BC proposes to harmonize its 7% PST with the 5% GST to result in 12% HST, effective July 1, 2010. Many items that are currently PST exempt will not be subject to the provincial 7% portion of the HST.
The proposed HST will include:
· Unlike any other province, B.C. will provide an automatic point-of-sale rebate so consumers do not have to pay the provincial portion of the HST at the pump for purchases of gasoline and diesel fuel for motor vehicles, including any biofuel components.
· A partial rebate of the provincial portion of the single sales tax for new housing to ensure that new homes up to $400,000 will bear no more tax than under the current PST system, while homes above $400,000 will receive a flat rebate of about $20,000.
· A refundable B.C. HST Credit paid quarterly with the GST and carbon tax credit to offset the impact of the tax on those with low incomes.
· A temporary delay in the provision of input tax credits for certain purchases by businesses with taxable sales in excess of $10 million.
Full details at http://www2.news.gov.bc.ca/news_releases_2009-2013/2009PREM0017-000141.htm#
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