GST Ads

gc1765 · January 4, 2008

OTTAWA — Canadian taxpayers are footing the bill for a $650,000 ad campaign that boasts about a one-cent cut to the GST – a campaign that opposition members say is nothing more than pre-election advertising for the Conservatives.
...

“The government of Canada is ringing in the New Year with another tax cut. Starting January 1st, the GST will be reduced to five per cent, the second cut in less than two years,” says the radio ad.

“This means significant tax savings on most everything you buy, like a coffee, a new home, a computer or a new car. To learn more about the GST reduction, visit Canada.gc.ca or call 1-800-O-Canada. 2008 will be a less taxing year for Canadians.”

Seems like a waste of money to me. Not to worry though, the partisans will say it's only $650,000. :rolleyes:

The ad ends with a female announcer saying: “A message from the government of Canada.”

I'm just surprised it didn't end with "A message from Canada's New Government^TM.

Link

kengs333 · January 4, 2008

Seems like a waste of money to me. Not to worry though, the partisans will say it's only $650,000.

The Conservatives proved themselves to be hypocrites long ago...

I'm just surprised it didn't end with "A message from Canada's New Government^TM.

Nobody buys it anymore.

jdobbin · January 4, 2008

Seems like a waste of money to me. Not to worry though, the partisans will say it's only $650,000.
I'm just surprised it didn't end with "A message from Canada's New Government^TM.

I saw the ad the other day. It has been a typical trick used in many provinces: Use government budgets to promote a political policy. Contrast that with Service Canada ads which actually inform people about a new service.

Michael Bluth · January 4, 2008

Seems like a waste of money to me. Not to worry though, the partisans will say it's only $650,000.

Legitimate reasons to run the ad include all the small business people, contractors etc. who have to change the amount of GST they remit to the Government.

Witty insult on Canada's "new Government" though. When was the last time you saw that used? :rolleyes:

Wilber · January 4, 2008

People should be made aware that they should be paying a lower tax in the new year but the way it is being presented is a plug for the present government, no question. It is so obvious that it might have a negative effect on the way many people feel about them.

Shakeyhands · January 4, 2008

Legitimate reasons to run the ad include all the small business people, contractors etc. who have to change the amount of GST they remit to the Government.
Witty insult on Canada's "new Government" though. When was the last time you saw that used?

Oh yes, Money needed to be spent on an ad campaign. I was completely unaware of the GST change :rolleyes:

As far as "New Government" goes, it ended in October thankfully.

http://www.canada.com/topics/news/politics...d01&k=21117

GostHacked · January 4, 2008

I get to save a whole 2 cents on a coffee??? WOHOOOOOOOOOO.

This does not save us any real money. Watch the tax cut get eaten up by a higher priced item with a hidden tax, like it was before the GST.

M.Dancer · January 4, 2008

I get to save a whole 2 cents on a coffee??? WOHOOOOOOOOOO.
This does not save us any real money. Watch the tax cut get eaten up by a higher priced item with a hidden tax, like it was before the GST.

Umm....which hidden tax?

The 2% doesn't sound like a lot.....but then again, the sale of one coffee doesn't add an whole lot to the economy. On the otherhand one of the major areas that do fuel the economy are new home sales. The average new home in the GTA is around $300,000 (before GST) and that translates into a savings of $6000. for the buyer. Then add the appliances (which are for the most part made in North America) and the buyer has saved enough money to send thier child to a private catholic school, thus benefitting society tremendously :lol:

sharkman · January 4, 2008

I get to save a whole 2 cents on a coffee??? WOHOOOOOOOOOO.
This does not save us any real money. Watch the tax cut get eaten up by a higher priced item with a hidden tax, like it was before the GST.

People have been holding off the purchase of new cars until the the GST was lowered. Car dealerships had countered by offering the cut before hand. Anyone who buys anything of substance will notice the difference. Of course the Liberals think you will just spent it on beer and popcorn.

