Right now, groceries like milk and eggs are tax free, and processed foods like cookies and chips subject to GST.
When HST is implemented July 1, groceries with five per cent GST will be subjected to 12 per cent HST. In other words, shoppers will most likely be paying higher grocery bills.
The Canada Revenue Agency states that basic groceries "include most supplies of food marketed for human consumption, including sweetening agents, seasonings and other ingredients to be mixed or used in the preparation of such foods or beverages."
For more, see The Citizen.
