Ikea wants Sales Tax Abolished on Used Items

Ikea Canada is calling on the federal and provincial governments to remove the HST from the purchase of previously owned goods, citing it amounts to overtaxing consumers since the tax is already paid the first time around.

“Second-hand items may have lost their original look, packaging and price, but they never lose the tax,” said the company in a statement.

The home furnishings brand has launched an online petition demanding the double tax be eliminated. As of April 12, it had 27,825 signatories.

“With inflation and rising costs of living, this undue tax needs to end, especially at a time when Canadians simply can’t afford it and when shopping circular is more important than ever,” states Ikea on the petition’s website.

According to a report released in January by the company, two-thirds of Canadians are concerned with the general economy and more than half with household finances.

To promote affordability and sustainability and raise awareness, the brand launched the second-hand tax or SHT initiative at all as-is marketplaces in Ontario. From April 2-11, used items were reduced by 13 per cent for Ikea family members to offset the tax burden.

“We believe in doing more with less,” says Selwyn Crittendon, Ikea Canada CEO and chief sustainability officer. “With our second-hand tax initiative, we’re making sustainable choices that also save people money more attractive to average Canadians. It’s our little way of making a big difference.”

You Might Also Like