Both sides of the Harmonized Sales Tax debate were presented in Vernon today.
BC Finance Minister Colin Hansen made his case for the 12 percent blended tax, which is to take effect in July, before about 75 people at a Greater Vernon Chamber of Commerce luncheon.However, Hansen admits the tax won't be winning any popularity contests. "If you go out and ask the question of the public, 'Do you like the HST?', the obvious answer is going to be no, the majority won't, but it is good public policy. It will actually help build our economy and help make us more competitive internationally." Hansen says it will also create jobs as businesses benefit from not having to pay for what he calls the "embedded" costs of the current Pacific Sales Tax. NDP leader Carole James was also in the city today but she says the HST will be a job killer, particularly for service based industries. "If you look at tourism, we all know its been struggling because of the global recession. We now know the dollar is going to be a real hindrance, it's going to be tough in the tourism industry as our dollar rises, and now you're going to add a tax. How is that going to help tourism?" James was at Olympia Cycle and Ski where she and store owner Peter Dorey rallied against charging the HST on bicycles. Dorey says bikes and bike parts have been exempt from the PST since 1980. "This is a real attack on the health care system, the ecology and the economy. (Not having the tax) encourages people to ride, and I believe the tax will definitely deter people from purchasing bikes or riding their bike too much."
James says she is supporting Bill Vander Zalm's petition campaign to stop the tax.Vander Zalm will be in Vernon Saturday (3:30 Schubert Centre) to promote his petition campaign to scrap the tax.
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