The Tories only spent $650,000? If it had been the Liberals, the total would have been 16 million and liberal fans here would have thought that reasonable, and cheered the decrease.

Edited January 4, 2008 by sharkman

GostHacked · January 4, 2008

People have been holding off the purchase of new cars until the the GST was lowered. Car dealerships had countered by offering the cut before hand. Anyone who buys anything of substance will notice the difference. Of course the Liberals think you will just spent it on beer and popcorn.
The Tories only spent $650,000? If it had been the Liberals, the total would have been 16 million and liberal fans here would have thought that reasonable, and cheered the decrease.

Lets say an average car is 30,000 currently at 1.14 the cost is 34,200... at 1.13 it is 33,900 A total savings of $300. Unless you are paying cash on the spot upfront, and not doing monthly payments, you will never see those savings on those large ticket items. Not to mention how many big ticket items one can afford durring the year.

On every day items, it may add up to some dollars at the end of the year, but does this reduction in the GST really change how you buy things? If the answer is no, then the reduction is completely useless and it really does not save the customer/consumer anything tangible or noticeable.

I would have been able to save 20 bucks on my new $1500 computer .... someone pinch me this CANNOT be real.

noahbody · January 4, 2008

Lets say an average car is 30,000 currently at 1.14 the cost is 34,200... at 1.13 it is 33,900 A total savings of $300. Unless you are paying cash on the spot upfront, and not doing monthly payments, you will never see those savings on those large ticket items. Not to mention how many big ticket items one can afford durring the year.

You'd be saving $600 from what you'd pay with 7% GST. Is that really such a bad thing?

sharkman · January 4, 2008

Whether it's on paper only or not, if I was going to purchase a new car and could save $300 after Jan 1, I would go for the 300. You may find that too small to notice, but many don't. Whatever floats one's boat, I suppose.

In speaking of how little a 1% decrease means to the average Canadian, I can reasonably predict outrage and protest if a government was to raise the GST by one percent.

gc1765 · January 4, 2008

Not to worry though, the partisans will say it's only $650,000.

The Tories only spent $650,000? If it had been the Liberals, the total would have been 16 million and liberal fans here would have thought that reasonable, and cheered the decrease.

:lol: I knew it was just a matter of time.

Argus · January 4, 2008

I saw the ad the other day. It has been a typical trick used in many provinces: Use government budgets to promote a political policy. Contrast that with Service Canada ads which actually inform people about a new service.

"used in many provinces"? How about "Was used by the Liberal governments of Jean Chretien and Paul Martin repeatedly"? In fact, often they would simply give money to advertising agencies for no reason - oh, except that they would be paid back in cash, and donations, of course. So maybe you might have been better off to not get involved on this particular topic as your party was and remains thoroughly corrupt in all its shady dealings with advertising agencies.

In this particular case, the ads ARE necessary information for the public and the business community.

AngusThermopyle · January 4, 2008

I would have been able to save 20 bucks on my new $1500 computer .... someone pinch me this CANNOT be real.

I just finished building my new computer. It cost right around 4500.00 to build, that means I would have saved about 270.00. You may not consider that to be worthwhile, I do though. That 270.00 would have paid for another 10,000 RPM Raptor or an XFI Platinum. To me thats significant.

M.Dancer · January 4, 2008

I just finished building my new computer. It cost right around 4500.00 to build, that means I would have saved about 270.00. You may not consider that to be worthwhile, I do though. That 270.00 would have paid for another 10,000 RPM Raptor or an XFI Platinum. To me thats significant.

