WRTYFREE P¶ES%,WE.DNEBSDAYJUNE 27, 1M9, PAGE 23 Whitby businaesses learn more. about GST BhY Trudie Zavadovici Te growing paýins that Canada now experiences may very well be recorded as among the most confusing, complex and unsettling times in Canadian histoiy. Ile fate of Canadians and indeed Canada is very much in question on many levels. une uncertainty facinjg Cana- dians and more pointedly Cana- dian businesses, is the effect Of the seven per cent exbo dand services tax (RrT) , edule.t replace the eUnsir federai sales tax January ,199-1 The Whitby Chamber of Com- merce hosted a GST business information conference June 19 to pro .ide Whitby business p epwith an opportuity to learn about the imnpending tai and to ask questions focusing on individual busqiness concerne. The presentation by represen- tatives from the Department of Finance and Revenue Canada hiçhlighted the flaws ini the eixsting federal sales tai, a tem- porary tai measure impleinented Mn1924 and emphasized the need anc1 the advantages of the GST. The representatives emphas- izm.d that the GST would help r4duce Canada's e icit as ýWeIl as ensure, that it ca n continue to paLy* for the prograzns and ser- vices it now enjoys. Ther said is also necessary for effective cern- petition by Canada ini the world economy. Most importantly te businesses and individuals, it promises to improve the overali fairnesa of the tai system, they said. Tony Glynn of the Departmaent of Finance told the 30 business pope gathered te learn about the tai that the federal sales tai (FST) has had a negative effect on some businesses and that it virtually favored the importer over the Canadian manufacturer. "The domestic manufacturer bears 30 per cent more FST than the importer," said Glynn. 'The extra burden is a direct result of the FST. It's a fiaw of the exist- in tax."» nan analIysis of the FST, Glynn called it narrowiy based, unfair, discriminatory, inflation- epresented theGST as fairer, more visible, less costly fand legs complex, without bias in favor f importe, a method of reduci Ig operating costs, and à , reliabl~ source of income. "Thej key benefits are a lower operat ng cost and an improved cash fiQw The tax is more visible to thýw consumer and more broadbj based,» said Glyýnn. He told thegroup that businesses would > - rebated for stock un- soldaet je end of each year. Heoi0 Leined some of the goods and a eces that remain exempt for the Ã"T. PreviOusly owned or resale reside n .al housing, long-term residential rents, low-cost short- term accommodation, most health, medical and dental ser- vices, child-care services for chil- dren up to age 14 rears, bridge road aiýd ferry toise, îegal aid services, education services for coursesî leading to certificates, Most services provided by finan- cial institutions including loans and mortgages insurance ser- vices, most poids or services pro- vided by charities, and certain goods or services provided by non-profit organizations, govern- ments, and other selected public- sector organizationr are al exempt from the GST Fred Travi ' from tieMinisti of Revenue to d the Igroup -that it is important)lbusinesses register with Revenue Canadý%,Customs and IFxcise division toprepare and keep books anc1 records, to collect t he GST on, sales and services, to calculate the GST owing or refundable, sýnd to file a tai return at the required inter- vals.,i Any business with annual sales exceedfing .$6-million is required-to file monthly. A busi- ness with sales greater than $500,000 up to' $6-million has a choice of filing monthly or csuar- terly and any business with ttal annual sales less than $500,000 can file quarterly, monthly or annually with quarterly install- ments. Most of the questions asked by the group centered around how to get set up and how the new tai would affect business. .A representative from an eat- îng and drinking establishment in Whitby asked how the tai would affect the purchase of beer and liquor and how it will affect the selling price. She asked if she would have to pay the GST on her initial pur- chase of the liquor and went on to explain that she is arady payinga12 per cent gallonage feeonliquor and isalso tied 10 per cent across the board on the selling price. She was also concerned that if the GST was included in the sale price for her patrons, the busi- ness would be taxed twice on the SEE PAGE â5 Corr ection An article about Nanas Diaper Service, in last week's edition incorrectly stated that 60 diapers sold for $10.95. The actual price is $11.95. The article aIse stated that Nanas sold deodorant discs for diaper pails. They actually sup- e 1th diesevery four wreeks, Tlhe Free Press apologizes for the errors. d oer 'Comical' kid aîms to draw mut a career "Ha was really nice. He g ave me an au tograhed piece of his work. He aso teld me that if carteoning doesn't work eut 1 could go te, producers and do things 111wstoryboards. "I want te keep doig tripa and submit them te dior f local newspapers. I dont want te go te a big newspaper and get rejected. 1 want te, start;localy." After graduation Roger will ungoeHenry Street Hiph School. Andhe will continue lie quest te become a top cartoonist. STYX AND STONE, by 13-year-old Ian Rogers, wiil appear weely in The Free Press.