(Ottawa) GST holiday from December 14 to February 15 on certain items, then a check for $250 in the spring. The Liberal government unpacked these measures on Thursday, which should have the double advantage of putting an end to the paralysis in the House of Commons.
Posted at 9:51 a.m.
Updated at 11:09 a.m.
Prepared foods, restaurant meals, beer and wine, Books, clothing, diapers, car seats and children’s games, Christmas trees: the list of products that will be exempt from GST for two months is as extensive as it is varied.
The other gift won’t be under the tree this Christmas, but it won’t be long in coming: Canadians who worked in 2023 and earned up to $150,000 will receive a check for $250 in their bank account or in their mailbox from the beginning of spring 2025.
The government estimates that nearly 19 million people will receive the check.
“Our government cannot set prices, but we can put more money back in the pockets of Canadians, especially Canadian workers,” Prime Minister Justin Trudeau said in a press release.
“Our goal is to help you celebrate with family and friends and start 2025 with a little more money in your bank account,” added Federal Finance Minister Chrystia Freeland in the same statement.
The leader of the New Democratic Party (NDP) – who also broke the news on X on Wednesday evening – Jagmeet Singh claimed victory.
“The NDP is offering people a GST holiday for the winter. The Prime Minister’s Office has just informed us that it is giving in in part to our campaign to ‘eliminate GST on essential products’,” he said in a press release.
He also challenged the provincial premiers “to do the same thing, to remove these taxes [provinciales] to give people a helping hand.”
Since budgetary measures must go through a vote in the House of Commons, the paralysis that has lasted since the end of September should end when the Trudeau government tables them.
Conservative Party leader Pierre Poilievre will speak at a press conference Thursday noon.
The elimination of the GST on eligible products for two months should provide tax relief of some $1.6 billion, according to a federal press release. The tax holiday would save $100 for a family that spends $2,000 during this period, according to Ottawa.
Products that will be exempt from GST
- Prepared foods, such as vegetable platters, prepared meals and salads, and sandwiches;
- Restaurant meals, whether in the dining room, take-out or delivered;
- Beer, wine, cider and prepared alcoholic beverages that contain less than 7% alcohol;
- Snacks, including chips, candy and granola bars;
- Children’s clothing and shoes, car seats and diapers;
- Children’s games, such as board games, dolls and video game consoles;
- Books, printed newspapers and puzzles for all ages;
- Christmas trees.