(Sept. 7/16) Your PST exemption on restaurant meals may be on the chopping block. B.C.’s Commission on Tax Competitiveness is reviewing its PST and other business taxes for increased competitiveness.

What does this mean for you?
The province has ruled out a return to HST, but may consider changing the PST to a value-added tax — which would remove the PST exemption on restaurant meals for financial viability.

Provinces with a PST exemption on restaurant meals typically enjoy higher foodservice sales. When B.C. moved to the HST between July 2010 and March 2013, the cost to eat out rose by seven per cent. Restaurant sales fell 4.25% during this period (holding all other factors steady).

What you can do
Restaurants Canada will provide our feedback to the Commission in a written submission. We invite members to weigh in by e-mailing Mark von Schellwitz by Sept. 28.

You can also give your input directly to the commission filling out its online form by Sept. 30.

More information
Read more about the goals and scope of the Commission on Tax Competitiveness.
Read the B.C. government’s press release on plans to improve the province’s tax structure.
Learn about the members of the Commission.

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