Tony King
2/24/2012
Two of Canada's leading economists are urging Ottawa to expand the GST to include all goods and services, including food.
Jack Mintz from the University of Calgary and Michael Smart of the University of Toronto say the change could allow the federal government to rake in an extra $39-billion a year. They say sales tax collection in Canada is currently among the most inefficient systems in the advanced world.
Currently medicines, books, financial services and food are GST exempt. The economists say the extra money could be used to reduce income taxes, pay for social services or both.
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