🚀 go-pugleaf

cannet@istar.ca (Brad Morrison) wrote:

>On 4 Dec 1996 16:57:55 GMT, speirs@chebucto.ns.ca (Robert Speirs)
>wrote:
>
>>Incorrect. Since the cost of very basic expenses for businesses, such as 
>>electricity, will increase, it is easy to predict that all prices will 
>>rise. Economics 101 and common sense.
>
>Actually, since business will get an input credit for the 15% tax on
>all goods/services purchased, this isn't true.

Brad,

What you're suggesting about the BST input credit is true,
but you're forgetting that businesses have always been able
to deduct the full cost of all PST expenditures as an
expense against revenue.

The only difference between the current system and the BST
is in cash flow.  Discounting any expense relating to
implimenting the BST (new cash registers, pricing equipment,
cost of changing over price labels, etc.) , a businesses'
bottom line won't change.

Regards,

Paul