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Maritime Electric still pays HST even if customers don’t

HST

HST

Published on March 21, 2013
Published on March 20, 2013
Ryan Ross  RSS Feed
Topics :
Maritime Electric , Iceland

If Islanders decide not to pay the HST portion of their electricity bill it could lead to the company limiting their power use or cutting it off altogether, says a spokeswoman for the company.

Maritime Electric representative Kim Griffin said Maritime Electric will have to remit the HST to the government even if people decide not to pay that portion of their bill.

“If a customer doesn’t pay this tax, we still have to pay it,” she said.

In a recent letter to the editor, an Island couple discussed their plans to withhold the HST portion of their electric bills once the new tax comes into effect next month.

Bob and Gaye Baird said they viewed it as an act of civil disobedience and called the addition of HST to electricity bills an unfair, biased policy.

The couple wrote that they purposely switched to electric heat before the government announced plans to bring in the HST and hoped the government would remove the exemption from heating oil.

Griffin said if a customer doesn’t pay their bill in full, Maritime Electric will work with them to recover whatever is owing, which sometimes involves special payment plans.

“We generally work with our customers very closely if they’re in need of working at paying their bill,” she said.

But in a case where a customer said they wouldn’t pay the HST portion of the bill, Griffin said interest would be applied and the account would get flagged after being late for one month.

Griffin said Maritime Electric could eventually disconnect the customer or install a load limiter on their metre, which would give them just enough power to operate a few basic necessities.

The company hopes its customers will pay their bills in full once the new tax comes into effect because Maritime Electric will still have to pay the government the HST portion of every bill, Griffin said.

“It’s not like Maritime Electric can hold back that amount.”

Griffin said it would also mean that other customers end up paying for it if someone doesn’t pay their bill.

“Costs that are incurred are spread across all customers,” she said.

If the Bairds decide not to pay, Maritime Electric will treat them the same as any other customer that doesn’t pay their bill, Griffin said.

rross@theguardian.pe.ca

twitter.com/ryanrross

Comments

  • Username
    tax payer
    - March 22, 2013 at 09:10:36

    I have to laugh at everyone who is blaming Maritime Electric for the HST. It is the present government that stated several times that we would not have the HST that brought it in. Every company we deal with is now forced to collect the HST. Are you going to not pay that tax on your phone bill, cable/TV bill, gas at the pumps, food at the store of even McDonalds? Come on people, give your heads a shake. This tax is here and we the people are now forced to pay it. Another thought, have you ever had to pay a lawyer? They charged GST. Now, you will have to pay the HST on their fee. Good luck trying to keep from paying them. So, go ahead,don't pay the 14% HST portion of ANY BILL you receive, and see what will happen. You gotta love this Island.

    Submit a comment

  • Bill Kays
    Bill Kays
    - March 21, 2013 at 17:55:33

    Maritime Electric / Fortis have been bending us over and having their way with us forever. That's what monopolies do. This particular monopoly is easy to spot because they are the only ones supplying or transmitting electricity on the Island. Yes, they are THE BIGGEST BULLY ON PEI. Our government (ALL PARTIES CAN SHARE THE BLAME FOR THIS ONE) WAS SUPPOSED TO PROTECT US FROM MONOPOLIES. They must be really stupid or crooked, or both or are there other forces at play, if so identify them, deal with it. Either way heads should roll. People are suffering from all the cuts to necessary services already imposed on us, now we have this HST ttyranny, and then we have the FLAHERTY SHOW.

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  • Username
    Cindy
    - March 21, 2013 at 12:56:44

    The fact is that on every GST/HST form there is a section called "other" which is where Maritime Electric can deduct the amount of HST not received. As this is an in/out transaction and the ability to offset the amounts not paid, Maritime Electric cannot lose anything.

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  • Username
    OVER CHARGED NOW
    - March 21, 2013 at 09:36:46

    We are being over charged by at least 14 per cent anyway. Let Maritime Electric and FORTIS dip into their 800 million yearly profits and cut their guaranteed 10 per cent return to their shareholders. This is what happens when a private company can blackmail an entire Province.

