{"id":16549,"date":"2025-02-14T17:53:42","date_gmt":"2025-02-14T17:53:42","guid":{"rendered":"https:\/\/torontotribune.ca\/index.php\/2025\/02\/14\/after-two-months-canadas-federal-tax-holiday-ends-saturday-national\/"},"modified":"2025-02-14T17:53:42","modified_gmt":"2025-02-14T17:53:42","slug":"after-two-months-canadas-federal-tax-holiday-ends-saturday-national","status":"publish","type":"post","link":"https:\/\/torontotribune.ca\/index.php\/2025\/02\/14\/after-two-months-canadas-federal-tax-holiday-ends-saturday-national\/","title":{"rendered":"After two months, Canada\u2019s federal tax holiday ends Saturday &#8211; National"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div id=\"\">\n<p>Canada\u2019s federal <a href=\"https:\/\/globalnews.ca\/tag\/tax-holiday\">tax holiday<\/a> on GST and HST comes to an end of Saturday and industry groups are divided on whether or not the policy was a success.<\/p>\n<p><\/p>\n<p>The federal tax holiday began on Dec. 14, aimed at giving Canadians some reprieve from the high cost of living.<\/p>\n<p>While basic groceries like fresh fruits and vegetables, most milk products, fresh meat, poultry and eggs already had no GST\/HST before the tax break, prepared foods like sandwiches, salad and pre-made meals, as well as snacks like chips, candy and baked goods saw the GST\/HST dropped during this period.<\/p>\n<p>In addition to food, a whole range of items from clothing, footwear and children\u2019s toys to books and drinks were included.<\/p>\n<p>The Royal Bank of Canada\u2019s consumer spending data indicated that Canadians were reluctant to spend money in January after strong holiday spending in December.<\/p>\n<div class=\"c-ad c-ad--bigbox l-article__ad\">\n<p>Story continues below advertisement<\/p>\n<\/p><\/div>\n<p>\u201cJanuary marked a sluggish start to consumer spending in 2025, but it was largely expected after spending surged at end of the 2024 holiday shopping season. Retail sector sales excluding autos pulled back in January both before and after adjusting for inflation,\u201d RBC economist Carrie Freestone said in the bank\u2019s Consumer Spending Tracker report Friday.<\/p>\n<p>Industry groups are divided on the success of the measure.<\/p>\n<p>Restaurants Canada called on Ottawa to make the tax holiday permanent. The group said it expects a $1.5-billion boost in food service sales over the 60-day period than if there were no tax holiday.<\/p>\n<div class=\"c-tabs\">\n<p>\n\t\t\t<button role=\"tab\" class=\"c-tabs__tab c-tabs__tab--active\" type=\"button\">More on Canada<\/button><br \/>\n\t\t\t<button role=\"tab\" class=\"c-tabs__tab\" type=\"button\">More videos<\/button>\n\t\t<\/p>\n<\/p><\/div>\n<p>In a new report on Friday, the group said restaurant transactions increased 7.6 per cent during the GST\/HST holiday.<\/p>\n<div class=\"c-inlineSignup\" data-newsletter-inline=\"\">\n<div class=\"c-inlineSignup__image\">\n\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"170\" height=\"225\" loading=\"lazy\" src=\"https:\/\/globalnews.ca\/wp-content\/themes\/shaw-globalnews\/images\/skyline\/national.jpg\" alt=\"Get the day's top news, political, economic, and current affairs headlines, delivered to your inbox once a day.\"\/>\n\t\t\t\t<\/div>\n<div class=\"c-inlineSignup__content\">\n<h3>Get daily National news<\/h3>\n<p>Get the day&#8217;s top news, political, economic, and current affairs headlines, delivered to your inbox once a day.<\/p>\n<\/p><\/div>\n<\/p><\/div>\n<p>Data from online reservation platform OpenTable shows an 18 per cent jump in seated diners over the first two weeks of the tax holiday compared to a year earlier.<\/p>\n<p>Ontario, in particular, saw a 23 per cent annual increase.<\/p>\n<p>Kelly Higginson, president and CEO of Restaurants Canada, says the tax break has been \u201creally positive\u201d for the food service industry, particularly given weak consumer confidence heading into 2025.