GST 6% on July 1st.

[benyl]

http://www.cbc.ca/news/background/budget2006/

The only problem I have with this is that people are now going to wait to buy big ticket items. This *could* have an adverse affect on the economy this quarter.

I would wait until July 1st to buy a new car, new TV, new anything.

[Hakkola]

"For people buying a new home before that, a "transitional adjustment" equivalent to the difference in rates will be offered through the income tax system. "


... I'm amazed, someone said they'd cut taxes and actually did it.

[Weapon_R]

Wow, it's great that they are implementing their promises so quickly. This is fantastic for anyone making a decent-sized purchase. Is there any indication of what it will do for home buyers (who buy new @ 4.48%)?

[sputnik]

Originally posted by benyl
http://www.cbc.ca/news/background/budget2006/

The only problem I have with this is that people are now going to wait to buy big ticket items. This *could* have an adverse affect on the economy this quarter.

I would wait until July 1st to buy a new car, new TV, new anything.

That theory has been proven to be pretty weak. Several big ticket retailers interviewed by the CBC said they would happily drop the price by 1% to make a sale before July 1.

[benyl]

cool, could be a bargaining chip for the new road bicycle I want to buy... haha

[benyl]

Originally posted by Weapon_R
Wow, it's great that they are implementing their promises so quickly. This is fantastic for anyone making a decent-sized purchase. Is there any indication of what it will do for home buyers (who buy new @ 4.48%)?

I could be mistaken, but I don't think that new homes have a fixed rate. Someone told me that the closer you get to $400K the closer the GST gets to 7%.

I don't take possession of my new house until October... the builder better adjust the GST on the price without changing the price of the entire home.

[joyridder]

ahah I was just looking at the same link and thinking I should post that...
Hakkola has it right - finally a government who fills election promises.....

[Vagabond142]

Gah... I wanted to buy my new monitor before July

Bad timing on the part of the Conservatives, but hey, it's still only 2 months of eye strain away

[CasperWho]

-1%

meh, it wont change any of my spending plans till then...

[USED]

On the news this morning they were saying that the 1% cut on GST will give an average savings of $200/year

[Weapon_R]

Originally posted by Vagabond142
Gah... I wanted to buy my new monitor before July

Bad timing on the part of the Conservatives, but hey, it's still only 2 months of eye strain away

On a $400 monitor, the savings are only $4.00. I'm sure it isn't worth deferring.

[mac_82]

Originally posted by benyl
I could be mistaken, but I don't think that new homes have a fixed rate. Someone told me that the closer you get to $400K the closer the GST gets to 7%.

I don't take possession of my new house until October... the builder better adjust the GST on the price without changing the price of the entire home.

You can apply for the rebate if you meet all the following conditions:

-the home is intended as the primary place of residence for you or a relation
-the purchase price of the home before taxes (for both the building and land) is less than $450,000 (could still be eligible in Nova Scotia over 450k)

Now some home builders will factor the rebate into the price, and some don't, so you have to apply for it yourself which could take some time. Make sure you find out.

[Dren]

better than noting

[b_t]

Originally posted by USED
On the news this morning they were saying that the 1% cut on GST will give an average savings of $200/year

a tax cut is almost purely posturing. The GST does not make a big difference. if they cut income tax rates across the board, then it would be something to write home about!!

[sputnik]

Originally posted by b_t
a tax cut is almost purely posturing. The GST does not make a big difference. if they cut income tax rates across the board, then it would be something to write home about!!

There isnt much of a difference. A 1% income tax cut will still only be a few hundred dollars per person.

[Hakkola]

Yeah, it is better than nothing, it's not huge but it's a step in the right direction.

[max_boost]

OH well, I could have saved $1k on the car. But I'll gladly take it June1, than wait another month anyway.

My complaint is, I have memorized the entire pricing sequence at my restaurant so this 7% to 6% thing is going to throw me off for a bit.

[googe]

haha, im surprised people care. on a $1000 purchase, you save 10 bucks...wow. Not going to make or break any deals with that. Of course retailers are willing to drop 1% to make a sale

[googe]

Originally posted by max_boost
OH well, I could have saved $1k on the car. But I'll gladly take it June1, than wait another month anyway.

My complaint is, I have memorized the entire pricing sequence at my restaurant so this 7% to 6% thing is going to throw me off for a bit.

you bought a $100,000 car? what is it?

[gp36912]

^^^^ wow big spenda 100k on a car wanna lend me some moola for a good camera ? lol