Chatham-Kent Chamber of Commerce is calling on customers to be patient as local businesses deal with the challenges of implementing a temporary tax holiday.
Article content
A massive two-month GST/HST holiday introduced by the federal Liberal government begins Saturday on a variety of popular consumer goods, from Christmas trees to children’s toys.
“This initiative, while aimed at providing financial relief to consumers, has created significant hurdles for many of our community’s small- and medium-sized enterprises,” the chamber said in a release.
“The rushed implementation of this tax holiday has created an administrative nightmare for small businesses,” it added. “With only two weeks’ notice, during the busiest retail season of the year, we are expected to reprogram complex point-of-sale systems and make judgment calls on thousands of items.”
The financial impact on small businesses is significant.
Article content
“Many retailers are facing costs of up to $500 each time their point-of-sale devices need reprogramming and affected businesses are incurring a median cost of $1,000 to implement these changes,” the chamber said. “This financial burden is particularly unfair given that only four per cent of small businesses expect to see stronger sales as a result of this initiative.”
And Saturday’s launch, less than two weeks before Christmas, could mean many early, budget-conscious shoppers already will have completed their purchases, missing out on the intended benefits.
The chamber also asks holiday customers to:
- Understand transactions may take longer as staff navigate new systems and tax rules.
- Recognize small businesses face significant challenges implementing these changes.
- Avoid arguing with clerks over whether an item is taxable or not, especially for items marketed to adults, but bought for children.
- Do not seek price adjustments on items purchased before the holiday.
- Refrain from returning and rebuying items just to avoid tax, as this can mean added costs for the business.
- Remember store staff aren’t tax experts and may not be able to override point-of-sale systems.
- Avoid expecting clerks to make judgment calls on complex tax rules.
- Take up any complaints or questions about the tax holiday with MPs, not small business owners or staff.
- Consider that returning and repurchasing items on credit cards may require retailers to pay multiple processing fees.
“By showing patience and understanding during this period, we can all contribute to a more positive shopping experience and support the local economy,” said local chamber chair BJ Griffiths.
“Let’s come together as a community to ensure this holiday season is enjoyable for everyone – shoppers and business owners alike.”
Share this article in your social network