While the Liberal and NDP provincial leadership races, and a federal election, have overshadowed the vote on the fate of the harmonized sales tax, the B.C. Liberal government is hoping that once the election dust has settled the public will turn their attention seriously to the vote.
"It may well be the most significant vote that takes place in the lifetimes of most of the people who are making an x in this ballot," said Pat Bell, MLA for Prince George Mackenzie and Jobs, Tourism and Innovation Minister on Monday.
"In my view, it's really critical that people mark their ballot in an informed way because if they just use gut instincts I know what the outcome is going to be."
Bell argues the vote is so significant because the model of taxation a jurisdiction uses directly impacts its ability to attract investment.
Bell said it's a fair observation the federal election creates challenges for getting attention on the HST vote. The leadership races are also a distraction, he said.
Last week, the B.C. Liberal government outlined how the vote on the HST will unfold.
Ballots will be mailed out starting June 13, and all British Columbians should receive their ballot by June 24.
While new Liberal Premier Christy Clark moved up the date of the vote to June 24 from September, the public has until July 22 to have their ballot into Elections B.C.
The Liberals expect the mail-in ballot to cost no more than $12 million, less than the $30 million a ballot-box vote would have cost.
The new Liberal premier has also promised to fund the yes and no sides equally.
Bell said to expect an announcement in the next week or two that follows a similar funding model used in a referendum on the single transferrable vote system.
In 2008, each side was provided with $500,000, while another $500,000 was set aside for a neutral government agency.
As part of its effort to provide information to the public, the Liberal government established a panel that will report on the implications of keeping the HST or returning to the old provincial sales tax system.
The Fight HST campaign led by former-premier Bill Vander Zalm, which launched the successful petition initiative, is critical of extending the voting period to July 22.
Vander Zalm says it will do severe damage to the already struggling economy of B.C.
The former Social Credit premier said industries such as new home construction, vacation property sales, tourism, restaurants home repairs and renovations -- that all make their biggest revenues in the summer months -- will be hard hit by the decision as consumers delay purchases until after they vote to kill the tax in late July.
"What is the point in delaying this any longer? What possible rationale can there be for hurting the economy even more?" asked Vander Zalm. "British Columbians want to put an end to the $2 billion a year transfer of taxes onto the backs of consumers to benefit big business," he said.
Vander Zalm says delaying the Referendum may also mean thousands of people will not get a chance to vote, since they could be away on vacation and will miss the deadline, or lose their ballots altogether.
HST facts
- The 12 per cent harmonized sales tax, which came into effect July 1, replaced the federal five per cent GST and the provincial seven per cent sales tax. Its introduction caused a public furor, and, in part, led to the resignation of Premier Gordon Campbell half way into his third term.
- The introduction of the HST means consumers pay the provincial seven per cent portion of the HST on some new items including meals, domestic airline tickets, funerals, haircuts and new homes over $525,000.
- The B.C. Liberal government argued introducing the HST was the single biggest action the government could take to boost the ailing economy. The Liberals say the $2-billion savings from the HST to the business sector will be reinvested in the economy and passed on to consumers.
- The B.C. Liberal government decided to move to a referendum after anti-HST forces led by former-B.C. premier Bill Vander Zalm launched a successful initiative petition that gathered more than 700,000 signatures provincewide.
- Removing the HST has implications, as it would likely mean B.C. would have to pay back $1.6 billion to Ottawa, as well as the cost of any bureaucracy changes.
