Ontario HST rebate cheques are on their way, just in time for the Holidays! The second wave of Ontario HST cheques, promised by the Ontario government, will begin going out today, HST Ontario has learned.

From today through December 17th qualifying Ontario residents will begin receiving their 2nd HST rebate in the mail or by direct deposit.

The first HST cheques were sent out in June 2010. The third Ontario Sales Tax Transition Benefit is expect to arrive in June 2011.

How do you get an HST rebate?

If you qualify for the Harmonized Sales Tax rebate, you don’t have to do anything. The CRA administers the Ontario Sales Tax Transition Benefit (HST Rebate) to Ontario residents who have filed their 2009 income tax return.

Happy Holidays!

It’s been 79 days since harmonized sales tax was implemented in Ontario Canada and the conversation seems to have died.

Maybe it’s because we are Canadian and therefore less likely to fight each other on these issues when there is work to be done and fun to be had? Or maybe it’s because the biggest changes from HST are still relatively small? After all the percentage of sales tax charged in Ontario didn’t rise on most items.

Or maybe we’re wrong and the conversation is still loud and ongoing?

After almost 3 months is HST still a hot topic? Are you talking about it with your friends? Do you care?

HST Ontario wants to know if the conversation is still on going.

Is your Facebook or Twitter account still protesting or supporting HST? Or did you get your HST rebate cheque and then check out of the conversation?

Let us know and start the conversation by sharing this post on Facebook, Twitter, Digg or by email!

After all, if you want the conversation pointed towards repealing HST in Ontario or you want see more tax change in Canada, the conversation has to start somewhere.

What do you think?

Disclaimer: HST Ontario would like to remind its readers that this website and its content are not owned or operated by any government or political party and its operators do not support or dispute HST in Ontario. We are simply here to share news and information on harmonized sales tax.

Happy Canada Day Everyone. Today you’re getting a gift from your government – harmonized sales tax. For some HST is considered a special gift but for many more Ontario residents HST is a gift they would rather return.

Regardless of your opinion, one thing is for sure: Today’s gift of new sales tax is no surprise. The government, media and many politicians have gone out of their way to make sure Ontario saw HST coming.

Today is the day. Many Canadians in both Ontario and BC have been anticipating the new tax and the changes that come with it.

To help you prepare for your new world of HST, HST Ontario has grouped together many must have resources:

• List of HST Changes – A detailed guide to HST changes in Ontario – effective today
• HST Exemptions – Find out what is exempt from HST in Ontario Canada
• Less Sales Tax – Read about the very few items seeing a tax “cut”
• Services Subject to HST – Find out what services will be subject to HST
• Items Subject to HST – A list of items that are now taxed HST in Ontario
• Harmonized Sales Tax – What is HST and how does it work?

Happy Canada Day.

Important: Please note that HSTOntario.com is NOT affiliated with the Canadian or Ontario government or any tax, political or government related business. HSTOntario.com is for educational purposes only & does not support or opposed harmonized sales tax in Canada.

HST Ontario has put together a list of all the major upcoming tax changes in Ontario. Here is: A Detailed Guide to HST Changes in Ontario

• Domestic Airfare – Any domestic air travel that originates from Ontario will see a tax increase. Airfare in Ontario is presently taxed GST only, after July 1 all flights leaving Ontario will be subject to HST.
• Domestic Rail – Traveling along the rails will cost you more sales tax. Rail fare originating from Ontario will increase to thirteen percent when harmonized sales tax starts in July.

• Domestic Bus – Bus trips, along with train and air that department from Ontario will be subject to the new 13% sales tax.
• Taxi – Sales tax on taxi travel in Ontario is also increasing. After July 1st cab rides in our province will be subject to HST.
• Hotel Accommodation / Camping Grounds – Renting a hotel room Ontario is about to cost you a little more. Hotels, which are currently subject to GST 5% & RST 5%, will be taxed HST after July 1st. Camp grounds will also begin charging the new tax.

