This Saturday … B.C. will be alive with rallies opposing the planned introduction of the new Horrifiying Sales Tax. And if enough public dissent manifests itself … the next step could be an effort to mount a province-wide referendum over the issue.
Readers of this blog will know my own greatest consternation was directed at the duplicitous way the Liberals said before the election they had no plans for the tax … and then so quickly announced it after the votes were counted.
Since then there has been growing evidence the H-S-T will SHIFT more of the tax burden away from large business and onto individual taxpayers … hitting consumers and thus small business the worst.
Former B.C. premier Bill Vander Zalm is to be commended … not semi-mocked as he has been by some mainstream media pundits … for standing up and speaking out about the implications of this tax.
Vander Zalm is a wealthy man, a highly successful businessman: he could have just stayed silent .. and enjoyed his “retirement” from public life. But like me, Vander Zalm clearly still cares and feels compelled to speak out, in his case, on this particular issue.
So I am happy to give the former premier my blog space to explain exactly why he feels the H-S-T should NOT be implimented. (And if Premier Gordon Campbell want to personally reply to Vander Zalm’s points on my site, he knows where to reach me .)
Here we go:
By Bill Vander Zalm
Every well practiced politician can make a case for or against whatever it is being proposed. With the HST, let’s just deal with a few simple facts and forget all the rhetoric.
The B.C. Liberal government has told us that the new HST will be revenue neutral. Revenue neutral, they explain, is that it’s a tax paid by the consumer, not to go to Healthcare, Social Services, Education or some other government program but, to provide tax relief to business by way of tax refunds.
They further state that the HST will bring in $2 Billion (that’s $2,000,000,000) per year. In our province of 4 million people that works out to $ 500 per year for every man, woman and child and that will probably be about $ 2,000 + per family or about $ 1,250 for the average senior couple.
For most people that is a heavy extra burden and means cutting back on eating out, going to the theatre, going to a hockey game, getting a haircut and even the much more important things. Economics 101 tells us that less consumer spending means a loss of jobs.
The government tells us that Industry will cut their prices and we will gain by that. The B.C. government fails to tell us that 90% of the B.C. Economy is the resource industry. The only difference to the likes of Alcan, Cominco, Endako, Fording Coal, Shell Oil and the likes is that the tax refunds, from you the B.C. consumer, will help those poor Canadians, Americans, Europeans and Asians that have shares in these companies. It is world wide commodity prices that decide the price of oil, natural gas, coal, lumber or minerals not a tax refund. It’s world commodity prices that decide whether these companies create more jobs and hire more people, not a tax refund.
The Premier and Minister of Finance tell us that in a few years manufactured goods will get cheaper. The best example of what is likely to happen, came from the Ministers themselves. When it was discovered that a bottle of wine would be a little cheaper under HST than PST they annouced that the Liquor Control Board would increase its profit to make up the difference.
What made me especially angry was the way in which the HST was foisted upon us. After saying no HST and no more new taxes, during the election only a few months ago, when they must have been in negotiations with the federal government on it, premier Campbell then foisted it upon us all in a take it or leave it manner. Well, I choose to leave it.
In short it’s a deceitful tax grab, during a time of economic downturn, taken from those least able to pay with most of it going to help out the shareholders in those big companies.
Bill Vander Zalm
(And by the way, you can contact Vander Zalm through his website: http://www.billvanderzalm.com/bv/ . Tell him Harv sent you. 
22 responses so far ↓
1 Gary E // Sep 17, 2009 at 4:25 pm
Thanks Bill for taking a stand on this issue. Now if only the elected MLA’s on the liberal side would realize what’s happening and vote against this ripoff we could get somewhere fast.
2 seth // Sep 17, 2009 at 6:20 pm
More ammo for the Zalm.
BChydro rates to double by 2013
According to BC Hydro’s 2009 annual report between 2008 and 2009, it increased its IPP purchases buying 609 gwh for $63 million or 10 cents a kwh. In the same report, it has owned up to contracting for 14,400 gwh for fiscal 2012 an increase of 6600 gwh over 2008. Projecting the current 10 cents a kwh to 2012 we see Hydro will require a 50% rate increase by 2012 changing it from one of North Americas lowest cost producers to one of its highest cost.
Altogether BCHydro has committed to spending $31 billion to buy 7200 Gwh of extremely expensive IPP power. BC’s energy minister has indicated he will direct the engineers at BCUC to accept BCHydros additional 3000 gwh buy at 12 cents a kwh adding $360 million to BCHydro’s annual cost requiring an additional 40% rate increase by 2013.
3 Slimy Limey // Sep 17, 2009 at 6:22 pm
Good Stuff Harvey & Bill!!
The best explanation I have seen that clarifies what this appalling tax means to those of us that have to pay & those that will benefit.
The question that I would have is why did it take Mr. Vander Zalm to come up with these easy to understand implications, and not the N.D.P. ?
4 Lynn // Sep 17, 2009 at 6:44 pm
Yes, Yes, Yes!
Exactly my thoughts. FANTASTIC, Bill! Well explained.
