The Effects of the HST

If you have been following this blog you will already know some of my views on the HST.  I wrote how to avoid paying the HST in Ontario and ways to fight the HST.  I've taken many stabs at Premier Dalton McGuinty's colossal and greedy tax grab.  An unexpected side effect of the HST is how it has affected the rest of Canada.  The HST has been in effect in BC and ON for three months now.  Let's see how well this tax is performing:

• slowed down house sales
• slowed consumer spending
• increased the federal deficit
• increased the inflation rate Canada wide
• created a tax revolt in BC forcing a referendum on the HST 
• if you believe the propaganda has created 6,300 jobs in ON

Well, it certainly does look like the HST is moving Canada into the 21^st century, doesn't it?  I give Dalton McGuinty and his sock-puppets full credit for this horrible fiasco! On a personal level, how has this affected us?  For the most part it has had a minimal effect.  Yes we are paying HST on electricity, internet and home heating that at present rates have added about $20 per month ($240 per year).  Occasionally we have to pay HST on gasoline but for the most part we avoid this by fueling outside of Ontario.   We are shopping and vacationing outside of Ontario.  Nothing is purchased in Ontario unless it is food through local farmers, orchards or organic farms.  We've cut back further on our electricity usage moving towards more solar.  All of our solar equipment will be purchased outside of Ontario as well.  We are also working on using a US internet provider that will eliminate our ON internet provider.  We did a trial run with one US provider but maxed out the bandwidth too quick for it to be feasible to make the switch.  The thing is that service worked better and was cheaper than our satellite internet and there was no HST.  We will be trying to connect to our vacation home US internet via Wi-Fi hot spot at home.  Apparently there is a good chance it will work!  If it doesn't it's just a matter of time before we find a US mobile service that will work for us.

Dalton McGuinty is driving people away from shopping or using services in Ontario.  Instead of that extra $20 collected it could be used towards buying consumer goods in Ontario.  He doesn't see that people are fed up with his dishonesty and taxing until we have nothing attitude.  This is going to be a very difficult for many Ontarians as they realize the full effects of the HST on just electricity and home heating, both of which increase during the cold winter months.  I also don't think McGuinty realizes we now live in a global community so Ontarians do have options for avoiding the HST.

I would be curious as to how many Ontarians will simply choose to leave Ontario permanently and how many will choose to live outside of Ontario for a good portion of the year?  While I've seen no reports on this effect of the HST, I'm sure it is happening.  The HST was directly responsible for our decision to buy a vacation home outside of Ontario and it is a major factor in us choosing to live outside of Ontario for extended periods of time.  I think this will be a growing trend for many!

Garden Gnome
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