Harmonized sales tax gives Canadians little to celebrate July 1st

harmonized sales tax stop sign

“An overwhelming majority of people in Ontario and British Columbia oppose the HST, with most believing the biggest winners from the new tax will be the provincial and federal governments, according to results of the latest poll.” Van Sun

July 1st, Canada’s “independence day,” is around the corner (actually it’s tomorrow), but there’s not much of a reason to celebrate for the populations of Ontario and British Columbia who are about to see a wallop of a tax increase in their daily living purchases. Going along with the British tradition of taxing its colonies to death, the government of Canada (the federal government in particular) has foisted a “harmonized sales tax’ down the throats of the above mentioned provinces. It effectively raises taxation by at least 8 percent on goods and services consume daily with few exceptions. Indeed, this has to be one of the worst times to introduce a new tax considering that we’re teetering upon the precipice of an economic depression.

With increased consumption taxes, fewer people will want to go into small business, to work as unpaid tax collectors for the government. Many former & present small business owners will abdicate from opening further businesses. Of course, this will encourage Corporations who are quite willing to fill the void & extort taxes from their employees & customers. So, what you get with this sort of consumption tax, is greater intrusion by the State, & by Corporations like Timbits & WalMart into the private & public domains, plus increased servitude of labor & productivity to Corporate Entities. This is the Corporate Collective, the new feudalism. The alchemy of the Corporate interface reduces labor to a “cost” or liability of doing business. And we all know how Corporate Fictions like to keep their “wage costs” down so they can funnel more profits to their shareholders. Note how in recent history, the Corporate interface has gradually displaced your local merchant interface. These heavily capitalized & resource rich Entities, like Marks & WalMart, muscle in on & displace local small business initiative. In the market place, earned capital & the borrowing power of the average man, are no match for that of a Corporate System.

Besides, it’s easier for the Corporate State to deal with one Corporate Employer, to which IT farms out 18,000 employees (an “employee” is the property of the government) than it is for IT to deal with 18,000 independent merchants. So, the State just loves Corporations for their rate & convenience of “compliance.” In fact, this IS the tyranny of the Corporate Collective – “convenience.”

The most reductionist aspect of Corporations is, no employee owns his/her own labor or wages. Wages to the Corporation are “costs” & deemed rewards rather compensation.

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Corporations used to pay 50% of the taxes in countries like Canada and the US. Now they pay less than 20%, and people wonder why their government has no money. Tax breaks are just a race to the bottom; they’re not a real engine of growth. If Country A cuts its corporate taxes by 10% to attract business from Country B, Country B will just do the same and both will end up back where they started but both with government significantly more starved for cash than they used to be.

Globalization has allowed corporations to play countries against one another for too long; that’s why it’s time for global taxes that all corporations on earth pay equally. Then they can compete on true competitive advantage factors. The best place to start in terms of a global corporation tax is a tax on carbon emissions and energy use. That will help put governments back into the black and more importantly help our planet earth before it’s too late (which it almost already is).

Even the most oblivious moronic simpleton on the planet can see that there is no recovery. There is a deferred and deepened recession. This is something people who lived in Ontario when Bob Rae was Premier will be all to familiar with. During his 5 years in office Canada went through a recession and Rae vowed to “spend” his way out of it. At the end of 5 years Ontario had a $5 billion debt and the recession was really bad. I know $5 billion doesn’t sound like much, but back then it was a lot – before borrowing became the thing to do.

The only people that think they can borrow – and make no mistake about it that is what governments around the world are doing – your way to prosperity are dumb people. Unfortunately a lot of these people go in to politics. Actually, perhaps they are not as dumb as we think. They actually get their orders from their masters at the Club of Rome, Trilateral Commission, and Bilderberg groups. This was admitted.

So let me lay it out for you. As soon as the government stops spending the recession will come back. Only it will be much worse and much longer because now not only do we need to live through the normal economic contraction we also need to raise taxes and cut spending to pay for the foolish “stimulus” spending.

To make it 100% clear, stimulus spending never has and never will solve the problem of economic retraction – instead stimulus spending will make it longer, deeper, and worse. The bright side is maybe, if its long enough, you won’t have to pay your share, that can be paid by your children, and their children – and if you think that is a good idea you should be ashamed of yourself.

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