City waiting to hear about HST rebate

The City of Charlottetown is still waiting for word from the province about whether it will get any rebate from the new harmonized sales tax (HST).

The HST is slated to come into effect on P.E.I. on April 1, 2013.

Some municipalities across Canada will be getting a full rebate of the GST portion of the HST and a percentage back from the provincial portion for purchases related to exempted services.

On Tuesday night, city council passed a resolution to increase the rates at its three parkades as well as on the parking meters because parking is subject to the new HST.

The city is operating under the assumption that HST will apply and that it isn’t getting a rebate because it hasn’t been told otherwise.

Scott Ryan, manager of finance for the city, says the city is preparing to include HST in the parking fees.

“The city has not been told it will receive an HST rebate,’’ Ryan said Thursday. “It is the province’s decision and the municipality hasn’t been notified yet. We do not know when the announcement will come from the province.’’

If the parkades and meters end up being exempt from HST because of a rebate, Ryan says the city will not add HST to the base parking rates.

On Tuesday night, Deputy Mayor Stu MacFadyen cited the HST as the main reason why rates are going up at the Queen and Fitzroy parkades and on the meters.

Ryan said the base rate at the Pownal Parkade is increasing to bring that in line with the other two so that people are paying the same parking rates across the board, regardless of which parkade they are using.

“This is because all of the parkades now offer the same services and are up to the same standards and level of demand.’’

Ryan said the same rule applies to the Pownal Parkade if the city is exempted.

“The city will not add HST to the base rate.’’

As for the parking meters, they only take toonies, loonies and quarters so in order to cover the HST, the meters would increase by 25 cents. Metres don’t take dimes or nickels.

Ryan said if the meters also end up exempt, HST will not be added to the fee.

Rates are scheduled to rise, beginning Jan. 1, 2013.

dstewart@theguardian.pe.ca

Twitter.com/DveStewart

Janet Gaudet: - November 19, 2012 at 11:17:59

Another e-mail I received from friend in Ont. states: Not only does HST affect everything you buy, but since it came in Ontario, the price of all utilities i.e. gas, oil, hydro, water and sewers, also funerals have all been raised so that the government can increase the HST.

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Ben Eriksen

- November 20, 2012 at 17:01:34

We moved to Ontario and we have the dreaded HST get ready P.E.I. You will be taxed like never before everything will cost more funerals,food man the Island blew it big time You all fell for the big lies such a shame oh! I forgot Lobsters will cost more so sad

SG: - November 19, 2012 at 11:12:13

Why would PEI want to be with another Maritime Province? We have enough problems as it is. Don't give our Gov. any more ideas they have enough of their own already! If we joined another Province we would be ruled by the seat of our pants like we're being ruled now. What would be the difference between an N.B. or N.S. Premier or an Island Premier? We still wouldn't have a voice! Demand Recall Legislation in the next Election. If a Party won't support it then Don't give them your Vote! Time for Islanders to wake up! I wouldn't be one bit surprised if the same Islanders elected the Liberals AGAIN in the next Elecion and went one step further and Elected Trudeau Mania Federally! Personally I'm totally Fed Up with the same ole same ole Liberals and Conservatives every Election! When you keep doing the same thing every Election You Will Continue To Get The Same Results! Do Islanders' actually believe the Liberal or Conservative Governments will change their method of Governing for the next Election?

merge the maritimes

- November 19, 2012 at 15:13:12

PEI doesn't make any economic sense as a separate province. Government costs too much money and our tax base is too small. Therefore we need to downsize to a municipality within a larger province. Otherwise, we'll be paying 25% HST and $5 per $100 assessment in property tax before too long.

