Tax holiday boosting spending at retailers, restaurants: industry groups

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Tax holiday boosting spending at retailers, restaurants: industry groups
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Almost a week into the GST holiday, retailers and restaurant owners appear on track for a sales boost despite some of the struggles they faced implementing the temporary break.

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BMV Books owner Patrick Hempelmann says he's seen an uptick in sales since the tax break began, particularly on higher-priced items.For two months, a slew of items including children’s toys, snacks, wine and restaurant food are GST- or HST-free, depending on the province.

"For a lot of retailers, it's shifting the buying patterns, but I think overall they're seeing a net increase," he said. But even with November's decline, Canada is likely on track for a slight uptick in per-person retail spending in the fourth quarter for the first time since mid-2022, she wrote.

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