Thursday, July 01, 2010

On rationalizations

Bill Tieleman's response to Gordon Campbell's HST op-ed is definitely worth a read. But for those of us in Saskatchewan, it's part of Campbell's excuse after the fact that bears particular attention based on the spin currently emanating from our own premier:
Although you may not have seen much media coverage before last summer, combining the PST and GST to create a harmonized sales tax is something that has been discussed publicly for many years.

Federal governments - past and present - and business organizations - large and small across the province - repeatedly asked us to harmonize the PST with the GST...

Each time we were asked, we said we would not consider it for two primary reasons. First, it would eliminate B.C.'s ability to set our own tax rate.

And it still does - BC has given up its tax sovereignty to Ottawa for the most part.

Second, we wanted to be able to shape our tax regime with flexibility that would allow us to exempt certain goods and services from being taxable. It wasn't until last year that kind of flexibility was available.
So the fact that harmonization had been discussed in some circles before - even having been rejected by Campbell's own government at the time - is being put forward as justification for not bothering to consider how the province might react to the HST, whether by consulting with voters, or even by taking their interests into account. Which looks to offer yet another parallel between Campbell's modus operandi and Brad Wall's - and serves as all the more reason to distrust Wall when he claims that we shouldn't worry about his making the same move in Saskatchewan.

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