B.C. businesses will see savings in the new year, resulting from the Province’s 50 per cent cut to the provincial sales tax on non-residential electricity.
Back in January numerous mayors, including the Municipality of North Cowichan’s Jon Lefebure wrote to the, then, Finance Minister, Mike de Jong asking for a reduction in the sales tax as a measure to assist struggling sawmills and pulp mills.
At the same time, a senior vice president with Catalyst Paper said a cut would be good news for the pulp and paper industry, it’s workers and communities where they operate.
B.C. is the only jurisdiction in North America to charge sales tax on electricity used by businesses.
Finance Minister Carole James says following the 50 per cent cut, that will take effect in January, the government will completely eliminate the PST on non-residential electricity on April 1st of 2019.
At the same time, the province has announced, effective January 1st the tax on cigarettes will go up just about a penny a smoke.