Provincial Sales Tax (Ontario)

[SamStranger]

Wow...I'm back! If any one remembers me Im the super Conservative dude that used to always put down Layton and praise Harper. Man I haven't been on in a year or so!

Anyways...back to business. Does any one know the history of the PST in Ontario? Which government brought it in...what year, what party ect. And why is it at a whopping 8%??? Was it always that high?? And how come it is never a campaign issue...such as the GST in 2006?? You would think the PC party would be in favor of lowering it...unless they brought it in originally?? Anyways, your help would be great!

Thanks guys! I'm Back!

[UnionJack]

The following rates of retail sales tax (RST) been effective in Ontario since their introduction on September 1, 1961 to the present:

September 1, 1961 - March 31, 1966 3%

April 1, 1966 - April 30, 1973 5%

May 1, 1973 - April 7, 1975 7%

April 8, 1975 - December 31, 1975 5%

January 1, 1976 - April 10, 1978 7%

April 11, 1978 - October 7, 1978 4%

October 8, 1978 - May 1, 1988 7%

May 2, 1988 - July 1, 2010 8%

The Conservative Party governed Ontario from 1945 until 1984. Premier Leslie Frost presided over the province from 1951 to 1963, when Bill Davis became Ontario’s Premier. Ontario’s demographics were changing and in 1985 Davis was re-elected as the head of a minority government. He served until 1987, by which time the majority of the electorate had no memory of Ontario’s past industrial and commercial success. Many were either too young or had lived most of their lives outside of Canada.

David Peterson (Liberal) won the election in 1987, losing to Bob Rae (NDP) in 1990’s vote. Then, in 1995, Ontario elected Mike Harris’s Conservative Party for two terms before returning power to the Liberals under Dalton McGuinty.

As a conservative, I am not proud of the Conservative Party’s role in the history of Ontario’s sales tax, though I’m confident that sales tax wasn’t invented here. Our politicians simply noticed that sales taxes were accepted by the people of dozens of US states and perhaps other provinces of Canada, so they adopted yet another source of revenue.

At least, under the Conservatives, taxes fluctuated according to economic conditions. When the economy shows signs of recovery under a Liberal government, they don’t reduce taxes - they simply spend more!

All governments need to return to providing BASIC services and stop spending my money as if it was endless. Case in point - Look at the bottom left corner of the HST booklet distributed by the Ontario Government. It says, “Paid for by the Government of Ontario,” and they actually believe that!

Bull! It’s paid for by the PEOPLE of Ontario!

[Shwa]

At least, under the Conservatives, taxes fluctuated according to economic conditions. When the economy shows signs of recovery under a Liberal government, they don’t reduce taxes - they simply spend more!

All governments need to return to providing BASIC services and stop spending my money as if it was endless. Case in point - Look at the bottom left corner of the HST booklet distributed by the Ontario Government. It says, “Paid for by the Government of Ontario,” and they actually believe that!

Bull! It’s paid for by the PEOPLE of Ontario!

Excellent sales tax summary. Now to the fun part: what "basic services" would you like?

[William Ashley]

Excellent sales tax summary. Now to the fun part: what "basic services" would you like?

Part of the issue with government from a tax payers perspective is that it seems the more money you give them, the more they spend.

Taxes are unjust. The people deserve to be free - government should fund its endevours through free market capitalism, voluntary support, and use of their vast wealth of land ownership.

[Borg]

Bull! It’s paid for by the PEOPLE of Ontario!

I suppose the next thing is you will be telling us that politicians and fat bureaucrats are employees of the taxpayer.

Careful if you do - you will be considered a dangerous taxpayer - one who demands accountability.

Not your average canucklehead.

Borg

[geoffrey]

Bull! It’s paid for by the PEOPLE of Ontario!

Don't forget the transfer payments from Alberta, BC, Saskatchewan and Newfoundland. We fund it too.

You got $347M from us this year.

And we're (in Alberta) not even subject to any silly PST nonsense.

[Ken_Danagger]

The following rates of retail sales tax (RST) been effective in Ontario since their introduction on September 1, 1961 to the present:

September 1, 1961 - March 31, 1966 3%

April 1, 1966 - April 30, 1973 5%

May 1, 1973 - April 7, 1975 7%

April 8, 1975 - December 31, 1975 5%

January 1, 1976 - April 10, 1978 7%

April 11, 1978 - October 7, 1978 4%

October 8, 1978 - May 1, 1988 7%

May 2, 1988 - July 1, 2010 8%

The Conservative Party governed Ontario from 1945 until 1984. Premier Leslie Frost presided over the province from 1951 to 1963, when Bill Davis became Ontario’s Premier. Ontario’s demographics were changing and in 1985 Davis was re-elected as the head of a minority government. He served until 1987, by which time the majority of the electorate had no memory of Ontario’s past industrial and commercial success. Many were either too young or had lived most of their lives outside of Canada.

David Peterson (Liberal) won the election in 1987, losing to Bob Rae (NDP) in 1990’s vote. Then, in 1995, Ontario elected Mike Harris’s Conservative Party for two terms before returning power to the Liberals under Dalton McGuinty.

As a conservative, I am not proud of the Conservative Party’s role in the history of Ontario’s sales tax, though I’m confident that sales tax wasn’t invented here. Our politicians simply noticed that sales taxes were accepted by the people of dozens of US states and perhaps other provinces of Canada, so they adopted yet another source of revenue.

At least, under the Conservatives, taxes fluctuated according to economic conditions. When the economy shows signs of recovery under a Liberal government, they don’t reduce taxes - they simply spend more!

All governments need to return to providing BASIC services and stop spending my money as if it was endless. Case in point - Look at the bottom left corner of the HST booklet distributed by the Ontario Government. It says, “Paid for by the Government of Ontario,” and they actually believe that!

Bull! It’s paid for by the PEOPLE of Ontario!

So PST didn't come in until 1961.

Income Tax wasn't levied in Ontario until 1969.

So how were government services paid for before 1961?

I know government wasn't as big back then...but it still existed and there were bills to be paid.