WHITEHORSE – Today, the Official Opposition raised concerns with the level of consultations on the Liberal’s planned tax increases on tires.
The Designated Materials Regulations, which the Liberal government announced will come into effect on February 1, 2018, propose tax increases on a number of goods including tires. Currently tires are taxed at $5 per tire and the new regulations will increase this up to $50 per tire. This amounts to a 900% increase - or a $200 tax for a set of 4 tires.
“We have heard concerns from the local business community that they were not properly consulted and that these regulations will hurt our local tire industry causing business to go south,” said interim Official Opposition Leader Stacey Hassard. “After listening to Yukon’s business community, the previous government agreed to abandon plans to implement these regulations and to consult and work with industry to improve them. The Official Opposition is calling on the current government to do the same.”
- The Designated Materials Regulations originally proposed by the previous government in May, 2016 caused concern amongst the territory’s business community: http://www.gov.yk.ca/news/16-189.html
- The previous government listened to industry’s concerns and in July 2016 agreed to withdraw plans to implement these regulations and to conduct further consultations to address concerns: http://www.gov.yk.ca/news/16-257.html
- On May 16, 2017, the Liberal government announced that they would implement the Designated Materials Regulations on February 1, 2018: http://www.gov.yk.ca/news/17-103.html