Major Manitoba business and taxpayer organizations urge Premier Selinger to reverse PST hike

WINNIPEG, June 12, 2013 /CNW/ - Six business and taxpayer organizations released an open letter to Manitoba's Premier today, calling on him to reverse the decision to raise the provincial sales tax.

The six signatory organizations to the letter include:

• Canadian Taxpayers Federation
• Canadian Federation of Independent Business
• Canadian Restaurant and Foodservices Association
• Mining Association of Manitoba Inc.
• Manitoba Restaurant & Foodservices Association
• Western Canadian Wheat Growers Association

In the letter, the organizations stressed their concerns with the impact of a PST increase on businesses and taxpayers. The groups noted they're willing to sit with the government and continue highlighting constructive ideas on how to reduce spending rather than raise taxes. The organizations noted that somehow other provinces are getting by with lower tax rates.

Appendix

Dear Premier Selinger,

During the 2011 election you promised to not raise the provincial sales tax.

For your government to now table legislation to raise the sales tax - without first holding a referendum - is something our members, customers and supporters deeply oppose.

A higher sales tax will make it harder for Manitoba families, many of whom are already finding it difficult to make ends meet, put their kids in sports and save for retirement.

Keep in mind this is on top of many other government fees and taxes that are already rising faster than peoples' pay cheques.

A higher sales tax will not only reduce the funds people have for things that are important to them, it will also hurt many peoples' jobs.

After all, a higher sales tax will reduce the amount of money people have to spend at local businesses and it will only encourage more people to travel to the United States or Saskatchewan, where taxes are much lower.

But it won't just be retail, restaurants and hotels that are impacted, all businesses and organizations in the province will be hit by the tax increase. After all, businesses will have to spend more money on taxes when they buy equipment and other things they need to operate. Thus, businesses will have less money for employee wages, training costs and other expenses that help the business compete.

But we're not just here to criticize your decision.

We're ready to sit down with your government and provide constructive ideas on cost savings. Other provinces are getting by with much lower tax rates. We'll help you figure out how Manitoba can too!

It's not often that our groups get together, but when we do it's a matter of great importance. We hope you recognize this and withdraw Bill 20; the legislation that will raise the PST and eliminate the referendum requirement.

We look forward to your response.

Sincerely,

Canadian Taxpayers Federation
Canadian Federation of Independent Business
Canadian Restaurant and Foodservices Association
Mining Association of Manitoba Inc.
Manitoba Restaurant & Foodservices Association
Western Canadian Wheat Growers Association

SOURCE: Canadian Restaurant and Foodservices Association

Contacts:

Colin Craig, Prairie Director - Canadian Taxpayers Federation
(204-227-5561 cell)

Janine Carmichael, Manitoba Director - Canadian Federation of Independent Business
(204-982-0817)

Dwayne Marling, Manitoba-Saskatchewan Vice President - Canadian Restaurant and Foodservices Association
(204-688-8557 cell)

Ed Huebert, Executive Vice President - Mining Association of Manitoba Inc.
(204-771-2190 cell)

Scott Jocelyn, Executive Director - Manitoba Restaurant & Foodservices Association
(204-783-9955)

Rolf Penner, Manitoba Vice President - Western Canadian Wheat Growers Association
(204-746-0129)