HST Slams the Service Sector
Sep 29th, 2010 by Laura MacDonald's Blog
The implementation of the harmonized sales tax (HST) in British Columbia, has become a source of constant stress for numerous businesses. In particular, restaurants have been negatively impacted by the HST. For instance, restaurant owners have found that their consumer base has dwindled due to this increased taxation. Regular customers would be less inclined to eat out at restaurants due to the extra cost imposed by the HST at this time.
As well, according to the CBC News article, “HST hurting B.C. restaurants: survey” this decrease in clientele has forced staff reductions and shorter business hours. This is a huge issue in for smaller restaurant businesses that might have been struggling before the HST was introduced in July. In fact, the HST could result in the loss of many small, independent restaurants. Imagine discovering one day in the near future, that one’s favourite Mexican restaurant has closed down. Clearly, it would be quite distressing to a community to learn of the demise of a local restaurant. However, this soon could become the fate of many small restaurants, if the effects of the HST are not combatted.
Read more:
www.cbc.ca/canada/british-columbia/story/2010/08/03/bc-hst-hurting-restaurants.html