Call for Action: 2009 Provincial Budget (Harmonized Sales Tax)

Yesterday the McGuinty government announced its intention to harmonize the goods and services tax with the provincial sales tax. The result is a harmonized sales tax of 13% to be applied to all services and goods.

As a result of this change, provincial sales tax will now be levied on legal fees, appraisals, real estate commissions, home inspection fees and other services related to a real estate transaction. This change will be effective July 1st 2010.

I believes that this tax grab will severely hurt the resale housing market and reduce affordability for Ontarians trying to buy a home.

I encourage everyone to write their MPP to express their outrage at these new taxes and to tell them how badly they will hurt the real estate market in your area.

Please visit www.orea.com/consumercfa to send your letter today. It only takes a couple of minutes and everybody's support can help!