News Release
Office of the Official Opposition

   

 

Jones calls for HST exemption on private home care services

May 29, 2006

Yvonne Jones, MHA for the District of Cartwright L’Anse Au Clair and Opposition Critic for Health and Community Services has called upon government to review the HST applied to private home care in view of the fact that this tax is exempt for home care services provided by government.

The Liberal MHA questioned government on this matter last week in the House of Assembly, highlighting the unfairness of this policy for those who have to purchase these costly services from personal funds.

"Government is demanding that people pay taxes on these important services when similar services subsidized by government are HST exempt," says Jones. "It does not make sense to place this extra financial burden on those individuals and families when the cost of the service itself is expensive enough. Furthermore, all other medical services such as physiotherapy, chiropractic, podiatry and dentistry are also excluded from HST. Home care services are considered just as much a medical necessity as these other services but the taxation policy does not reflect this reality.

"What is even more ridiculous about this taxation policy is that if a person was allocated one hour a week from government and thirty-nine hours a week were purchased from a private home care service, then this person would not be expected to pay the HST because of that one hour. Yet, equally as essential home care services paid for by individual families in this province are charged full HST.

"This is a clear case of an unreasonable and an unfair government policy and I have made the minister aware of my concerns in the House of Assembly. I will continue to press to have this discriminatory policy evaluated and appropriate changes made so that there is an equitable application of HST exemption applied to the same service, no matter if government subsidizes it or it is purchased by an individual. Anything less than that constitutes an unnecessary discrimination in our health care system."

 

Media Contact:
Kim Ploughman
Caucus Communications
Office of the Official Opposition
709-729-6427