Bravo B.C. On Your HST Fight

August 31, 2010 by  

For all the jokes I make to GNN blogger Kyle German and other friends of mine from the Wet Coast, I must come clean and admit that I admire the folks in British Columbia who are fighting the HST. You can read about it here.

I guess the reason that B.C.’s fight against the HST has so much impact is the stark contrast between that reaction and the roll-over-and-play dead response in Ontario.

I was chatting with somebody the other day about B.C.’s resistance to the tax, which combines the provincial sales tax with the federal GST on more consumer items. Her response was, in effect, that it will never wipe out the HST, so why bother?

That reply seemed so typically Canadian, an apathy that governments take advantage of and hope that voters will forget such grabs when election time rolls around, even though the HST is already starting to affect the housing market just two months after its implementation in both provinces.

Just a year ago, governments were shelling out all kinds of coin in hopes of stimulating the economy, but then they pull a stunt that will cause more people to think twice before making a purchase.

In the golf industry, the general feeling I’ve heard is that it won’t affect green fees all that much. A $100 green fee in Ontario has an extra $13 tacked on, while in B.C., it’s an extra $12.

Where it could start to affect spending on the game is when private club memberships come due and golfers notice a huge increase in their annual dues, depending on what they pay. Even on a $1,000 set of clubs, the extra cost will be $120 in B.C. and $130 in Ontario.

The industry must also consider that golfers have to add HST on to a lot more things outside of the game than ever before and what effect will that have on their spending at pro shops and other golf businesses?

The point about B.C.’s resistance to the new tax is not whether it wins or loses in the court battle, but just the fact that the province has come together to take a stand. Even if they don’t win, how tentative will the provincial government be should it decide to jack it up again like what took place in Nova Scotia?

A huge message has been sent that it’s time for any level of government to realize that it can’t keep hitting the paycheques of consumers.

A fine message it is B.C. Win or lose as the battle progresses, you’ve set an important example for all Canadians.

About Ian Hutchinson
Ian Hutchinson is a veteran Canadian golf writer, whose history in the game includes an extensive background with Canadian golf trade publications. A golf columnist with Sun Media, Hutch is also a regular contributor to publications and websites in Canada and the United States.


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