• Alcoholic Beverages – Currently taxed at 15% – 17% alcohol is one of the few items getting an HST tax break. While sales tax will be lower on alcohol because of HST, other alcohol fees and taxes will eventually change to encourage better alcohol responsibility. These changes are expected to increase costs or fees, ultimately leading to a higher alcohol tax.
• Cigarettes – Right now cigarettes in Ontario are only taxed GST. After July 1st their sales tax will increase and cigarettes will be subject to HST.
• Other Tobacco – Along with cigarettes all other tobacco purchases will be subject to the new sales tax. This includes chewing tobacco, loose tobacco and cigars.
• Nicotine Cessation Products – All quit smoking aids and nicotine replacement therapy products will be taxed HST. Unfortunately there will be no tax advantage to quitting smoking.

• Internet Access – What you’re doing right now is going to cost you a little extra each month. Today, Internet access in Ontario is taxed only 5% GST. That is going to change. Beginning July 1st, Internet access is subject to HST.
• Landscaping / Lawn Care – Landscaping services in Ontario, which are currently subject to 5% sales tax, will be subject to the entire 13% HST. The new tax will apply to all landscaping and lawn care services.
• Snow Removal Services – This speaks for itself. Snow removal and related services will be subject to HST.
• Service / Maintenance Services – Going forward most home service calls will be taxed HST. The list of HST applicable service and maintenance calls includes plumber, electrician and carpenter services.
• Home Renovations – Home renovations will be subject to HST in Ontario, increasing their sales tax from 5% to 13%. Building materials and lumber are already taxed at 13%.

• Gasoline / Diesel – Both diesel and gasoline are seeing a tax increase in Ontario. Gas, which is currently subject to GST alone, will be subject to the new HST. Diesel will receive the same tax increase.
• Electricity – Electricity is taxed only GST. That is changing to accommodate the new HST tax in Ontario.
• Natural Gas – Natural gas and heating oil used at home, along with electricity, will be subject to the new sales tax in July.

• Vitamins / Natural Health Products – When HST launches in July vitamins and (some) natural health products will go from being taxed 5% to the full 13%.
• Massage Therapy – Sales tax on massage therapy services will increase with HST. Chiropractor services will continue to be tax free in Ontario.

• Automobiles – The private resale of vehicles in Ontario is currently taxed at 8% PST. Although these private sales will not be subject to HST their PST will increase to match it at 13%. The reason behind the tax change is to help maintain fairness in the Ontario used vehicle market. Many argue that auto dealers in Ontario are disadvantaged when it comes to selling used vehicles because of the tax break on private sales. The problem is compounded by curbsidders, which are a type of car dealer that falsely pose as private sellers to avoid GST (among other things).
• Home Purchases – Homes in Ontario purchased for more than $400,000 will be subject to HST. Purchasers will have an opportunity to apply for a new housing rebate of up to 75% of the Ontario portion of HST. The maximum rebate available will be $24,000. If the new home is valued at over $400,000 and purchased as a primary residence it will be eligible for the maximum rebate of $24,000.
• Real Estate Commission – Real estate agents will see an increase to their real estate commissions. Real estate commissions in Ontario will be subject to harmonized sales tax.

• Hockey Rink Rental – The rental fee for renting a hockey rink in Ontario will be subject to HST after July 1st 2010.
• Hall Rentals – The sales tax on renting a hall or banquet will also change to include HST after July 1st.
• Magazine Subscriptions – All Ontario magazine subscriptions are going to be subject to HST sales tax.

• Hair Styling / Hair Cuts – Getting a hair cut? Get one before July 1st because after that you’ll be paying HST for all your hair styling and hair cutting.
• Esthetician Services – Facials, manicures and other esthetician services will soon see a tax change. The tax on these services will increase from 5% sales tax to 13%.
• Dry Cleaning – Starting in July HST will be applied to all dry cleaning services in Ontario.
• Personal Training – Personal training and sport specific training in Ontario will be subject to HST. Currently these services are PST free. Gym memberships are also subject to HST in Ontario.
• Legal Fees – Legal fees in Ontario will see an increase to include HST. Fortunately, legal aid will remain tax free in Ontario Canada.
• Funeral Services – Funeral services in Ontario will be subject to HST after July 1st. Funeral specific purchases such as coffins or urns (when purchased outside of a funeral package) are currently being taxed at 13% with both GST & PST.

