(Sep. 26/12) CRFA continues to oppose a possible price increase for licensees in PEI, following harmonization.
Currently, alcohol is PST-exempt for licensees and retail pricing includes taxes. However, this could change once harmonization takes effect if other Atlantic provinces are any indication – their provincial liquor monopolies maintained the tax-included price despite the PST reduction, by raising ad valorem taxes.
In PEI, this action would mean liquor store customers pay the same price for beverage alcohol, while licensees see a price hike of 1.3 per cent.
CRFA has raised this issue with officials, the Provincial Treasurer Wes Sheridan and Premier Robert Ghiz. We have also mobilized prominent licensees and other business and hospitality associations to help press our case.
Click here to read our letter to Minister Sheridan.
Click here (PDF) to read our letter to Mr. Lorne Bay, Manager of HST Implementation Project.