British Columbia has introduced the new HST( Harmonized Sales Tax) effective July 01, 2010 that will put a 12-percent sales tax on almost everything you buy, especially new Vancouver Condos and Homes.

The total federal-plus-provincial sales tax will jump from five per cent to 12 per cent on items like restaurant meals, home heating, basic cable and telephones and new Condo units.

Since introducing the new HST, the Liberal governments popularity has fallen 12 percentage points to just 34 per cent in a recent poll, juat enough to have lost a third term in power prior to the recent election.

Tax revenues are forecast:

• Additional Goods ( up $353-million)
• Services (up $722-million)
• New taxes on housing (up $549-million)

Homeowners will be the biggest losers under the regressive new harmonized sales tax. Once the numbers are crunched buyers of new or resale Vancouver Condos and homes will be squeezed for tens of thousands more in taxes Jul 1st, 2010.

Tax will be payed on:

• Tax on the land
• tax on the house and Condo 
• tax on any professional who preforms service in a real-estate transaction
• a seven per cent provincial tax will be added to all new homes. Currently it does not apply
• HST to add $56,000 to the price of a $800,000 Condo or home
• Realtors commission to rise from 5 per cent to 12 per cent
• Home inspector, notary,surveyor,appraiser, all will charge 12 per cent
• Residual costs, home renovation all increase to 12 per cent

The higher tax is expected to affect over 60 per cent of home-buyers who will pay more tax.