More Reasons to Abandon the HST

In my first article in this series, I expressed the opinion that the entire Harmonized Sales Tax system and its legal framework are fundamentally flawed. I outlined four of the nine problems with HST to help illustrate why it should be abandoned. Here are the remaining problems.

5. It has opened the door to various HST scams.

There are many tax scams that involve the HST. If the HST didn't exist, neither would any of these scams:

• The Missing Trader HST Scam: This tax scam has arguably cost the federal government billions of dollars. In this particular scam, organized crime gangs and other fraudsters charge HST on products and services which are legitimately sold to purchasers. These fraudsters, in turn, abscond with the HST and never submit it to the Canada Revenue Agency.