According to local Fight the HST organizer Eric Freeston, it is completely unfair that B.C. taxpayers have to pay back the $ 1.6 billion HST transition money without it being prorated.
“What’s going on right now is as long as the HST is in place, the federal government is going to continue to collect revenue and it’s going to be in the hundreds of millions of dollars by the time they’ve got rid of the HST,” Freeston says, adding the collection of the HST is a windfall for the federal government.
Responding to Freeston’s comments, a Ministry of Finance spokesperson says the province receives the revenues from the provincial portion of the HST, which is seven per cent, not the federal government.
“While the federal government collects the entire 12 per cent HST, it only keeps the five per cent federal portion — formerly called the GST. The provincial portion is paid to BC based on the revenue allocation framework set out in the sales tax harmonization agreement between BC and the federal government.”
See Tuesday’s Tribune for full story.