Dude, you should have got a Dell

jdobbin · January 4, 2008

The 2% doesn't sound like a lot.....but then again, the sale of one coffee doesn't add an whole lot to the economy. On the otherhand one of the major areas that do fuel the economy are new home sales. The average new home in the GTA is around $300,000 (before GST) and that translates into a savings of $6000. for the buyer. Then add the appliances (which are for the most part made in North America) and the buyer has saved enough money to send thier child to a private catholic school, thus benefitting society tremendously

I'd rather have year in, year out savings on income tax. I don't buy a house every year nor a car nor major appliances. I do pay income tax each year and could stand to pay less on a consistent yearly basis. My savings shouldn't come as a result of buying big ticket items on in inconsistent basis.

Edited January 4, 2008 by jdobbin

jdobbin · January 4, 2008

The Tories only spent $650,000? If it had been the Liberals, the total would have been 16 million and liberal fans here would have thought that reasonable, and cheered the decrease.

I guess we'll have to see what the Tories have paid for ads for the year.

They certainly have not restrained themselves with the two polls per day on average.

jdobbin · January 4, 2008

"used in many provinces"? How about "Was used by the Liberal governments of Jean Chretien and Paul Martin repeatedly"? In fact, often they would simply give money to advertising agencies for no reason - oh, except that they would be paid back in cash, and donations, of course. So maybe you might have been better off to not get involved on this particular topic as your party was and remains thoroughly corrupt in all its shady dealings with advertising agencies.
In this particular case, the ads ARE necessary information for the public and the business community.

The way these ads are designed is a total promotion for the government. Congratulations. You are emulating what you criticized, Tories.

Edited January 4, 2008 by jdobbin

jdobbin · January 4, 2008

In speaking of how little a 1% decrease means to the average Canadian, I can reasonably predict outrage and protest if a government was to raise the GST by one percent.

Was there outrage when the the Tories raised income taxes?

AngusThermopyle · January 4, 2008

Dude, you should have got a Dell ph34r.gif

Nah, I wanted a good machine.

I wont buy a machine from a major manufacturer, just build my own. All you get from Dell is junk.

AngusThermopyle · January 4, 2008

The way these ads are designed is a total promotion for the government. Congratulations. You are emulating what you criticized, Tories.

Yep, you're right. Far better to just hand over wheelbarrows full of money to your favourite ad companies for nothing in return. The old unmarked envelope shuffle made so famous by the Chretien government.

Still, I guess thats better than just losing a billion or so. Even thats not bad though, just part of the master plan to be an awesome super duper government party.

msj · January 4, 2008

Legitimate reasons to run the ad include all the small business people, contractors etc. who have to change the amount of GST they remit to the Government.

Anyone who has a GST number will have received a notice from the government by mail in mid to late December.

My business partner and I had dozens of these notices on our desks for all the clients that have us as their c/o addresses.

We started to open them, saw what they were about (a notice of the GST reduction and other changes effective for 2008), collectively rolled our eyes, and proceeded to recycle every notice.

Why? Because we have been telling our clients for 2 months now about the appropriate changes through conversation, email, newsletters etc...

This is not to say that there are not business people living under a rock.

But so many of them either deal with their accountant who is proactive enough to inform them of changes, read the newspapers, and/or receive these notices directly, that the TV ads come across as a waste (unless, of course, the real target market is voters).

capricorn · January 4, 2008

I'd rather have year in, year out savings on income tax. I don't buy a house every year nor a car nor major appliances. I do pay income tax each year and could stand to pay less on a consistent yearly basis. My savings shouldn't come as a result of buying big ticket items on in inconsistent basis.

This is a selfish way of viewing the GST cut. I thought Liberals such as yourself advocated working for the good of all Canadians.

Multiply all those Canadians who occasionally purchase expensive items and the result is very healthy for our economy and our standard of living.

sharkman · January 4, 2008

I'd rather have year in, year out savings on income tax. I don't buy a house every year nor a car nor major appliances. I do pay income tax each year and could stand to pay less on a consistent yearly basis. My savings shouldn't come as a result of buying big ticket items on in inconsistent basis.

Take comfort in the fact that you will be gouging your customers for the 1% instead of reducing your fees, as you admitted here elsewhere.