HST Opposition Remains Strong in BC: Survey

B.C. residents blame both the government and the media for their lack of understanding of the HST, says a new survey.
HST Opposition Remains Strong in BC: Survey
6/29/2010
Updated:
6/29/2010
The Harmonized Sales Tax, which went into effect in British Columbia and Ontario on July 1, continues to be strongly opposed by the vast majority of B.C. residents, according to a new poll.

British Columbians blame both the government and the media for their lack of understanding of the 12 percent tax, and will significantly change their purchasing behaviour as a result of it, the Ipsos-Reid survey found.

Some will do that by going across the line to shop. Because also on July 1, Washington State began applying its non-resident sales tax exemption to British Columbians. Under this policy, B.C. residents will not have to pay sales tax in Washington State for goods used outside the state.

Just over half the 736 surveyed (54 percent) said they are likely to shop in Washington State as a result of the exemption, with 31 percent being a lot more likely and 23 percent a little more likely.

A significant majority claim they will be spending less on the goods and services that will be subject to the HST but have previously been taxed at a lower rate.

Eighty percent said they feel the HST will have a negative impact on them personally, while having less of a negative impact on small and large retailers. Fifty-five percent agreed that the HST will have a negative impact on the overall B.C. economy, with 59 percent agreeing that the tax will result in some small business owners going bust.

Meanwhile, although Ontario residents seem to have accepted the new tax with nary a whimper, anti-HST activists in B.C. have almost completed gathering signatures for a petition against the tax, which merges the GST and PST.

Canvassers in ex-premier Bill Vander Zalm’s Fight HST campaign have collected more than 670,000 signatures on a petition in an attempt to overturn the legislation.

Once the petition is verified by Elections B.C., the government will be forced to either introduce legislation repealing the tax, or put the issue to a province-wide referendum.

In the meantime, Vander Zalm has issued a “HST hit list” composed of 24 MLAs from ridings where the petition campaign collected signatures from at least a quarter of registered voters. Those living in rural ridings are particularly strong in their opposition to the tax.

“We want these MLAs to pressure their government to listen to them, or risk losing them in a recall,” Vander Zalm said in a press release.

“We haven’t yet decided which ones will be recalled first, or how many. Our sense is that we will recall one or two at a time, so as not to bring down the government, but to pressure them to repeal the HST.”

Vander Zalm said his group had originally considered recalling Premier Gordon Campbell, but with the likelihood that the premier will resign before his third term expires, they felt it would be a waste of time and resources.

Under B.C.’s recall legislation, a registered voter can petition to remove an MLA from office. No other province or territory in Canada has such a system in place whereby voters can remove elected representatives from office between elections.

The legislation stipulates that the recall campaign cannot officially start until 18 months after the last provincial election, which in this case is November 2010. Signatures will need to be collected from 40 percent of eligible voters in each targeted MLAs riding, and organizers will only have 60 days to do it.

Meanwhile, as of July 1, restrictions on advertising related to the HST have been lifted. Campbell will embark on a province-wide speaking tour over the summer, and the government will be sending out pamphlets explaining the tax.

Finance Minister Colin Hansen also plans to spend the summer months touting the tax as beneficial for B.C.’s economy.