• Theatre Tickets – Live theatre with seating of 3,200 or less is currently subject to GST only. In July that will change and tickets to those events will see an increase in tax to include HST.
• Golf Green Fees – The GST only green fee Ontario residents pay when they golf is going to change. Green fee taxes will rise when they become subject to HST.
• Gym Memberships – As of May 1st 2010 any gym membership purchased that carries past July 1 2010 is subject to HST. Gym memberships in Ontario were previous taxed GST only.
• Sports Memberships – The same change in sales tax also applies to sports memberships in Ontario.
• Athletic Lessons – Martial arts, dancing, hockey and other sports lessons will be taxed HST in Ontario. This is an increase of 8% from the current GST only process.

Thank you for reading the most recent HST Ontario guide to tax changes. As an unbiased source of information and news on harmonized sales tax, we feel its important for Ontarians to be informed.

Forward this link and website to your friends and fellow Ontario residents to help keep them informed about tax change in Ontario.

Are you looking for a list of HST exemptions? Check out our Ontario HST exemptions page for a detailed guide to exemptions in Ontario.

For more information on HST in Ontario you can review our list of common HST questions, visit the Ontario Governments “official” HST page at ontario.ca/taxchange or visit any of the many news sites and blogs dedicated to HST across the Internet.

Disclaimer: While our list of HST changes in Ontario is detailed and to our knowledge completely accurate, it only addresses the most common goods and services in Ontario and could contain errors.

When HST begins you will pay more sales tax on many goods and services in Ontario. That is a fact.

Here is another fact: Some purchases will see a tax decrease when HST launches in Ontario. Surprised? So were we.

While it’s not much, it is still pretty cool to know the following items will see their sales tax reduced when HST launches:

• Sports Event Admission – Going to see a professional hockey or baseball game? After HST comes to Ontario the taxes you pay on tickets will be reduced from 15% to 13%.

• Movie Theatre Tickets – In Ontario movie tickets are charged a combined 15% sales tax. When HST begins in July that tax will drop to 13%.

• Alcoholic Beverages – Current sales tax on alcohol in Ontario is 15% to 17%. HST will lower the sales tax to 13% – BUT alcohol specific taxes and fees will be changing. This is the province working to support social programs and responsible drinking.

A small drop in the sales tax on three non-essential items is nothing compared to major HST tax reform but it is still news worth sharing.

Even though the HST debate is still ongoing, it has not changed the inevitable: HST is coming to Ontario on July 1st 2010 and sales tax is going up.

Get ready for harmonized sales tax and get informed at HST Ontario.

Do you want to find out which purchases are HST exempt? Check out HST exemptions for a detailed list of items exempt from the upcoming harmonized sales tax in Ontario.

Like it or not HST is going to increase the sales tax on many goods and services in Ontario. While the ongoing HST debate is often centered on the addition of taxes, the increase is just part of the HST landscape.

The Ontario Ministry of Revenue has claimed that 83% of consumer purchases will not receive an increase in sales tax. That means there will not be a tax increase on most purchases made in Ontario.

It also means, for the most part, sales tax will remain the same on many purchases. If HST does remove the hidden costs of PST, as claimed, then the price of these ‘no change’ items could be eventually be reduced.

HST Ontario has put together a list of purchases that will not see a tax increase. The majority of the goods and services listed are presently taxed GST & PST at a combined rate of 13%. On July 1^st 2010 most of these items will be taxed HST at that original tax rate.

No Change Items

Food and Beverage

• Snack food (junk food etc.)
• Dinning out food (Over $4.00)
• Fast food (qualifying foods under $4.00, HST exempt at 5%)
• Basic groceries (meat, canned food, vegetables etc.) – No tax

Clothing

• Alterations / tailoring / shoe repair
• Clothing for adults
• Children’s clothing (HST exempt at 5%)

Household

• Cable / mobile / home phone services
• Home repair services (appliance repair)
• Cleaning / laundry products
• Computer software
• Some home appliances (refrigerators, freezers)
• Home / patio furniture
• Magazines / newspapers (only purchased at retail locations)
• Toys / outdoor play equipment
• BBQ equipment
• Lawnmowers / landscaping tools / tools
• Televisions
• DVD / Bluray / MP3 players
• DVD / Bluray / CD content
• Cell / smart / mobile phones
• Luggage

Health and Beauty

• Cosmetic products
• Over the counter drugs
• Hair products (shampoo, styling products)
• Dental hygiene products

Automotive

• Automobile purchase at dealership
• Vehicle leasing
• Auto rentals (short term)
• Snowmobiles / four wheelers / boats etc.
• Vehicle parts / tires / vehicle service labour

Sports and Entertainment

• Hockey equipment
• Golf clubs / equipment
• Skis / snowboards

The Ontario and British Columbia Harmonized Sales Tax begins on July 1^st 2010. Are you ready? Read our items subject to HST, services subject to HST and list of Ontario HST exemptions for more information regarding the upcoming changes.

