PST will drop to 7%
Starting on Canada Day, the provincial sales tax drops to 7%.
The one point reduction to the PST was promised by Brian Pallister during the 2016 election campaign that saw his Progressive Conservatives replace the NDP.
It was in 2013 that then-premier Greg Selinger broke an election promise from 2011 and increased the PST to 8%.
The Canada Day start date for the reduced sales tax will make it six years to the day from when it was increased.
For a family of four, it means savings of about $500 per year. For a single member household, that savings is closer to $200..
Today’s announcement that the PST will drop by a point isn’t the only noteworthy thing to be included intoday’s provincial budget.
Finance Minister Scott Fielding also says that ambulance fees will have a maximum of $250. Also, taxes on both cigarettes and alcohol are remaining where they are.
The provincial government continues to decrease the deficit with this budget. Fielding predicts a $360 million deficit for the next fiscal year, $161 million less than the deficit projected from the previous fiscal year.
And a few northern communities are going to see some provincial dollars. The airports in Shamattawa, St. Theresa Point and Norway House are all slated for major improvements.