G.S.T. Cut Ineffective


FiveParadox
Liberal
#1
This is an excerpt from the Blog at the Liberal Party Web site.

Quote: Originally Posted by Scott Feschuk, Chief Speech Writer to the PM,

Just had a chance to check in with the Conservative Spin-O-Matic 3000 Blogging Supercomputer and Water-Pik. Despite stark differences related to party affiliation, ideological viewpoint and favourite ice cream, I can't help but feel that in a different world, in a different time, we could be friends. Or, failing that, that it could be my toaster oven.

Anyway, Bloggie - I call it Bloggie - has been going on about the nationwide good-time penny-saving jamboree that would be kicked off by Stephen Harper's plan to reduce the GST. God, he's adorable! (Bloggie, I mean, not Stephen Harper. All things considered, Mr. Harper qualifies more as "rugged," like Clint Eastwood or most forms of linoleum.)

Allow me to quote directly from Bloggie: "Stephen visited an auto dealership in the riding of Kitchener-Conestoga to talk about the savings that families – especially those who don’t earn enough to pay income tax – would see when the GST is lowered to 5% over the course of his first mandate. With the GST cut your family would save on the purchase of a minivan..."

At which point Bloggie displayed a very nice photograph of Stephen Harper standing alongside a $24,000 minivan.

Since I know Bloggie is capable of processing 4.17 trillion calculations per second, I won't hesitate to ask it this one simple question: How many families that don't earn enough to pay income tax and have resisted pursuing a hobby in the alluring field of armed robbery can afford to buy a $24,000 minivan?

It makes a good point, in my opinion.
 
Citizen
#2
Any GST reduction is meant to benefit the wealthy only.

The savings to low/middle income earners will be negligible and it's incredible how many Canadians are falling for this scam of Harper's.
 
nomore
#3
Poor people have familes too, and they need to get around just like the rest of us. They might not be able to afford a brand new minivan, but they might still need to get a used minivan, or a used car, which are both also taxable by the GST. Not to mention all the other essential services that are taxable by the GST.

Please explain to me how the liberals income tax cut helps people who don't pay any.

You can try and bash the conservative tax plan all you want, but so far it is the only one out of the liberals and conservatives that actually addresses the lowest income earners.

so tell me again which one is for the rich.
 
Finder
#4
I think GST should be removed from many commonly bought items. groceries is one thing it should be removed from completely. OK things like candy bars, coke and other items which are bad for your health, not so much. But items like mac and cheese, bottled water, oj, even froozen pizza shouldn't have GST on it. Putting GST on groceries is an attack on the poor and the middle class and threw out the years the gst has been put on more and more groceries.

besides that gst isn't too bad.

thats my two cents
 
Hank C
#5
The people who support the Liberal income tax cut plan on the basis that it is better for the poorer people are misled. The Liberal plan which only affects the lowest income earners, does nothing to help the people who are not earning. The Tory plan will be a cut for everyone, and their plan to help families, and other tax incentives have been found marginally better for the poor population, while also benefitting middle income and upper income people as well. Actually on the "liberal biased" CBC they did one of them reality checks on the two plans and found the Conservative plan better for the lower income people.
 
TenPenny
#6
Quote: Originally Posted by Finder

I think GST should be removed from many commonly bought items. groceries is one thing it should be removed from completely. OK things like candy bars, coke and other items which are bad for your health, not so much. But items like mac and cheese, bottled water, oj, even froozen pizza shouldn't have GST on it. Putting GST on groceries is an attack on the poor and the middle class and threw out the years the gst has been put on more and more groceries.

besides that gst isn't too bad.

thats my two cents

GST is applied to prepared foods, candy, etc, but food that you cook yourself is not taxed. That's why a lot of pizza places sell pizzas that are all assembled but not cooked - they don't have GST applied to them. Are you saying that mac and cheese, and frozen pizza have GST applied? Are you sure?

GST is not applied to groceries.

GST is the best form of a consumption tax that there is. If Harper wanted to make a point, he'd mention that there's GST on gasoline as well, and instead of mentioning a $24,000 minivan, he'd talk about the fact that you'd see a cent off the price of gasoline...
 
