Harmonizing provincial and federal sales taxes would mean short-term pain for consumers, but long-term gain for the economy, according to a new Ontario Chamber of Commerce study.
Chamber president and CEO Len Crispino Thursday urged Ottawa and Queen’s Park to blend the eight per cent provincial sales tax and the five per cent goods and services tax.
Armed with a 102-page report to bolster his argument, Crispino said following the harmonization lead of Quebec, Nova Scotia, New Brunswick and Newfoundland would benefit Ontario’s struggling economy.
“In a quick nutshell, harmonization really results in one base of taxation, one base of administration. There’s one rate, there’s one tax,” he told a news conference.