Kitchener-Waterloo

MPP Vernile promises to 're-examine' $4 HST exemption for prepared food

MPP Daiene Vernile is taking a woman's suggestion to raise the $4 HST exemption for prepared food to Queen's Park.

Daiene Vernile is taking a woman's suggestion to raise the $4 HST exemption to match inflation

MPP Daiene Vernile said she thinks raising the $4 HST exemption is a 'great idea.' (Melanie Ferrier/CBC)

Daiene Vernile, MPP for the Kitchener-Centre riding, said she has asked senior staff at the Ministry of Finance to raise the $4 HST exemption for prepared foods, after she heard a realtor in Waterloo bring up the idea in an interview with CBC News. 

Jennifer Brown-Aitken said she's "frustrated" that the exemption hasn't been raised to match the rate of inflation and the cost of prepared food in stores today. She recently suggest the Ontario government raise the exemption to $7 instead. 

"I think it's a great idea," Vernile said. "I think raising it would help to make life more affordable for Ontarians and that would be in line with the other measures we're advancing here at Queen's Park." 

She said the staff at the ministry are curious about it and "like the idea very much." 

Brown-Aitken says the cost of a sandwich and a coffee at fast-food joints exceeds $4. (CBC)

"Together we're going to work on advancing this and seeing if we can make it happen," Vernile told CBC News.  

She said she will begin by having discussions, doing some calculations on what the changes would cost and talking about it with the caucus. 

"When you look at the cost of living, what people are trying to live with these days, I think that we need to re-examine this," Vernile said. 

"This is a very important idea and perhaps we might see this in an upcoming budget."

When the HST was introduced in 2009 during the recession, the Ontario government made special accommodations for meals under $4.00. Consumers aren't charged the provincial portion of the HST — just the 5 per cent federal tax.