Breakthrough2006
#7
32% of Canadians do not pay any income tax. This represents the poorest of the poor.

Benefit from Fiberals income tax cut: ZERO

These same poor people pay the GST on anything they buy except groceries.

Why are we having this discussion again?

To answer the question from the autobot Fiberal about the minivan. Simple. They borrow money from the bank or lease the vehicle. They will still be on the hook for the extra $500 if the GST is not reduced.

The Fiberal that made that comment has pockets full of money after stealing our tax dollars. He has lost touch with reality to the point where he forgot that most Canadians borrow for major purchases.
 
Jay
#8
"G.S.T. Cut Ineffective"

If the GST cut is ineffective then why did the liberals under Chrétien run a campaign with a promise to get rid of it?

For Liberals the promise was very effective....the reality is the cuts weren’t effective, because they lied through their teeth again and didn't do a bloody thing about it.
 
In Between Man
Free Thinker
#9
GST cuts ineffective! Yeah right! Ineffective at keeping libs from criticizing even when tax cuts make sense!
 
TenPenny
#10
Quote: Originally Posted by Finder View Post

I think GST should be removed from many commonly bought items. groceries is one thing it should be removed from completely. OK things like candy bars, coke and other items which are bad for your health, not so much. But items like mac and cheese, bottled water, oj, even froozen pizza shouldn't have GST on it. Putting GST on groceries is an attack on the poor and the middle class and threw out the years the gst has been put on more and more groceries.

besides that gst isn't too bad.

thats my two cents

There is no GST on food.
 
JLM
No Party Affiliation
#11
Quote: Originally Posted by TenPenny View Post

There is no GST on food.

Yes and no, technically you are dead on, but grocery stores sell a lot of "edible" crap- that I wouldn't call food, but yet seems to take up a lot of space in some shoppers shopping carts, which is taxable not to mention subject to all the environmental levies. I don't know what the line of reasoning is but if you buy a package of doughnuts, they are not taxable but if you go to the bulk food department and buy one it is. Mulroney deserves to be shot.
 
TenPenny
#12
Quote: Originally Posted by JLM View Post

Yes and no, technically you are dead on, but grocery stores sell a lot of "edible" crap- that I wouldn't call food, but yet seems to take up a lot of space in some shoppers shopping carts, which is taxable not to mention subject to all the environmental levies. I don't know what the line of reasoning is but if you buy a package of doughnuts, they are not taxable but if you go to the bulk food department and buy one it is. Mulroney deserves to be shot.

Snack foods, and pre-cooked type foods are taxable.
Real food (ie, groceries) is not.

Just because you can't grasp that fact, doesn't mean we should shoot somebody.
 
Cannuck
No Party Affiliation
#13
The GST is one of the good things that Mulroney did.
 
JLM
No Party Affiliation
#14
Quote: Originally Posted by TenPenny View Post

Snack foods, and pre-cooked type foods are taxable.
Real food (ie, groceries) is not.

Just because you can't grasp that fact, doesn't mean we should shoot somebody.

Oh,
 
JLM
No Party Affiliation
#15
Quote: Originally Posted by Cannuck View Post

The GST is one of the good things that Mulroney did.

I think my brother told me the same thing one time and I didn't buy it then.
 
jjaycee98
Conservative
#16
Repeating the same info from 20 years ago. GST is an "upfront" Tax. If you don't want to pay the extra 5% just don't buy that item. The old "Manufacturer's Tax" was hidden Tax and had multiple levels of percentage. You never knew what the Tax hit was on anything!
 
Tonington
#17
Quote: Originally Posted by Cannuck View Post

The GST is one of the good things that Mulroney did.

Absolutely. Frequently ignored by his detractors.
 
TenPenny
#18
I remember working with the FST, which was something like 13.5%, and was a royal pain to administer.

I think the GST is a far better system.
 
JLM
No Party Affiliation
#19
Quote: Originally Posted by TenPenny View Post

I remember working with the FST, which was something like 13.5%, and was a royal pain to administer.

I think the GST is a far better system.

