Friday, May 28, 2010

Yes to HST Facebook Group

If anyone was interested, there is a group in favour of the HST on Facebook.  Not that this group is making any headway.

One more HST point for folks out there, and this is a general comment about tax sources.   In Canada we are more dependent on personal income taxes than almost any other OECD country.   Consumption taxes are the steadiest income source for government.   The one province without any form of a consumption tax is Alberta and their budget had the biggest fall in revenues.

Long term, if consumption taxes are a larger part of the government revenue stream government will be less likely to go into a financial crisis and have to cut spending.  

For the record, I have wanted to see an end to the PST for years.  I supported the GST reduction promise by the Conservatives because it was good politics in an election and would help bring Harper into office, not because it was economically the smartest move.   Canada needed to see an end to the federal Liberal government and a populist promise that was not good for the economy would at least bring us a better set of people in government.

I could go on why I do not want the federal Liberals in power, but I will not at the moment.   The simple answer is that Canada needs to have a clear right wing and a clear left wing party as the two major parties in the country.

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