Manitobans start paying more PST

WINNIPEG — It’s been talked about for months and now it’s here.

July 1 marked the beginning of eight per cent provincial sales tax in Manitoba.

The hike went forward despite Bill 20, which allows the provincial government to raise the tax without a referendum, not having passed and no referendum on the horizon.

Premier Greg Selinger said the tax hike is for the best.

“This is what Manitoba needs,” Selinger said. “The money will help with flood protection and our schools, roads and heath care.”

The PST increase is expected to bring an extra $277 million a year into government coffers.

“It’s going to especially hurt low-income people,” said Colin Craig of the Canadian Taxpayers Federation. “Seniors on fixed incomes, everyone who finds it hard to keep their budget going, now they are really going to feel the pain because every tax hike is adding up.”