Saskatchewan candidate promises to remove PST on insurance premiums

Published: August 30, 2017

Updated: July 24, 2018

Author: Luke Jones

CATEGORY: |

Share:

One Saskatchewan-based political candidate says he will roll back the charging of provincial sales tax (PST) to insurance products, which was announced in Budget 2017. Jeremy Harrison, candidate for the leadership of the Saskatchewan Party and MLA for Meadow Lake, says the government should be doing more to encourage the purchase of insurance.

“Part of the role of government is to encourage responsible behaviour – be it saving for your children’s education, planning for your retirement or donating to a charity,” Harrison said in a press release. “High on that list of responsible behaviours is purchasing insurance.”

Harrison included that “there have been few issues on which he had received as much feedback from the public. Much of that feedback requested that the government reconsider the decision.”

As Premier, Harrison promises to remove the PST from all insurance products in Saskatchewan. Current Premier Brad Wall announced this summer that he will resign as leader of the party. The new leadership will be decided Jan. 27, 2018.

“Many individuals use life insurance as a savings mechanism while others use it as a way to transition their small business from one generation to the next,” Harrison said in the release. “Insurance is often another way of saying ‘savings’ – and I believe that taxing savings is not good policy.”

In May, the provincial government said that PST will be placed upon all insurance premiums from Aug 1. 2017 at a rate of six per cent on all premiums.