The Canadian Government has announced its intention to implement a two-month tax holiday from the Good and Service Tax and Harmonized Sales Tax (GTS/HST). The proposed holiday will apply to both the 5% GST applicable across Canada and the HST in the provinces of Ontario, Prince Edward Island, Nova Scotia, New Brunswick, and Newfoundland and Labrador. Please note that as the sales taxes imposed by Quebec, British Columbia, Saskatchewan, and Manitoba are not currently affected by the proposed tax holiday.
The holiday would run from December 14th to February 15th and will exempt sales and imports of “holiday essentials” from tax. Items included in the proposed holiday include:
- Children’s clothing, footwear, and diapers
- Children’s car seats
- Children’s toys
- Print newspapers and books
- Jigsaw Puzzles
- Video game consoles, controllers, and physical game media
- Christmas Trees
- Restaurant Meals
- Select food and beverages, including alcohol, bottled water, and candy.
