Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP
Posting-Version: version B 2.10.1 6/24/83; site hcrvx1.UUCP
Path: utzoo!hcr!hcrvx1!hugh
From: hugh@hcrvx1.UUCP (Hugh Redelmeier)
Newsgroups: ont.general
Subject: Re: whether to show the retail sales tax
Message-ID: <1494@hcrvx1.UUCP>
Date: Tue, 10-Mar-87 12:52:32 EST
Article-I.D.: hcrvx1.1494
Posted: Tue Mar 10 12:52:32 1987
Date-Received: Wed, 11-Mar-87 05:36:36 EST
References: <5626@watmath.UUCP> <7746@utzoo.UUCP> <2415@watdragon.UUCP> <1623@lsuc.UUCP>
Reply-To: hugh@hcrvx1.UUCP (Hugh Redelmeier)
Organization: HCR Corporation, Toronto
Lines: 24
Summary: 

In article <1623@lsuc.UUCP> dave@lsuc.UUCP (David Sherman) writes:
>
>Whether the sales tax is to be shown separately (as with Ontario
>sales tax and federal sales tax on printing) or is to be built into
>the price the customer sees (as with federal sales tax on most
>consumer items) is determined by law, not by the individual business.

Actually, it was determined by our constitution!  The British North
America Act said provinces could not levy "indirect" taxes (i.e., a
tax charged to someone other than the person who would ultimately
pay it).  The sales tax would have been indirect except that it is
paid by the customer, to the government (through the government's
agent, the vendor).

I think that this restriction on provincial power is not in our new
Constitution (traded away during negotiations?).

I think there is real merit in this way of charging tax: the
consumer sees the money going to the government.  It is very easy to
fail to notice hidden tax (e.g. Federal Sales Tax, corporate income
tax, duty, etc.).  I wish all taxes were as visible.

Hugh Redelmeier (416) 922-1937
utzoo!hcr!hugh