HST Keeps Getting Better and Better....

...and I mean that in the most sincere way. I've been very clear about where I stand on the HST: I think it is a smart economic policy, which will boost competitiveness, drive job-creation, save government money, and strengthen our economy. And now I've found yet another reason to applaud this new tax policy. The government recently released a list of items that will be taxed and not taxed by the HST. (You can find that list here.) On that list, you'll see that when the HST starts on July 1, it will apply to adult clothes bought for children. Currently, if you buy adult clothes you pay the full 12% tax of GST and PST. However, if you claim you are buying the items for a child, you can save the 7% PST right at the register. With the HST, that will no longer be allowed and it's about time. Having worked in retail for years, I can personally tell you that this PST exemption was wildly abused. I know of countless times I removed the PST from an item that I knew was for the adult who was buying it, not their child. I had tourists coming to my store who could barley speak English, but were well informed to say "No PST". I distinctly remember thinking about all the money being lost to untruthful shoppers and I am thoroughly impressed that the government has abolished this practice. I am sure that some big-boned teenagers would really do need adult clothes will be put out by this change, but for the most part this is a smart move that will close a pretty big loophole for tax evasion that currently exists at every checkout and register in the province.