Trudeau Government Eliminates GST/HST on Groceries and Children’s Items This Holiday Season
The federal government announced a plan to make groceries, children’s clothing, restaurant meals, and more free from GST/HST for two months, from December 14 to February 15. Prime Minister Trudeau stated this measure aims to help Canadians financially.
Families spending $2,000 on eligible goods would save about $100. In provinces with HST, families could save as much as $260. The government will also provide a $250 rebate for individuals earning under $150,000 in 2023.
Here are items that will be exempt from GST/HST if the legislation passes:
Groceries: Most food items are already tax-exempt, but the tax break will apply to prepared foods, snacks, carbonated drinks, fruit juices, and desserts.
Alcohol: Beverages with less than seven percent alcohol by volume, such as beer and wine, will be tax-free.
Restaurants: Meals from restaurants, whether consumed on-site, taken to go, or delivered, will not be taxed.
Children’s Items: This includes clothing, diapers, car seats, and toys designed for children under 14. However, sportswear for children will not qualify.
Printed Goods: Print newspapers and books are included. Digital publications and many magazines are excluded.
Other: Christmas trees, puzzles, and video game consoles will also be exempt from GST/HST.
This initiative aims to reduce the financial burden on families during the holiday season.