Thank you Harvey for extending your blog space to (former) Premier Vander Zalm.
I gave up a few hours on my limited spare time to attend Sunday’s rally at Holland Park (and I felt great for having done so). There was a good turn out of concerned citizens, including small business leaders who strongly believe this Horse crap Sales Tax is a backwards thinking tax for this province. It will take 8 brave forward thinking Liberal MLA’s to stand up and vote against this tax.
5 ssmilin // Sep 17, 2009 at 7:56 pm
Hi Bill and Harvey,
I earn about $500.00 net a week, and I’m barely hanging on. But I have a job and I’m healthy and for that I am grateful. I’ll manage, somehow. I’m concerned about my friends and neighbours who are senior citizens how can they pay more taxes? What have they got to look forward to? Standing in line at the foodbank.
6 Crankypants // Sep 18, 2009 at 4:41 am
Ever since Hansen laid the HST bomb in our laps I have been totally amazed at how poor a job the government and private proponents of this tax have done in selling it. Their arguments have included a lot of vague suppositions about its benefits and they have avoided the tax shift component.
Those that oppose the tax have been much more convincing on its effects on the general public’s personal cash flow and the detrimental effect on most small businesses and restaurants, etc.
I agree will Mr. Vander Zalm that the bulk of the tax savings will go to the mega corporations’ bottom line and be distributed to their shareholders.
As I see it, we may see a savings of a few pennies on some goods that we normally buy, although to date no one has come up with a concrete example of where or what, but with the expanded number of goods and services we will pay the extra tax on, we’ll be seeing the dollars being sucked out of our jeans faster than a Hoover can pick up a piece of dust off the floor. I also don’t buy in to the revenue neutrality the Liberals proports. They will be taking in a lot more coin just as the federal government did when the GST came into effect.
Let’s hope there are large turnouts at the various rallies. I know I will be at the convention centre on Saturday.
7 A Dave // Sep 18, 2009 at 5:37 am
Dear Mr. Vander Zalm, this is one of the most succinct and to the point demolitions of the case for the HST I’ve read yet. Thank you sincerely for putting your energy and time into this issue, it is very appreciated by those of us who will be hit by this tax the hardest.
8 Brad // Sep 18, 2009 at 8:34 am
As a former labour activist for nearly 20 years with two different unions, I found it difficult to align myself with Mr. Vander Zalm. After a few days of thinking, I signed up. It isn’t his politics that’s the issue, it’s the HST that is the issue. Mr. Vander Zalm has the political knowledge, media knowledge, and the strength of will and personality to be the face of the movement and get it going.
However, and here is what most people forget…… Mr. Vander Zalm got it going, yes. But the 121,000 or so Facebook NO BC HST members, the volunteers and organizers at the 14 (at last count) cities involved in this weekend’s protests….We are the body of the movement. Mr. Vander Zalm is simply helping us, the people of BC, help ourselves against a very unfair, ‘not on the radar’ prior to the election tax that was introduced with total disregard for due process, consultation, or consideration of the citizens of BC.
That’s why I’m proud to be involved, here in Victora. That’s why I have hope that the voter apathy in this province will be reduced….and why I have had my faith restored in the people of British Columbia. We have forgiven this government several times, and they keep abusing the citizens of BC over and over…..enough is enough.
9 Robert G // Sep 18, 2009 at 3:39 pm
Congratulations Mr. Vander Zalm on uncovering the secrets of our governments taxing policy.]
I am totally against the HST and will sign anything to that effect.
10 Ruaridh // Sep 18, 2009 at 3:48 pm
Taxes, no matter how the economists structure it, are political disasters if mishandled.
Margaret Thatcher in the UK has a poll tax in the late 1980′s that made economic sense but was a political disaster. She persisted in her righteous support of this tax until even her more fervent supporters recognized this was now ego over reality.
The position of Gordon Campbell and Colin Hansen is eerily similar. And look what happened to Thatcher (deposed by her own supporters) . And her party? – eventually it collapsed.
11 DMJ // Sep 18, 2009 at 6:44 pm
Looks like Bill Vander Zalm is scoring major bulls-eyes as both Palmer and Baldry were slanging him on Brand-X.
My god, if the ‘Zalm’ was as bad as they said, would he not have a criminal record? I do hope he has his lawyer listening because I think the so called ‘view from the ledg.’ is coming mighty close to libel.
I wonder who is calling the shots?
Ah well, today in BC, the news is what you pay for it.
By the way, I never supported the ‘Zalm’ while he is in office, but I pass his house almost every day and what I gather from a close friend near by, he’s a pretty good neighbour, always willing to give advice on ones flowers and shrubs when asked.
Now would Gordo give anything for free…………….maybe if I was on the beach in Maui……………………
12 Dan R. // Sep 18, 2009 at 7:43 pm
I hope getting this to a referendum is successful. The people should decide this, especially since it appears to have been kept from the people during the last election campaign.
