Dear Editor,
Right after the PC government announced their massive cuts to public services and nonprofits, many people wisely pointed out that it didn’t have to be this way.
When they were reelected, the PCs cut the HST by one per cent and eliminated bridge tolls in Halifax and those of the Cobequid pass. This led to a one time cost of $300 million that was added to the debt plus every year the government experiences a loss of revenue of $40 million for the bridges and $12 million for the Cobequid Pass.
Cutting the HST by one per cent reduces government revenues by $261 million in 2025/26 and this number would have increased to $272 million in 2027/28 according to projections.
Annually that’s $313 million and growing plus $300 million in debt. These were choices the Premier made.
On the surface, these cuts are great. Paying fewer taxes makes everyone feel good but taxes fund public services which we all rely on. You don’t save money if you end up having to pay more for services out of pocket.
And who do these reductions benefit? In this case, it is the wealthier Nova Scotians. If you have a lot of disposable income then you are more likely to buy things that are subject to HST. So you are very happy when you have to pay less for your new boat or your new luxury car or that trip to go skiing in the Alps (or more likely all three!). Similarly when you don’t really worry about the cost of gasoline, you are very happy to drive that car over the now toll-free bridges.
When I go to Halifax, I see so many Audis, Mercedes, BMWs, Acuras everywhere. While a lot of us are struggling with the cost of living, many Nova Scotians are doing really well. Tim Houston was an accountant so he should have known there would be a cost when making these choices. But, like most accountants and politicians, he also knows who he really works for.
Thom Oommen
Nevada Valley