by Mike Godfrey, Tax-news.com, Washington
24 March 2017
Uber Canada has said that changes to the goods and services tax (GST) rules for ride-sharing businesses will “hurt over a million Canadians who use ride-sharing to earn income and get around their cities.”
The 2017 Budget included a proposal to amend the definition of a taxi business under the Excise Tax Act. The aim is to ensure that ride-sharing businesses are subject to the same GST/harmonized sales tax rules as taxis.
Responding to the announcement, Ian Black, Regional General Manager for Uber Canada, said there should be support for policies that “make sustainable transportation more affordable, not more expensive.”
He argued: “Federal tax laws already offer small business owners a break on collecting sales tax, but unfairly exclude taxi drivers. The best way to support taxi drivers and level the playing field is to extend the same exemption to them.”
Black said that there should be meaningful consultation on the proposal and that Uber hopes to “work with the Government on smart solutions that support innovation.”
Published at Thu, 23 Mar 2017 19:00:00 -0500