We already had about 200 different taxes before this G.S.T. was dreampt up, so I fail to see how another debillitating tax is good. Sorry, can't buy it.
 
TenPenny
#20
The GST replaced the existing FST. The FST was levied at the wholesale level; there were two different rates, and there were bizarre exemptions.

It's not a debilitating tax - it's less than half the rate of the old FST that was eliminated. How is that debilitating?


The GST is one rate, everyone pays it, as a business you subtract the GST you pay from the GST you charge out, and remit the net. It's straightforward, and simple. If we have to have taxes, the GST is the best way to do it. The more you spend, the more you pay in taxes. What's wrong with that?
 
JLM
No Party Affiliation
#21
Quote: Originally Posted by TenPenny View Post

The GST replaced the existing FST. The FST was levied at the wholesale level; there were two different rates, and there were bizarre exemptions.

It's not a debilitating tax - it's less than half the rate of the old FST that was eliminated. How is that debilitating?


The GST is one rate, everyone pays it, as a business you subtract the GST you pay from the GST you charge out, and remit the net. It's straightforward, and simple. If we have to have taxes, the GST is the best way to do it. The more you spend, the more you pay in taxes. What's wrong with that?

So it's better than the F.S.T. which everyone agrees was bad. I think the G.S.T. is better than income tax and if income tax was eliminated, I'd go along with it.
 
Spade
Free Thinker
#22
The GST cuts were optic politics not intended as a saving for the working poor or the lower-income middle class. If a couple earnt $50 000 and spent $20 000 (remember food and housing would not be affected) on items subject to the GST, the 2% cut is only a little over a loonie a day in extra disposable income. Do you think the 2% was passed on to consumers by the oil companies, etc?
 
Liberalman
Free Thinker
#23
GST was brought in by the Conservatives to pay down the national debt but the promise breaker Conservatives to keep it for themselves.

The new Conservative government cut two percent of the GST but the five remaining percent never went into the national debt.
 
TenPenny
#24
Quote: Originally Posted by Liberalman View Post

GST was brought in by the Conservatives to pay down the national debt but the promise breaker Conservatives to keep it for themselves.

The new Conservative government cut two percent of the GST but the five remaining percent never went into the national debt.

Are you sure about that?
 
Liberalman
Free Thinker
#25
Quote: Originally Posted by TenPenny View Post

Are you sure about that?

Sure about what?
 
TenPenny
#26
Quote: Originally Posted by Liberalman View Post

Sure about what?

What?
 
Cannuck
No Party Affiliation
#27
Quote: Originally Posted by JLM View Post

We already had about 200 different taxes before this G.S.T. was dreampt up, so I fail to see how another debillitating tax is good. Sorry, can't buy it.

It wasn't "another" tax. It replaced an existing tax. Many items dropped in price because of it.
 
Avro
No Party Affiliation
#28
Quote: Originally Posted by Cannuck View Post

It wasn't "another" tax. It replaced an existing tax. Many items dropped in price because of it.

Just curious...what prices went down because of the GST which replaced the MST.

Also why is introducing a tax on services not considered another tax?
 
Cannuck
No Party Affiliation
#29
Quote: Originally Posted by Avro View Post

Just curious...what prices went down because of the GST which replaced the MST.

Just about everything. The company I work for (which shall remain nameless) sold widgets which they bought for $1000 + $130 mst. The markup was 100% so they sold the widgets for $2260. When the GST came in, they bought the widget for $1000 + $70 gst. Since the GST was payable at the retail level, the company marked up the $1000 only and added the GST for a total of $2140 or a 5% reduction in sale price.

Quote: Originally Posted by Avro View Post

Also why is introducing a tax on services not considered another tax?

Semantics.
 
Niflmir
Free Thinker
#30
If the government really cared about reducing prices, they would force stores to include the gst in the sticker price. Than those $9.99 things would cost $9.99 instead of $10.59+.

One of the most pleasant things in Europe is knowing exactly how much you will pay for something when you pick it up, and knowing at the same time (because it is clearly displayed) how much of it is tax.

What has the gst reduction done except increase the deficit?
 

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