"Ontario government to eliminate provincial sales tax to lower cost of living"

The Ontario government has announced it will remove the provincial sales tax (PST) on goods not currently covered by provincial rebates to coincide with the federal Goods and Services Tax (GST)'s two-month holiday.

The move will provide "nearly $1 billion in additional financial assistance to Ontario families" and comes after "extensive discussions" with the federal government. Ontario Finance Minister Peter Bethlenfaloy's office said in a statement.

The new relief measure is being announced as part of previous cost-cutting measures that include sending Ontario taxpayers $200 checks in the new year.

Ontario Premier Doug Ford announced the checks last month, saying life has become "too expensive" for Ontarians.

The federal government then announced it would send $250 checks to Canadians who worked in 2023 and earned less than $150,000.

Canadian Prime Minister Justin Trudeau also announced the federal government will offer a two-month tax holiday for items such as restaurant meals, diapers, toys, snacks and video games to help Canadians struggling with the cost of living.

The tax holiday runs from December 14th to February 15th and includes many holiday season purchases as well as Valentine's Day.

Critics have said both governments are bribing Canadians ahead of federal and provincial elections by using public money that could be better spent on social programs for the needy. But both Ford and Trudeau have stressed that the measures are meant to reduce the cost of living, which has become too high for many people.

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