GST holiday tax break sparks mixed reactions in Saskatchewan

A new federal GST holiday kicked off this weekend across Canada, offering a temporary tax break on certain goods and services.

The initiative, which began on Dec. 14, eliminates the GST on certain goods like groceries, restaurant meals and children's toys until Feb. 15.

The 3067:46GST holiday sends local, small businesses scrambling to figure what's exempt and what's not

There's a tax on adult socks, but no tax on children's socks. There's a tax on online games, but no tax on physical copies of a video game. The GST holiday begins Saturday. Janelle Anderson, owner of Handmade Saskatchewan, joins host Adam Hunter to talk about how small businesses are tackling that crooked line.

The federal minister of small business Rechie Valdez says the measure is tailored to help families during the holiday season. 

"This is the time of the year when many Canadians go out and spend money," Valdez said. "This GST holiday is an opportunity to make essential purchases more affordable."

While Valdez says the goal is to help provide some relief, some Saskatchewan shoppers remain skeptical about its impact.

"It's such a minimal difference," said Kayla Reis. "Grocery prices are so high that even 5 per cent off isn't noticeable. But I do think it should just be permanent if possible."

Others praised the timing, noting the benefit for holiday shopping and dining. 

"We like to treat ourselves as a family after working all week," said Kelly Kellin.

"This tax break makes it a bit easier."

Valdez emphasized that the measure also supports local businesses as it's an incentive for people to go out, especially in January and February. 

"Support your local small businesses, especially those in the downtown cores," she said.

"When you support a small business, you're helping support their family, you're helping support the community and of course, our Canadian economy."

Reis says people are generally open to supporting local businesses if they can afford to.

"If people know that it's not gonna cost an arm and a leg to go out and support local businesses, then it'll be much easier," she said.