Would Canadian Tariffs Be Less Impactful If Places Like Toronto Dropped Their 13% VAT Taxes?

[Gregmal]

Just curious. 

[Spooky]

My view is that Canada should drop the 13% HST (essentially a VAT). It is a regressive tax that penalizes consumption. Might be a good way to offset some of the pain from tariffs.

 

Toronto as a city doesn't have the power to impose the HST. We would need the federal / provincial governments to do this.

[LC]

I have no issue with VAT or sales tax in theory - as a tool for government (society) to discourage consumption of select goods/services.

 

E.g. you want to buy lettuce? OK no tax. You want to buy a 500 ft. yacht that has a ton of externalities? OK pay government (society) an 80% premium to do so. 

 

Obviously that's in theory, but you know it's like George said:

 

[Castanza]

Sounds great until "they" tell you to spend less time skiing and fly fishing and more time "providing for society" 

 

The example you give is what's used for the pitch. The reality is you start taxing shit like alcohol consumption food choices and lifestyles. There is a reason communist countries love VATs

[Gregmal]

Whatever it is, it seems they have a whole lotta excess money to waste on a lot of these social programs and regulatory adventures. Canadas financial relationship with the US is the equivalent to going out to dinner with your poorest friend, whom you typically just pay for, and later find out he inherited a few million bucks so you simply ask him to just start paying for what he orders. Then he's outraged, but in the meantime it also comes to light that while youve been paying for him, he's been pissing away money on sports betting and strip clubs. 

Edited February 3 by Gregmal

[Sweet]

Eye opening video from the leader of the opposition:

 

https://x.com/PierrePoilievre/status/1886400496727966089/mediaViewer?currentTweet=1886400496727966089&currentTweetUser=PierrePoilievre

[LC]

1 hour ago, Castanza said:

Sounds great until "they" tell you to spend less time skiing and fly fishing and more time "providing for society" 

 

 

Having heart palpitations just thinking about it...

 

But yeah you're right, that why in theory these types of  taxes sound good...but in practice everyone starts using them for personal interests. 

 

Less government, more pitchforks!

Edited February 3 by LC

[Spekulatius]

6 hours ago, Gregmal said:

Just curious. 

No. VAT does not hurt business like tariffs do.

[james22]

Canadians? Just curious.

 

 

[mcliu]

On 2/3/2025 at 1:52 PM, Gregmal said:

Whatever it is, it seems they have a whole lotta excess money to waste on a lot of these social programs and regulatory adventures. Canadas financial relationship with the US is the equivalent to going out to dinner with your poorest friend, whom you typically just pay for, and later find out he inherited a few million bucks so you simply ask him to just start paying for what he orders. Then he's outraged, but in the meantime it also comes to light that while youve been paying for him, he's been pissing away money on sports betting and strip clubs. 

 

Don’t trade surplus countries subsidize trade deficit countries since exports of real goods and services are being paid with credit?

[Spooky]

5 hours ago, james22 said:

Canadians? Just curious.

 

 

 

Yes, the inter provincial barriers we have to trade within the country don't make sense. For instance, in Ontario it is difficult for people to buy wine made in BC. Luckily this issue is garnering a lot more discussion so hopefully something can be done. We also have different securities regulators for each province which, in a country our size, makes no sense.

[Gregmal]

The whole point is areas of excess taxation don’t really have a right to complain about taxation. I’m from one, and the “take just cause you can” mentality only goes so far. Eventually people wisen up. NJ had to deal with this and is still trying to, as a result of the SALT cap. A government that lives on taxation needs to look in the mirror to fix the problem, rather than complain about someone else copying their playbook. 

[Spooky]

On 2/12/2025 at 3:19 PM, Gregmal said:

The whole point is areas of excess taxation don’t really have a right to complain about taxation. I’m from one, and the “take just cause you can” mentality only goes so far. Eventually people wisen up. NJ had to deal with this and is still trying to, as a result of the SALT cap. A government that lives on taxation needs to look in the mirror to fix the problem, rather than complain about someone else copying their playbook. 

 

True, this is a big problem in Canada with the Federal government just having one answer - increase taxes, rather than looking to do more with the spending / resources they have.