Finance Minister Allan MacMaster speaks on the 2023/24 budget (Province of Nova Scotia photo)
Nova Scotia’s Finance Minister says a cut to the harmonized sales tax (HST) would be too costly for the province to bear as they continue to make investments in healthcare.
Finance Minister Allan MacMaster was asked if Nova Scotia was planning any cuts to HST after New Brunswick Premier Blaine Higgs announced earlier this week his government would cut HST to 13 per cent if reelected.
MacMaster said it wouldn’t make sense to do so as the province has made significant investments in healthcare recently and has plans for more in the future.
“To remove approximately half a billion dollars out of the provincial budget at a time when we are investing to rebuild the healthcare system wouldn’t be prudent,” MacMaster said.
He was also asked if there were concerns for retailers near the border who may lose business should the HST cut in New Brunswick come to fruition. Ultimately, MacMaster said Nova Scotian consumers would be free to do so if they wish but any losses would be less significant than those felt by a wholesale cut to HST.
“We have to look at the entire province and what we believe is best for the province is fixing something that means a lot to them which is healthcare,” MacMaster said. “That also includes those Nova Scotians who live close to the border.”
Currently, Nova Scotian businesses are required to impose a 15 per cent HST on qualified goods and services.
