURHAM/KAWARTHA LAKES: The Canadian government is introducing legislation which, if passed, gives residents a two month Goods and Services Tax/Harmonized Sales Tax (GST/HST) break, for certain items, ahead of the holiday season.

The announcement was made at a press conference, by federal government officials, on Thursday, November 21st.

“As the holidays approach, families, especially parents, are particularly worried. Canadians have been through a lot. They work hard and we see that,” Prime Minister Justin Trudeau said. “Now, we’re going to be able to give a tax break for all Canadians. For two months, starting December 14th, we’re going to remove the GST/HST from groceries, 100 percent of groceries. We’re going to remove the GST from restaurant meals, takeouts and fast food. Removing the GST from beer and wine. Removing the GST for essentials like [children’s] clothing, footwear, diapers and toys.”

Federal officials estimate this will provide a total of “$1.6 billion in federal tax relief.” Other qualifying items include: car seats for children, print newspapers, printed books, Christmas trees, select children’s toys, and video games consoles and the games themselves.

“This is really about saying to Canadians ‘things have been hard. They are getting better.’ Our economy really looks like it is having a soft landing from the COVID-19 recession. This is about making life a little bit easier because we have the space now,” Finance Minister Chrystia Freeland explained.

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