The harmonized sales tax is now in effect in British Columbia and Ontario, immediately increasing the prices for select goods and services. There is still much confusion over exactly what impact the HST will have. For example, in a recent survey of BC residents, only one-third correctly identified the exemption for basic groceries, about the same number are aware that residential rent, children’s items such as clothing, footwear and diapers and prescription drugs will be exempt from HST.

A number of home based services will be affected by Harmonized Sales Tax in Ontario, but many costs remain unaffected. Here’s how it’s broken down.

Items that will jump from 5% GST to 13% HST:
Electricity and heating services
Internet access services
…

The clothing industry doesn’t escape the Harmonized Sales Tax scheduled to come into effect on July 1st. Both GST and PST are already charged on most articles of clothing and accessories. Tax on adult clothing and shoes, watches, jewelery , handbags, backpacks, sunglasses and belts will all remain being taxed at 12%, but instead of 5% GST and 7% PST, it will now be a 12% HST. Used adult clothing escaped the provincial sales tax, but will be subject to 12% Harmonized Sales Tax after July 1st.
In British Columbia, clothing for children, …