Twelve per cent HST? Guess again.

To the editor:

Twelve per cent HST? Guess again.

Lets look at two examples:

Before HST:

1. Hot dog at outdoor vendor: \$2.50

After H.S.T.: \$3.

A mark up of a whopping 20 per cent, the vendor’s reasoning being “because of HST I have to pay extra for my buns, wieners, condiments, napkins, vehicle expenses etc.”

The actual extra cost, when carefully calculated, would be at the very most 12 per cent, but we the consumer pays an extra 20 per cent. The HST gives the vendor an excuse to raise his price. Good for the vendor, but not good for the consumer.

2. Home repairs (plumbing, electrical, heating, carpentry, etc.) As an example, you must replace your kitchen taps:

• If you purchase and install them yourself:

Before HST:

Cost of taps \$50 plus 12 per cent (if you purchase them yourself).

After HST: same.

• Using hired labour at \$50/hr:

Before HST

2 hours labour is \$100 plus 5 per cent GST is \$105.

After HST:

The plumber is forced to raise his labour costs due to extra costs incurred by HST, so say \$55/hrs at 2 hours is \$110 plus \$13.20 (12 per cent HST) is \$123.20

The extra cost is \$18.20 or 17.33 per cent.

The example of home repairs is very conservative and in many cases would be considerably more. Again, the HST can be good for the contractor but not good for the consumer.

Obviously the more taxes the government can rob from the people the more they can look good when giving a little back.

The HST is a federal tax and all funds raised by same is controlled by Ottawa.

Make any sense?

Positively not.

So vote “yes” on your ballet to get rid of HST

Ray Forney,

West Kelowna

Kelowna Capital News