THUNDER BAY, ON ---- July 1, 2010 --- The Thunder Bay Chamber of Commerce has learned of the June 29 decision by the Thunder Bay Police Services Board to deny a rate adjustment by local taxi companies to reflect the HST which comes into effect July 1. The Chamber requests that this decision be reconsidered.
Chamber of Commerce President Harold Wilson, stated “We understand that the three cab companies, which employ close to 250 drivers who are on commission, did not have the opportunity to fully present their case to the Police Services Commission, which is unfortunate.”
While several sectors previously did not charge PST, lawyers, insurance companies and others will now charge HST, then remit the taxes collected, minus their Input Tax Credits. The taxi companies will have to remit the HST as if collected, but not be able to charge any amount in addition. All businesses that are faced with mandated increases in costs should be allowed to recoup some costs, such as HST or specific regulatory requirements. “It is unfair to any business sector that is not allowed to make the appropriate pricing adjustments under the HST system in their provision of services, and the Police Services Board should reconsider this costly action” concluded Wilson.