(May 15/17) Dear Restaurant and Bar Owners,
The federal government wants to implement a 2% increase in the excise tax on alcohol. As if that’s not bad enough, the budget includes an annual increase, based on the Consumer Price Index, every April – forever! Restaurants Canada wants to put a a lid on this annual increase because higher excise taxes mean higher costs for your business!
Note: The excise tax increases will be added to the base price of all alcohol products. Provincial mark-ups, levies and fees, as well as provincial and federal sales taxes, will be layered on top. Customers won’t see this escalating tax, but it will significantly increase the price they pay for beer, wine and spirits once the cumulative effect of liquor board markups, GST and PST are added in.
We need your help, now, to get this annual tax increase (also known as the escalator clause) removed from the Budget Implementation Act.
Act now! Call your MP at their Constituency Office today
Tell your MP that you, your staff and your customers are opposed to the increase in excise tax on alcohol. Say that you’re especially opposed to the escalator clause that pushes this tax up every year.
Share these facts with your MP:
This excise tax coupled with the escalator clause will hurt your ability to hire and retain workers, and invest in the future of your business.
Alcohol is already one of the most highly taxed commodities in Canada. Increasing its costs will damage tourism, employment, economic growth and small businesses.
Legislating an annual increase in this tax every year, forever, is unacceptable and undemocratic. The government hasn’t considered the consequences of such a profound and perpetual tax increase on hospitality and tourism.
We’ve already started the fight…
Restaurants Canada has already taken action to try and stop the yearly escalation of this tax:
Read our letter to Finance Minister Bill Morneau.
We co-authored an opinion piece with the Canadian Vintners Association that was published in the The Hill Times, and republished in the Restaurants Canada blog.
See our full page ad in The Hill Times, published in partnership with our beer, spirits and wine partners.
See our presentation to the Senate National Finance Committee.
See our presentation to the House of Commons Finance Committee.
Read our letter to MPs.
…but you can still make a difference
Please make your call today. If we’re to stop the escalator clause, the government has to change its budget legislation before it’s passed. This is a very narrow window of opportunity, so don’t wait.
Contact your MP’s Constituency Office today. Together, we can stop another damaging tax increase.