13 Kam L // Sep 19, 2009 at 2:39 am
“My god, if the ‘Zalm’ was as bad as they said, would he not have a criminal record? I do hope he has his lawyer listening because I think the so called ‘view from the ledg.’ is coming mighty close to libel.” My lawyer thinks it is libel. Those two along with budha bill good, are towing the line. They are cowards, (edited ..h.o.)
14 W.B. // Sep 19, 2009 at 5:54 am
I normally have respect for Palmer and Baldrey but their slamming of Vander Zalm on the Bill Good show today was beyond what I’d call respectable reporting. The guy is a former premier speaking out on behalf of a lot of people… plus it’s been almost two decades since he resigned!
They should be thanking Vander Zalm if anything for giving them so much to write about back in the day. I’m starting to think the press gallery needs new blood.
15 crh // Sep 19, 2009 at 1:10 pm
I also listened with disbelief at comments on Bill Borings show yesterday morning. Palmer and Baldrey were so busy slagging off Carole James over the fact that she will be at the same rally as Vander Zalm. According to them, she should not be seen in the same frame as him. They cannot see past their political partisanship and I am so sick of it. The fact that everyone, regardless of political stripe, is coming together over this is lost on them.
DMJ, you are right on. Oh and I think that Campbell would give away something for free. I’m sure he would kick your puppy anytime you asked.
16 Patrick Bell (Not the MLA) // Sep 19, 2009 at 6:25 pm
I want Rafe Mair back on the mainstream air…
No disrespect to Bill Good as a person, but the Rafe show blew his morning show away….
17 W.B. // Sep 19, 2009 at 6:51 pm
I agree CRH- Baldrey and Palmer seem to suffer from as much hubris as Vander Zalm ever did. When they get a caller on Good show critiquing their objectivity, they sure get their backs up.
Maybe they can prove us all wrong by co-authoring a book on the Liberals, just like Mason and Baldrey did with Vander Zalm. They surely have enough material to go on (BC Rail, torn up collective agreements, HST, Maui, gag law appeal, the list goes on and on and on…)
18 Lynn // Sep 19, 2009 at 7:52 pm
Me thinks doth protest too much. Campbell, Hansen, Good, Baldry, Palmer et al can’t seem to come up with a VALID reason why this Horse crap Sales Tax is a good thing so they slag a man who in his day did good things? His down fall was a real estate deal? What about the MANY things Campbell did? The worse is a DUI. For gods sake he drove drunk. Enough of the slagging. Stick to the issue, BOYS. It would seem to me Bill Vanderzalm cares more for the future of this province then those feeding at the trough.
19 DMJ // Sep 20, 2009 at 3:06 pm
Just a note and maybe H. O. will correct me if I was wrong.
When Bill Vander Zalm was premier, the accusation was made that he was using the Premier’s office for furthering his business interests. He resigned the office of Premier when he was under investigation, as the honourable thing to do. His political career was shattered. He was later found innocent of these charges, thus no criminal conviction.
The same was true, I believe, of Glen Clark.
Gordon Campbell was convicted of DUI in Hawaii; up to his neck in scandal with BC Rail; pandering to his political friends with Gateway and the SkyTrain turnstile issue, etc.,etc. – yet no great media investigation. It seems all is swept under the table.
No wonder the ‘Zalm’ is relishing in this HST adventure and no wonder the mainstream media types are growing more embarrassed each day.
Oh, only in BC you say? Pity!
Politicians are like diapers. They both need changing regularly and for the same reason. ~Author Unknown
(Response: You are substantially correct on the Zalm … but there has never been any “evidence” that I’ve seen so far involving the premier personally in the BC Rail scandal …just a lot of questions, which of course do not establish any association or wrongdoing at all on their own. h.o.)
20 genuine // Sep 20, 2009 at 4:03 pm
So Harvey what your saying is all you have to do is not answer and all is forgiven ?well that don’t pass the stink test for me or anyone else !!!!
21 Jean // Sep 20, 2009 at 11:13 pm
Lynn,
There will not be 8 brave (greedy) MLA’s doing their jobs for their constituents. They have already been bribed with their 109% wage increases plus since 2001 and their 800,000-847,000 pensions plus. This is ‘white collar’ crime at it’s worst.
Thanks tons to Bill Vander Zalm and Chris Delaney and all who are donating their time serving us and doing the B.C. Liberal MLA’s jobs. I hope Bill will have a rally in our home town, Surrey B.C. There are a lot of seniors and working people here who, because Campbell and his Trans Link gang have re-routed the 351 bus in Surrey (south) which used to go directly to Vancouver , could not come to Vancouver. It now goes to Richmond to pay for Campbell’s disasterous P3 Canada Line which also cost business people thousands and thousands of dollars. Perhaps we should be getting on Steven Harper and his gang of MP’s regarding the 1.6 billion bribe, our tax dollars, going to the B.C. Liberals to implement the HST?! Probably went into general revenue too so Campbell can reward his cronies. We are paying 1.6 billion dollars in bribe money to get a tax that is just plain bad??? Boggles the mind.
22 Jean // Sep 20, 2009 at 11:19 pm
On second thought, maybe it’s not ‘white collar’ crime, the leader of the gang IS a convicted drunk driver felon.
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