    Submit a comment

  • Username
    Chucker
    - March 21, 2013 at 09:33:23

    ME is not mentioning their huge rebates. They will do very well under the Ghiz HST. Check out the NDP story and check out CBC on the UPEI study, Islanders. This article is incomplete without the rebate discussion.

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  • Username
    A bit of a coward?
    - March 21, 2013 at 09:24:16

    Griffin says, "If the Bairds decide not to pay, Maritime Electric will treat them the same as any other customer that doesn't pay their bill." But here's the rub. Most customers that don't pay their bill aren't doing it as a means to protest a bad tax and deceptive governance. Most customers that don't pay their bill aren't pleading for others, in some way, to join their protest. But, of course, that would take some courage. To openly stand up against corporate greed and bad governance takes courage, no doubt about it. So, the better question is not how Ms. Griffin or Maritime Electric threats the Bairds, it's how the rest of us treats the Bairds that really matters, no?

    Submit a comment

    • Username
      candrayo
      - March 21, 2013 at 19:49:10

      Until WE the PEOPLE unite against GOVERNMENT, even when it doesn't benefit US personally, we will never defeat this type of government rule. No matter which color is representing us. And that is the bottom line. I am all for a big old Island wide protest against this government....really doesn't matter which issue it is...there are way too many to pick from. But HST and Maritime Electric sounds like a good start to me.

  • Username
    whereisthesavings??
    - March 21, 2013 at 09:12:56

    It’s so nice for Maritime Electric to threaten their customers. What about the substantial tax savings you will be getting when you do remit your HST to the government. Companies can use their ITC credits to reduce their HST bill to the government, so you Maritime Electric do NOT have to remit all the HST you collect- where is that savings going?? We the consumers DO have to pay the full HST on our bill. Apparently Maritime Electric is NOT going to pass on their savings to the consumers as we have been hearing so much about from the government. Don’t tell me how much Maritime Electric is going to hurt when the average person will have to choose between heat and food. This Tax is for the companies, NOT the people.

    Submit a comment

  • Username
    waldorf
    - March 21, 2013 at 09:05:17

    Well since Maritime Electric recived a low interst loan from PEI , (OUR PEI )RAISE THERE INTERST RATE a quarter of a point that with take care of the HST, THIS COMPANY NEVER WORKS ON THE INTERST OF THE PEI PUBLIC IT IS ALL ABOUT THERE SHAREHOLDER ,DIVIDENDS .IT IS TIME FOR COMPETION

    Submit a comment

    • Username
      maritime electric shareholder
      - March 21, 2013 at 15:57:16

      I'm a shareholder. And I reside in PEI and pay taxes here. Does that make me a bad person for spotting a deal and taking advantage of it? I've bought Fortis shares for decades and they are one of the best investments I have ever made. Maritime Electric is a very small piece of the Fortis pie. Be glad you even have electricity....

  • Username
    Joe Citizen
    - March 21, 2013 at 08:51:33

    The NDP gov't of N.S exempts HST for homes heated by electricity, wood, wood pellets. Why doesn't anyone mention this?

    Submit a comment

  • Username
    Brutus
    - March 21, 2013 at 08:41:11

    Easy for you to say ms griffin this island is getting poor as each day goes on once again the rich get richer the poor get poorer screw the government I bet they get a major break

    Submit a comment

  • Username
    windy
    - March 21, 2013 at 08:32:57

    Sure they do .....BUT AS A COMPANY THEY ALSO GET IT BACK .... So cry me a river

    Submit a comment

  • Username
    Wonder
    - March 21, 2013 at 07:46:25

    I just wonder what would happen if all or most islanders got behind these people that are showing some backbone ???????????????????????? Would the whole Island go Black or would this goverment have to listen to the people & eat some CROW

    Submit a comment

  • Username
    Statler
    - March 21, 2013 at 05:59:55

    Costs that are incurred are spred to all costomers! i would like to know why they can get away with making the costomer pay for repairs and unpaid bills? if i was hauling fill or gravel and blew two tires i cant very well make the costomer pay for new tires, but the good old soft hearted islanders are left on the hook for all most all the expenses . to bad robert ghiz turned out to be such a looser, after 34 years of voting liberal i'm here to saw that i'll NEVER EVER vote for the island liberals again

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