This is the response sent by email to my letter:

From: “Office of the Premier, Premier@gov.bc.ca”
<premier@gov.bc.ca>

“Thank you for your email regarding the harmonized sales tax. I appreciate receiving your concerns.

Since 2001, the government has taken significant steps to improve the B.C. tax system. We have worked hard to reduce taxes for individuals and to improve the competitiveness of B.C. business through the reductions in personal and corporate income taxes and the elimination of corporate capital taxes.

The HST is the single biggest thing we can do to improve B.C.’s economy. I believe it is an essential step to make our businesses more competitive, encourage billions of dollars in new investment, lower costs on productivity and reduce administrative costs to B.C. taxpayers and businesses. Most importantly, this will create jobs and generate long-term economic growth that will in turn generate more revenue to sustain and improve crucial public services like health care, educationand social services.

With a single HST tax rate, one substantially harmonized tax base, and one set of administrative rules instead of the duplication that currently exists with the PST, compliance costs for British Columbia businesses are expected to fall by about $150 million annually. When fully phased-in, British Columbia will also save about $30 million annually in administrative costs due to the fact that the federal government will administer the HST at no cost to the province. British Columbia will also receive one-time funding of $1.6 billion from the federal government which will help maintain vital public services such as healthcare and education.

We strongly believe that switching to the HST is the most important change we can make to ensure a strong and growing economy. Although there will be adjustments required by British Columbians in the short term, it is a decision which will pay dividends to all British Columbians over the long term.

If you are interested in more details related to the announcement, you can find more information at: http://www2.news.gov.bc.ca/news_releases_2009-2013/2009PREM0017-000141.htm .. or http://www.gov.bc.ca/hst/ — on the left side and bottom of that page, there are separate sections relating to specific groups such as businesses, individuals, highlighting the benefits of the HST.

If you are interested in knowing more about the Budget that was presented in the Legislature today, you can find that information at the following site: http://www.bcbudget.gov.bc.ca/ The Minister’s speech outlines some of the many benefits of the HST as well.

We do appreciate your taking the time to write.”

My thoughts in response to that:

I actually did read through most of the HST promo webpages. All it did was serve to enforce my opinion. I appreciate that it will save big industry and government and that that savings is meant to filter down to the masses, but I simply don’t see that happening. I don’t see this resulting in price drops that will save the average Canadian.

And, I have already heard from many that they are planning to cut their spending in areas that will be increasing in cost by 7%. Just barely out of a recession, cut spending risks putting us right back into a bad economic state.