Starting July 1, 2017, ride-sharing companies like Uber will start charging customers GST/HST, based on the Federal government’s latest budget proposal for 2017, made yesterday.
Uber has Ian Black, Regional General Manager for Uber Canada, said in a press release “This new tax on innovation would hurt over a million Canadians who use ridesharing to earn income and get around their cities.”
Black continued to say “At a time when Canadians spend far too much time stuck in traffic — and people should be encouraged to leave their cars at home, take public transit, and share rides — we should be supporting policies that make sustainable transportation more affordable, not more expensive.”
Uber says while Federal tax laws grant small business owners tax breaks on sales tax, it “unfairly” excludes taxi drivers, and the same exemption should be offered to taxis to “level the playing field”.
Black says many Canadians will be impacted by this tax, so “we ask for meaningful consultation on this proposal and hope to work with the Government on smart solutions that support innovation.”
What do you think? Should Uber be paying GST/HST in Canada?