Sunday, August 3, 2025

Latest

PepsiCo Skips Tax Holiday as Small Businesses Scramble

Canada’s two-month GST/HST holiday began Saturday amid growing concerns about implementation challenges, as even major corporations like PepsiCo Canada announced they would continue charging the tax despite the federal mandate.

In a December 10 memo to customers, PepsiCo Canada revealed it would maintain GST/HST charges on qualifying products throughout the holiday period, citing “complexity of systems” and “timing constraints.” The announcement sparked criticism, with industry observers noting that if large corporations with substantial resources struggle to implement the changes, smaller businesses face even greater challenges.

Local Ottawa businesses report mixed experiences with the tax exemption, which eliminates sales tax on various items including restaurant meals, groceries, children’s merchandise, and print publications through February 15. 

The implementation has posed particular challenges for businesses with online operations. Some retailers have had to create workarounds for e-commerce platforms that couldn’t fully accommodate the tax changes.

While some highlighted difficulties in determining eligible items, noting limited direct guidance from authorities despite online resources being available.

In response to these concerns, the Canada Revenue Agency has established an online tool and dedicated hotline to assist businesses. Small Business Minister Rechie Valdez assured that the CRA will take a “practical approach” to enforcement, focusing on reasonable compliance efforts rather than strict penalties.


Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

AngloGold Buys Another Gold Junior! Augusta Gold Acquired For $197 Million

Another Gold Deal! Aris Mining Sells Assets To McFarlane

Royal Gold Goes Big | $3.5 Billion Sandstorm Acquisition

Recommended

Tsunami Warnings Spread As Largest Quake Since 2011 Hits Russia

Northern Superior Intersects 1.75 g/t Gold Over 65.0 Metres At Philibert

Related News

Canada’s Economy Expanded 1.4% In the First Quarter Amid Strong Housing Boom

Canada’s economy continued on its rebound trajectory in the first quarter, as a surge in...

Thursday, June 3, 2021, 10:42:00 AM

Freeland’s and Trudeau’s Offices Clash Over GST Holiday Plan

Internal discord has emerged at the highest levels of Canada’s government, with Finance Minister Chrystia...

Wednesday, December 11, 2024, 07:39:41 AM

Is This Your homework, Justin? Could Canada Be The Next Sri Lanka?

“Is this your budget deficit, Justin?” “Is this your debt to GDP ratio?” “We know...

Sunday, May 29, 2022, 09:00:00 AM

Canadian Pessimism Peaks: 70% Expect Lower Living Standards for Next Generation

A recent survey conducted by Nanos Research reveals a growing pessimism among Canadians regarding the...

Thursday, June 27, 2024, 10:54:00 AM

Canadian Vehicle Sales Drop 17.4% in January Amid Supply Shortages, Lockdowns

Auto sales in Canada declined for the month of January, after further Covid-19 lockdowns and...

Thursday, February 4, 2021, 11:53:00 AM