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PST expansion has parents looking to second hand for back-to-school clothing

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PST expansion has parents looking to second hand for back-to-school clothing
It's that time of year again - time to send the kids back to school. But doing so isn’t without its challenges, including paying for those often pricey must-haves. An expanded PST doesn’t help either. But as Marney Blunt explains, parents in Regina now have a new opportunity to get a handle on what they spend – Aug 17, 2017

It’s that time of year again; time to send the kids back to school.

It’s also a time of year that can often be pricey for many parents. This year it’s even more costly as the Saskatchewan government removed the PST exemption on children’s clothes in April. Government officials have cited better administration efficiencies and result in $15.6 million in revenue.

But for parents, it’s an unwelcome move.

“That was a little brutal, I was actually kind of surprised when they did that,” Regina parent Brittany Wilson said while shopping with her children.

“I think they’re going to lose income because of it, because people who regularly travel between the Saskatchewan – Alberta border, if they’re close enough they’re going to choose to just hop over the Alberta border, do a little shopping and come back. It’s going to be revenue lost so I think it was kind of a stupid move on their part.”

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It’s one of several reasons why Wilson, along with several other parents, were at the grand opening of the Once Upon a Child store in Regina on Thursday. The store, which already has a location in Saskatoon, sells second hand children’s clothing and toys.

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“When you’ve got a nine-year-old that is very, very rapidly growing, we tend to go through one, possibly two sizes of clothing every year. It’s kind of perfect” Wilson said.

“When I had my daughter I was a single mom, so cost was obviously a big factor. And we’re on one income now because I just had my son, so my husband is supporting us. So (because) there’s only one income for a while, we need to watch the coins and this was perfect for us.”

The store also allows the parents to make money by selling their gently-used children’s items to the store.

“It’s kind of a win-win, because they get money on the spot for the items that they bring us, and then we turn around and sell it back to (others) for a discounted price, so it’s making your dollar go a lot farther,” Once Upon a Child store owner Peggy Hlushko said.

Hlushko noted that second hand items are exempt from PST.

“A lot of parents (have a) limited budget for their shopping,” she said. “And so right now, because it’s used inventory, we don’t have to sell on the used product, but when we bring in new products to offset what we can’t purchase from the customer then those things will be taxable.”

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