Breaking News

The much talked about HST rent increase is no longer! On Monday April 12, renters in Ontario got a break. The upcoming harmonized sales tax will not result in a rent increase according to Premiere Dalton McGuinty.

While promising to be fair to both tenants and landlords the Premiere announced today that an HST related increase in energy costs will not cause rent to rise.

Last year landlords warned renters across the province that rent costs will rise because of HST. Todays good news was described as the closing of a ‘loophole’ in rent regulations. The rent ‘loophole’ allowed landlords in Ontario to apply for above-guideline rent increases to counter a 13 percent increase in utilities.

McGuinty described an opportunity to apply for rent increases based on the consumer price index as fairness for landlords. The option means landlords will only be able to request rent hikes when the consumer price index increases, which he predicted will see “very modest” increases.

HST Ontario

Our techo friends at the Ontario government recently released a new video that debunks what they call HST myths. The video, in the most basic way, addresses some of the many negative talking points Ontarian’s are being exposed to.

HST Ontario thinks its a good thing to see the government embracing the technology we use – even if it is to support a new sales tax.

Check out the HST video after the jump.

Read transcript

Ontario’s upcoming HST is a hot topic right now with many strong opinions pushing against both sides of the HST fence.

As always its important to remember that HST Ontario is not affiliated with any government, HST body or agency related to HST. Our role on the internet is to provide news, facts and information on harmonized sales tax and tax reform in Ontario.

HST Ontario is dedicated to sharing a range of HST opinions and perspectives in the HST debate.

Our always expanding coverage of the HST debate begins here with a brief glimpse at the two opposing sides in the HST argument:

Fighting HST

Many anti HST movements surprisingly consist of both conservative and liberal Canadians, many with their own opinion or grievance against HST.

Here are just a few reasons why the anti HST crowd is no fan of the new Ontario sales tax:

• Tax Increase – Most of the argument against HST surrounds the fact that on July 1st many items that were once ‘lightly taxed’ will now bear a robust 13% sales tax. This tax increase, for many Canadians, just doesn’t sit well.
• Timing – A major issue Ontario residents and anti HST politicos take with HST is its timing. The problem? While the economy is in recovery mode after what some call the worst financial crisis in decades the people of Ontario are being “slapped” with a tax hike. To many, increasing sales tax in a bad economy is both unfair and dangerous.
• Cash Grab – Tax, defined, is a way for governments to absorb revenue from the people it governs. Canada has always been able to appreciate that their higher tax rates lead to better public services but in the case of HST many citizens and politicians view the new tax as a simple and unfair tax grab.

HST Ontario wants to point out that the case against HST is not limited to the issues mentioned above. Visit our HST Debate page for more insight into the HST argument.

Defending HST

Then there is the other side, the pro HST movement. Team HST is full of supporters that see HST as a means of absolving hidden taxes, creating jobs and updating a tired old tax system for a more efficient Ontario.

Here are just a few points Ontario HST supporters are making:

• Tax Savings – Because HST will allow business owners to receive more back from the government, many of them support the new sales tax. By charging a single value added tax that businesses can claim back, there is speculation that overall costs will eventually drop leading to price reduction for many goods and services.
• More Jobs – Many HST advocates point out that implementing harmonized sales tax in Ontario will mean an increase in jobs. It has been stated that HST tax reform will allow businesses to avoid sales tax on many items they need to operate and boost investment in Ontario business to the point where over 500,000 new jobs will be created.
• Reduce Hidden Costs – In many cases sales tax is charged and compounded at multiple levels of the production process. Those taxes are often passed down to the consumer in the form of increased prices. With HST, businesses will be free from paying sales tax on many items, including those they need to operate. Many believe this will lead to a reduction in both costs and prices.

Please note that the argument for HST, like the argument against HST, is much more complicated than the points above.

Please come back for more insight on HST in Ontario and to be included in the ongoing conversation.