Quote:
Originally Posted by halifaxboyns
HST is a form of sales tax - but if HRM had the power to do a sales tax, they could do it within the confines of HRM. It could be a percentage or something like $0.05 on any item over $5. That's what a city in the US did (I haven't had coffee so forgive me, I can't remember which one) and when they combined it with value capture and tax increment financing, they raised nearly half a billion $ in bonding capacity.
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L.A. did this--it was called Measure R, and it's projected to raise nearly $40 billion for transit. Big success.
Toronto's transit wonks and politicians are talking about doing it, but with their current mayor and dysfunctional political climate it looks unlikely. City Council there had a recent vote on alternative revenue tools for transit and they rejected almost everything, leaving only increased development charges, and the option of a regional sales tax. But that would have to be provincially approved, and the provincial NDP and Conservatives have both come out vehemently against it, with only the fairly beleaguered Liberals in support--and a pro-tax policy is a lonely stand to take.
And in fact, I'd normally support it (I like taxes, well-applied) but NS taxpayers really are pretty burdened. I'd want to see HST cut back a bit before something like was applied. Or even, instead of an HST reduction, a re-allocation of one or two percent specifically to transit improvements--but I think that would end up being untenable politically. First, it would have to be applied only in HRM, and second, one can only imagine what the opposition would say about the NDP reneging on their tax-cut promises.