<\/p>\n<p>Dana McCauley, CEO of the Canadian Food Innovation Network, said tax changes forced food retailers to recode inventory, which was a costly expense.<\/p>\n<div class=\"c-ad c-ad--bigbox l-article__ad\">\n<p>Story continues below advertisement<\/p>\n<\/p><\/div>\n<p>\u201cA permanent tax holiday would eliminate this expense,\u201d she said.<\/p>\n<p>McCauley added that beverage and alcohol producers have also benefited.<\/p>\n<p>\u201cThis has made local products more competitive against imports,\u201d she said.<\/p>\n<p>McCauley added that this would also help Ottawa\u2019s push to get Canadians to buy more local goods.<\/p>\n<p>\u201cA permanent tax holiday would tempt those who aren\u2019t in the \u2018Buy Canada\u2019 bandwagon as they will be less expensive at the checkout than the U.S. brands they usually buy,\u201d she said.<\/p>\n<div class=\"l-article__part\" data-shortcode=\"tp_video\">\n<div class=\"c-video c-videoPlay \" data-iframe-receiver=\"\" data-autoplay=\"\" data-displayinline-featured=\"false\" data-displayinline-type=\"video\" data-displayinline-player-id=\"miniplayer_11008961_67af75c66c9ef\" data-displayinline-video-id=\"11008961\" data-displayinline-ratio=\"16:9\" data-displayinline=\"https:\/\/globalnews.ca\/video\/embed\/11008961\/#autoplay&amp;stickyiframe=miniplayer_11008961_67af75c66c9ef\" data-displayinline-sticky=\"true\">\n<div class=\"c-video__inner \">\n\t\t\t\t\t<span class=\"c-video__placeholder\"><br \/>\n\t\t\t\t\t\t<img loading=\"lazy\" class=\"c-video__image\" alt=\"Click to play video: 'Business Matters: Restaurants Canada wants the tax \u2018holiday\u2019 made permanent'\" width=\"640\" height=\"360\" data-src=\"https:\/\/i1.wp.com\/media.globalnews.ca\/videostatic\/news\/siwxvfajo7-oeocjzg98i\/BIZ_SEG_PIC_FEB_7.jpg?w=1040&amp;quality=70&amp;strip=all\" loading=\"lazy\" srcset=\"\" sizes=\"auto, \" data-srcset=\"https:\/\/i1.wp.com\/media.globalnews.ca\/videostatic\/news\/siwxvfajo7-oeocjzg98i\/BIZ_SEG_PIC_FEB_7.jpg?w=450#038;quality=70&amp;strip=all 450w,https:\/\/i1.wp.com\/media.globalnews.ca\/videostatic\/news\/siwxvfajo7-oeocjzg98i\/BIZ_SEG_PIC_FEB_7.jpg?w=720#038;quality=70&amp;strip=all 720w,https:\/\/i1.wp.com\/media.globalnews.ca\/videostatic\/news\/siwxvfajo7-oeocjzg98i\/BIZ_SEG_PIC_FEB_7.jpg?w=1040#038;quality=70&amp;strip=all 1040w,\" data-sizes=\"(min-width: 1040px) 1040px,(min-width: 720px) 720px,450px\"\/><br \/>\n\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"c-video__overlay\"><\/p>\n<p>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<time class=\"c-video__duration\">2:20<\/time><br \/>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"c-video__title\">Business Matters: Restaurants Canada wants the tax \u2018holiday\u2019 made permanent<\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/p>\n<p>\t\t\t\t\t\t<\/span><br \/>\n\t\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t<\/div>\n<\/p><\/div>\n<\/p><\/div>\n<section id=\"content-dynamic-trending-stories\" class=\"l-inlineStories l-inlineStories--tile u-hide-tablet-landscape\" aria-label=\"Dynamic trending stories section\">\n<p>\n\t\t<span class=\"l-inlineStories__title c-heading c-heading--strikethrough\">Trending Now<\/span>\n\t<\/p>\n<ul class=\"l-inlineStories__posts c-posts c-posts--inline \">\n<li class=\"c-posts__item\">\n\t\t\t<a href=\"https:\/\/globalnews.ca\/news\/11017917\/canada-51st-state-how-process-works\/\" class=\"c-posts__inner\"><\/p>\n<div class=\"c-posts__media \">\n\t\t\t\t\t\t<img loading=\"lazy\" class=\"c-posts__thumbnail\" data-src=\"https:\/\/globalnews.ca\/wp-content\/uploads\/2025\/02\/f9f9f0f36e5768a94f7bbe8aab6c48895ec40bf9c22c40923d3e8711479295fb_9114b2.jpg?quality=85&amp;strip=all&amp;w=336&amp;h=224&amp;crop=1\" loading=\"lazy\" width=\"336\" height=\"224\" alt=\"\"\/>\n\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n<div class=\"c-posts__details\">\n<p>\n\t\t\t\t<span class=\"c-posts__headlineText\" title=\"Could the U.S. actually make Canada a 51st state? How the process works\" data-title=\"\">Could the U.S. actually make Canada a 51st