Janet Gaudet: - November 19, 2012 at 10:28:17

2 e-mails I received from friends in Ont. re: HST (1) We in Ontario have gone through what it sounds like you are about to experience. I do not believe there is such a thing as a Liberal government that has ever seen a tax they did not like. Since Dalton McGuinty was elected, Ontario has become a "have not" province and the cost of everything has escalated to a shocking degree. With the cost of everything necessary to support life, as we know it, rising, the HST, being a percentage of sales prices will put much more into the provincial coffers. The HST also is applied to more things than the old PST. (2) The businesses are making money on the backs of the lower income people, those on fixed income and students. The people I mentioned are hurting especially when it comes to fuel, food, clothing and living costs. If you get a chance, vote against it. The rich wil prevail.

Think Simple: - November 19, 2012 at 08:56:07

Why do these tax systems have to be so complicated? I'm sure billions of dollars could be saved just by simplifying everything. If EVERYONE paid the same tax on EVERYTHING, no exceptions, then rebates could be given according to income. Bam!

why not: - November 18, 2012 at 23:04:41

Why would the province of PEI not provide an HST rebate to municipalities ? What is the reason for why they wouldn't ? There is only ONE taxpayer Premier Ghiz and Mayor Lee. I pay my property tax to run the city. I pay income and consumption taxes to run the province. I don't expect the city government that my property taxes operate should have to pay HST for goods and services it purchases.

Sylvia: - November 18, 2012 at 20:27:05

I would go to the downtown to shop but because of the cost of parking, I go as little as possible. This increase will only hurt downtown businesses. When I do find a parking spot as near as possible to where I want to shop, I always have to think about how much time I have left on meter. I think more people would shop downtown if meters were removed.

John W.A.Curtis: - November 18, 2012 at 18:45:20

Some politicians aren't satisfied. The answer should be no. There is 1/3 federal funding, 1/3 provincial funding and 1/3 municipal for municipal projects but only one taxpayer.

ALFREDD: - November 18, 2012 at 18:41:02

Not that I have much care for City Council that waste our money on studies, plans and theatre shows, but I have to say that there is no limit to the the ineptness of Ghiz and the gang, ---- the City should have been notified long ago, the government must know, --- or should know every detail of the implementation of the HST. One would expect they know if the Citry will be excempt, --- so why are they playing silly games and not informing the City, - what kind of childish behavior is that.? Is this government totally unable to be straight forward and truthful, or is everything they touch being presented as a secret, -or we will do thing in our own good time, we are the king of the castle, --- in any event Ghiz's actions/non actions are exasperating-- it is like he and his merry men make a special effort to piss everybody off

intobed: - November 18, 2012 at 16:31:43

The HST will hurt almost everybody, with emphasis on low and mid income earners. Farmers and business people will actually have more money in their pockets. Thanks a lot farmers and business.

john arsenault

- November 19, 2012 at 23:18:51

That's just plain fear mongering. Dropping tax from 15.5% to 14% but applying it more broadly, while at the same time allowing businesses to claim input tax credits, only makes sense. Do you want PEI to have a sustainable economy based on the private sector, or do you want PEI to have an unsustainable economy based on a shrinking public sector?

hammike: - November 18, 2012 at 14:55:05

Mr Ghiz and Mr. Sheridan, if they had enough common sense between the two of them, should have had all these things ironed out before signing a deal with Mr.Harper's Reform Party. Instead, they just grab the first offer of cash, then fly by the seat of their pants afterwards. Recall legislation would be useful now.

Making a list, checking it twice . . .: - November 18, 2012 at 14:46:40

Well, Islanders best make a list of all these benefits HST will bring to consumers and businesses. I doubt that we'll have to check the list twice to see if our "Representatives" have been naughty or nice . . .

merge the maritimes: - November 18, 2012 at 12:53:15

Charlottetown shouldn't even be a separate municipality. Just like PEI shouldn't be a province. We need a single larger province of the Maritimes. PEI could be a single regional municipality within that province.

Townie

- November 19, 2012 at 10:03:36

Do you really think NS or NB wants our problems?

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City waiting to hear about HST rebate

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