Most not ready for the new tax
A new sales tax about to take effect is catching many small business owners off guard, according to a new survey.
The survey, commissioned by Intuit, reveals that 47 percent of small business owners in British Columbia, and 54 percent in Ontario, will not be ready for the new Harmonized Sales Tax. Those owners also have further concerns over the negative way in which it will effect business.
There was also bewilderment on the part of small business owners as to why the tax was needed in the first place. Three out of five respondents in both Ontario and B.C. said that they did not see a reason for a new tax regime.
"We've heard quite clearly that HST represents a challenge for small businesses. However, making the switch doesn't have to be an overwhelming administrative task," said Gene Lewis, country manager for Intuit Canada. "Being unprepared will ultimately lead to greater problems, which is why Intuit is working closely with small business owners to help them get ready."
As the deadline approaches businesses are trying to examine what they need to do to get ready for the change.
Despite the confusion and negative feelings regarding the HST, small business owners in Canada are feeling more confident about the economy. The American Express Small Business Index revealed that 58 percent of respondents they believed their company's revenue would grow over the next two months.
