Tax holiday boosts spending at retailers, restaurants: industry groups
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Almost a week into the GST holiday, retailers and restaurant owners appear on track for a sales boost despite some of the struggles they faced implementing the temporary break.
Almost a week into the GST holiday, retailers and restaurant owners appear on track for a sales boost despite some of the struggles they faced implementing the temporary break.
BMV Books owner Patrick Hempelmann says he's seen an uptick in sales since the tax break began, particularly on higher-priced items.
"The first two days, I think we were definitely busier than we otherwise would have been," he said.
For two months, a slew of items including children's toys, snacks, wine and restaurant food are GST- or HST-free, depending on the province.
The vice-president of federal government relations for the Retail Council of Canada, Matt Poirier, says Boxing Day in particular is expected to get a boost.
However, he says businesses, including ones with older payment systems, have faced hurdles trying to implement the tax break on short notice and even figuring out which items qualify.
The complications -- and the boost in customers -- depend on the store, he said.
