Sask. Party leadership hopeful Rob Clarke proposes hiking PST to 7%
Clarke says PST increase part of $100M economic stimulus plan
Saskatchewan Party leadership candidate Rob Clarke says he'd raise the provincial sales tax to seven per cent on construction materials to create a $100 million stimulus package that will create jobs, if he is elected leader of the party.
Energy is very important, especially in the energy industry.- Rob Clarke
The former Conservative MP and Mountie laid out his proposal on stage during the most recent leadership debate in Weyburn, Sask., on Thursday.
Candidates were asked what the provincial government should do to deal with unemployment in southern parts of the province, where many workers look for jobs in the resource sector.
"Energy is very important, especially in the energy industry," Clarke stated.
He said none of the candidates have a plan to generate job growth.
"The result of this package is a net $100 million stimulus package. This will keep our PST at second lowest in Canada (after Alberta). It will allow us to drive prosperity and create jobs."
He clarified on Friday the PST hike would only be applied to construction materials.
A home-buyer, say, would only pay seven per cent PST on the cost of materials, instead the market value of the house. This lowers taxes by shifting the burden away from the finished products of construction, saving families thousands.
—@ClarkeforSask
To the same question, the other candidates explained they would attract angel investors, support pipelines and look to diversify the economy and maintain exports.
This spring, the government increased the PST from five to six per cent and expanded the tax to include construction services.
The party will elect a new leader on Jan. 27, 2018.