SASKATOON—The Saskatchewan Party-led Government reacted to the opposition’s plan to remove provincial sales taxes on certain grocery items and children’s clothing, calling it reckless and irresponsible.
Opposition Leader Carla Beck has been ramping up their plan to avoid raising taxes and suspend the provincial gas tax, aside from the PST on groceries and kids' clothes, if the Saskatchewan NDP is elected to form a government. She believes the province has enough revenue sources, and it is only a matter of prioritizing spending.
“The election campaign has not even started yet, and the NDP has already racked up nearly $3 billion in campaign promises with no plan for how to pay for it. That means the NDP will have to raise taxes, increase the deficit and cancel important projects like new schools and hospitals that are currently underway,” the Government of Saskatchewan said in a statement.
“It’s reckless and irresponsible. PST is applied on the same basis as the GST; basic grocery items remain exempt from PST. Such exemptions include bread, fruits and vegetables, salad kits, some yogurt products, and cereal bars. When taxes, utilities and housing costs are combined, Saskatchewan continues to be one of the most affordable places for a family of four to live in Canada.”
The government clarified that essential grocery items like meat, fish, eggs, and vegetables are exempt from PST, as well as baby food (beverages and baby formula), baking supplies, bread (bagels, soft pretzels, pita, naan, focaccia, croissants, scones and tea biscuits), breakfast cereals, cereal bars and muffin bars, coffee, tea, and cocoa, to name a few.
The statement added the government recognizes the people of Saskatchewan are facing hardships and economic pressures with the carbon tax as a primary driver of inflation.
“As it [the carbon tax] is a tax on everything we produce, ship, buy and sell. The NDP continues to call for an overall increase in government spending, tax cuts and lower borrowing without a plan to pay for it. They also continue to ignore the main driver of inflation, the carbon tax, while promoting candidates who actively support it,” the statement ended.
