Sonia Sidhu

Legislation passed in Parliament to remove GST/HST for two months on food and necessity items - Sonia Sidhu

November 29, 2024

The House of Commons has passed legislation that will remove the federal sale tax for two months from a range of items, including children’s toys, books, restaurant meals and takeout.
The bill will be fast-tracked through the usual procedural steps, now goes to the Senate. Once passed, the legislation will provide a GST rebate beginning Dec. 14. The tax vacation will remain in effect until Feb.15, 2025.

The plan to send $250 cheques to the 18.7 million people in Canada who worked in 2023 and earned $150,000 or less is on hold because some Canadians raised concerns about being excluded from the plan.

“The past few years have been challenging. It feels like the price of everything has gone up. And while inflation is cooling and interest rates are dropping, we know that Canadians aren’t feeling that in their household budgets yet. Our government can’t set prices at the checkout, but we can give Canadians more money in their pocket – to help them afford the things they need and save for the things they want.” - Said Sonia Sidhu.

Starting December 14, 2024, we’re giving a tax break to all Canadians. With a GST/HST exemption across the country, Canadians will be able to buy essentials like groceries, snacks, and kids clothing – all tax-free.

This new tax break will apply to:

Prepared foods, including vegetable trays, pre-made meals and salads, and sandwiches.
Restaurant meals, whether dine-in, takeout, or delivery.
Snacks, including chips, candy, and granola bars.
Beer, wine, cider, and pre-mixed alcoholic beverages below 7 per cent ABV.
Children’s clothing and footwear, car seats, and diapers.
Children’s toys, such as board games, dolls, and video game consoles.
Books, print newspapers, and puzzles for all ages.
Christmas trees.

This tax break is projected to last until February 15, 2025. By making essentially all food GST/HST free, this will deliver meaningful savings for Canadians, with real relief at the cash registers.

Families will be spending quality time together over the coming weeks. Some will light Christmas trees and buy gifts. Some will share a meal with family and friends. Some might just make hot chocolate, order some takeout, and stay in for a movie night. With today’s announcement, we’re making life a bit easier, so Canadians have more money in their pocket for the things they want.