New Brunswick's official opposition wants government to drop the Harmonized Sales Tax (HST) from heating expenses.
This comes after NB Power's proposed 8.9 per cent rate hike.
"We got together as a group to talk about what could be done to provide help and are recommending that government consider enhancing the food and fuel benefit so that more people are eligible to receive the support,” said Susan Holt, the leader of the New Brunswick Liberal party.
“And, they look at taking the HST off of home heating costs to provide immediate relief to people right now,” Holt said.
It's an idea endorsed by the Canadian Taxpayers Federation.
"Dropping the HST would certainly help to lower the bills that folks are paying at the end of the month when it comes to home heating and electricity,” said Jay Goldberg, the interim Atlantic director at the Canadian Taxpayers Federation.
“I think it would be substantial because obviously, the HST is 15 per cent,” Goldberg said.
Holt says dropping HST on heating costs is the easiest way to keep dollars in people's pockets and that it would be complimentary to the food and fuel benefit.
"People are looking for immediate relief,” she said.
“There are people who are not sure how they're going to pay their bills today and that's something that can have an immediate impact,” she said.
“It's very low administration. It's not expensive to implement, it isn't going to cost the government a ton of money to figure out how to do this.”
The Taxpayers Federation is hoping the Higgs government takes that one-step further.
"What we have suggested is that the sales tax come down because governments are profiting off of inflation,” Goldberg said.
“When prices go up, because sales tax is charged as a percentage of the total good, governments are raking in more money than ever before. In fact, last year, the Higgs government saw $300 million more in sales tax than they expected," he said.
A response from government said, in part, "Government is not considering removing the HST on home heating fuels, we have chosen to support New Brunswickers with a variety of other measures that complement existing programs and services."
Some of these measures include the Emergency Food and Fuel Benefit, the Emergency Fuel Benefit of up to $550, and the Enhanced Energy Savings Program for families with a combined gross income of $70,000 or less.
The provincial budget will be delivered on March 21.
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