If the price of some goods and services seems higher on Saturday, it’s no April Fools’ prank.
When the sun rises on April 1, so too will the prices of liquor, tobacco, children’s clothing, restaurant meals and residential construction.
The changes are among a series of provincial budget tax hikes that take effect on April 1.
Loading up on liquor
On Friday, Saskatchewan residents may have been loading their shopping carts with liquor to beat the markups that kick in on Saturday.
Most beer products will be marked up 6.8 per cent, coolers six per cent, 5.3 per cent for wines and four per cent for spirits.
A spokesperson from the Saskatchewan Liquor and Gaming Authority said stores around the province did see an increase in customer traffic and sales on March 22 — the day the budget was announced. That was likely due to people thinking prices were going up right away.
Stores were expected to be busy again Friday, but that is usually the case before the weekend.
Revenue from tobacco is expected to bring in $10 million for the province. Incremental revenue from alcohol is expected to bring in another $5 million.
More April 1 PST hikes
There’s also a slew of other things that will be taxed starting April 1 that were previously PST exempt, including:
- Restaurant meals and snacks — adding $94.5 million into the province’s coffers.
- Children’s clothing — bringing in an extra $15.6 million.
Of all the big-ticket items that are, as of April 1, covered by PST, the biggest is construction contracts — whether it’s building new structures or renovating and repairing property.
That change is expected to bring another $344.6 million.
PST on insurance premiums comes into effect on July 1.
‘A little more than most people expected’
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