state? How the process works<\/span>\n\t<\/p>\n<\/p><\/div>\n<p>\t\t\t<\/a>\n\t\t<\/li>\n<li class=\"c-posts__item\">\n\t\t\t<a href=\"https:\/\/globalnews.ca\/news\/11017935\/meghan-markle-timbits-invictus-games\/\" class=\"c-posts__inner\"><\/p>\n<div class=\"c-posts__media \">\n\t\t\t\t\t\t<img loading=\"lazy\" class=\"c-posts__thumbnail\" data-src=\"https:\/\/globalnews.ca\/wp-content\/uploads\/2025\/02\/GettyImages-2198814801.jpg?quality=85&amp;strip=all&amp;w=336&amp;h=224&amp;crop=1\" loading=\"lazy\" width=\"336\" height=\"224\" alt=\"\"\/>\n\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n<div class=\"c-posts__details\">\n<p>\n\t\t\t\t<span class=\"c-posts__headlineText\" title=\"Meghan Markle surprises her kids with a quintessential Canadian treat\" data-title=\"\">Meghan Markle surprises her kids with a quintessential Canadian treat<\/span>\n\t<\/p>\n<\/p><\/div>\n<p>\t\t\t<\/a>\n\t\t<\/li>\n<\/ul>\n<\/section>\n<p>The Canadian Federation of Independent Business (CFIB) , however, said the tax holiday was a \u201cflop.\u201d<\/p>\n<div class=\"c-ad c-ad--bigbox l-article__ad\">\n<p>Story continues below advertisement<\/p>\n<\/p><\/div>\n<p>\u201cBy all accounts the government\u2019s GST holiday was a flop for small businesses,\u201d said Dan Kelly, CFIB president, in a statement.<\/p>\n<p>According to a survey of 2,345 CFIB members between Jan. 9 and 31, just five per cent of small businesses said they saw stronger sales compared to the same period in 2024.<\/p>\n<p>When it came to which sectors benefitted, of the five per cent who saw a boost, just four per cent of that number were retail stores while 15 per cent of hospitality businesses saw a sales increase.<\/p>\n<p>Earlier this month,\u00a0<a href=\"https:\/\/globalnews.ca\/news\/11006959\/gst-holiday-impact-moneris-data\/\"><strong>Moneris released its own data<\/strong><\/a>\u00a0which found no year-over-year increase in spending by Canadians between Dec. 14, when the \u201choliday\u201d began, and Jan. 15.<\/p>\n<p>Across Canada, Moneris\u2019 data\u00a0actually showed overall spending was down by four per cent and the number of transactions seen by businesses during this period decreased by one per cent.<\/p>\n<p><em>\u2013with files from Global\u2019s Sean Previl<\/em><\/p>\n<\/p><\/div>\n<div>\n<p>\n\t\t&amp;copy 2025 Global News, a division of Corus Entertainment Inc.\t<\/p>\n<\/div>\n<p><script defer src=\"https:\/\/connect.facebook.net\/en_US\/sdk.js#xfbml=1&#038;appId=318812448281278&#038;version=v3.3\"><\/script><br \/>\n<br \/><br \/>\n<br \/><a href=\"https:\/\/globalnews.ca\/news\/11019268\/canada-tax-holiday-ending\/\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Canada\u2019s federal tax holiday on GST and HST comes to an end of Saturday and industry groups are divided on whether or not the policy was a success. The federal tax holiday began on Dec. 14, aimed at giving Canadians some reprieve from the high cost of living. While basic groceries like fresh fruits and<\/p>\n","protected":false},"author":2,"featured_media":16550,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[],"class_list":["post-16549","post","type-post","status-publish","format-standard","has-post-thumbnail","category-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v23.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>After two months, Canada\u2019s federal tax holiday ends Saturday - National - Toronto Tribune<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/torontotribune.ca\/index.php\/2025\/02\/14\/after-two-months-canadas-federal-tax-holiday-ends-saturday-national\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"After two months, Canada\u2019s federal tax holiday ends Saturday - National - Toronto Tribune\" \/>\n<meta property=\"og:description\" content=\"Canada\u2019s federal tax holiday on GST and HST comes to an end of Saturday and industry groups are divided on whether or not the policy was a success. 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