June 23, 2010

SMALL BUSINESS OWNERS JOIN WITH OPPOSITION TO CALL ON GOVERNMENT TO STOP THE HST

BC OFFICIAL OPPOSITION MEDIA RELEASE

June 23, 2010

SMALL BUSINESS OWNERS JOIN WITH NDP TO CALL ON B.C. LIBERALS TO STOP THE HST

VANCOUVER – Small business owners joined Carole James and the New Democrats today to highlight the negative impact of the HST and call on the B.C. Liberals to stop the HST.

"Small businesses are integral to B.C.’s economy. As the province recovers from the global recession, the B.C. Liberal government must take steps to support the small business sector. They can start by listening to small business owners and scrapping the HST,” said James, Leader of the B.C. New Democrats.

“British Columbian families and small businesses have rejected the HST. Now it’s time for the B.C. Liberals to do the same, and abandon the HST before it takes effect next week.”

James and New Democrat MLAs were joined by representatives from the Fraser Valley Grocers Association, Korean Businessmen’s Co-op Association of B.C., United Korean Businessmen’s Association of Canada, the Fraser Merchandise Association, and the Lower Mainland Independent Grocers Association.

“While Ontario is providing over $400 million in transition assistance to small businesses to prepare for the HST, in this province, the B.C. Liberals are cutting small business loose,” said Jenny Kwan, New Democrat small business critic and MLA for Vancouver-Mount Pleasant.

“The HST could be a fatal blow to many small businesses already hurting from the economic downturn,” said Bruce Ralston, New Democrat finance critic and MLA for Surrey-Whalley. “This is the worst time to introduce a new tax that could damage consumer confidence and curb spending.”

A new analysis from Statistics Canada found that the HST will cost British Columbians between several hundred and over a thousand dollars per year, depending on their income. The average B.C. family will pay $521 more per year under the HST.

“We will have to charge HST on items such as chocolate bars, pop and peanuts.  We aren’t in a position to raise our prices so we will take a hit on our bottom line,” said Harry Hur, president of the Korean Businessmen’s Co-op Association of B.C.

“Small businesses will also be losing the $200 monthly PST commission,” said Charles Chui of the Lower Mainland Independent Grocers Association.

“We’ll now be forced to charge HST up front on items that used to be PST exempt.  We are a low cash flow business and we will feel the impacts of this immediately,” said John Bok, spokesperson for the United Korean Businessmen’s Association of Canada.

Carole James and the New Democrats will continue to hold the B.C. Liberals to account for their HST deception and the $1.9 billion tax shift on to consumers.