Close X
Friday, November 22, 2024
ADVT 
National

Which items will be tax-free under the Liberals' promised GST/HST break?

Darpan News Desk The Canadian Press, 21 Nov, 2024 11:03 AM
  • Which items will be tax-free under the Liberals' promised GST/HST break?

The government on Thursday announced a sweeping promise to make groceries, children's clothing, Christmas trees, restaurant meals and more free from GST/HST between Dec. 14 and Feb. 15. 

"Our government can't set prices at checkout, but we can put more money in people's pockets," Trudeau said at a press conference announcing the measures.

The government says removing GST from these goods for a two-month period would save $100 for a family that spends $2,000 on those goods during that time. For those in provinces with HST, a family spending $2,000 would save $260. 

Thursday's announcement also included a rebate for Canadians who worked in 2023 and made less than $150,000, totalling $250 per person. 

Here are the items that will be GST/HST-free if the Liberals' legislation passes. 

Groceries

Many grocery items are already tax-free. The Canada Revenue Agency considers most food and beverages to be "basic" grocery items, such as produce, bread, cereal, canned and frozen food, eggs, coffee, milk, and meat. 

However, certain categories, like carbonated drinks, candies and snack foods, are taxed. 

The government's tax break will apply to certain items that normally are subject to tax. 

These include prepared foods such as vegetable trays and pre-made meals, as well as snacks such as chips, candy and granola bars. 

Carbonated beverages, water bottles fruit juices and juice crystals are included, as are ice cream products and baked desserts like cakes and pies. 

The government says its tax break will mean "essentially all food" will be GST/HST-free. 

Alcohol

The tax break will also apply to alcoholic beverages below seven per cent alcohol by volume, including beer, wine, cider, and pre-mixed drinks. 

Normally, all alcoholic drinks are taxed. 

Restaurants

Restaurant meals will also be subject to the tax break. It will apply whether you're dining in, taking food to go, or ordering delivery. 

Children's items

Children's clothing, including baby bibs, socks, hats and footwear, will qualify for the tax break. So will children's diapers and car seats.

Children's footwear and clothing used exclusively for sports or recreational activities will not be included in the tax break. This includes costumes.

Children's toys will be included in the tax break as long as they're designed for use by children under 14 years old. These could include board games, dolls, card games, Lego, Plasticine and teddy bears. 

Printed goods

Print newspapers will be included in the tax break, but electronic or digital publications will not. 

Most flyers, magazines, inserts and periodicals will be excluded.

Printed books will be included in the tax break, including religious scripture. Audio books where 90 per cent or more of the recording is a reading of a printed book are included. 

Printed items that aren't subject to the tax break include magazines where advertisements take up more than five per cent of total printed space, sales catalogues and brochures, books designed for writing on, event programs, agendas and directories. 

Other

Christmas trees, natural or artificial, will be included in the tax break. 

Puzzles and video game consoles are also included. 

 

MORE National ARTICLES

Rent inflation to slow in the next few years, Desjardins predicts

Rent inflation to slow in the next few years, Desjardins predicts
The rate at which Canadian rental prices are increasing should slow in the coming years as the government's plan to cut back immigration numbers takes hold, a new report from Desjardins says. Rents have been rising fast and rent inflation is "much higher" than increases in the price of owned homes, it said. Inflation of rented accommodation was 8.3 per cent in the third quarter of this year, "the fastest pace since the early 1980s."

Rent inflation to slow in the next few years, Desjardins predicts

Energy experts think Donald Trump will make tariff exemptions for Canadian oil

Energy experts think Donald Trump will make tariff exemptions for Canadian oil
President-elect Donald Trump's promise to slap an across-the-board tariff of at least 10 per cent on all imports including from Canada is unlikely to apply to Canadian oil, energy experts are predicting. The threat of the tariff is causing a lot of concern north of the border, where the Canadian Chamber of Commerce said such a tariff could take a $30-billion bite out of the Canadian economy.

Energy experts think Donald Trump will make tariff exemptions for Canadian oil

NDP expected to unveil campaign pledge to remove GST on internet, heat, diapers, more

NDP expected to unveil campaign pledge to remove GST on internet, heat, diapers, more
With the cost of living playing a central role in provincial elections across Canada and in the U.S. presidential race, NDP Leader Jagmeet Singh is set to unveil a pre-campaign policy plank for the next federal election to differentiate his party from the governing Liberals.  Singh is expected to announce this morning that an NDP government would remove the GST on what his party deems "essentials." 

NDP expected to unveil campaign pledge to remove GST on internet, heat, diapers, more

Abbotsford man pleads guilty to trafficking in black bear paws

Abbotsford man pleads guilty to trafficking in black bear paws
British Columbia's Conservation Officer Service says a man from Abbotsford has pleaded guilty to two counts of trafficking in black bear paws. A statement from the service says Hong Tao Yang entered his pleas in a Port Coquitlam courtroom on Wednesday, where he was ordered to pay a penalty and victim surcharge worth a total of $8,625.

Abbotsford man pleads guilty to trafficking in black bear paws

RCMP warn against vigilantism in Squamish as concerns circulate online

RCMP warn against vigilantism in Squamish as concerns circulate online
Police in Squamish have issued a warning against vigilante action over safety concerns they say are circulating on social media. The statement from Sea to Sky RCMP says police want to "reassure" residents of the community about 60 kilometres north of Vancouver that "there is no current threat to public safety."

RCMP warn against vigilantism in Squamish as concerns circulate online

Housing targets on track for Vancouver

Housing targets on track for Vancouver
The City of Vancouver says it is on track to meet provincial targets in housing development in its latest progress report. Vancouver's first annual report on the targets showed that more than four-thousand units were built in the city from October 2023 to September 2024.

Housing targets on track for Vancouver