News Release Archive

Finance Minister Bill Gillis announced today that the price of
tobacco products will remain the same under the Harmonized Sales
Tax (HST) when it is introduced on April 1, 1997.

"We announced last spring that the HST would not result in any
change for consumers when it came to tobacco," Bill Gillis said.
"Now we are following through on that commitment."

On April 1, 1997, the HST will be charged at 15 per cent on
tobacco products sold through retail outlets. Currently, Nova
Scotia only has a tobacco tax at the wholesale level and the 7
per cent Goods and Services Tax (GST) is added at the retail

As a result of the decision to keep the cost to consumers the
same, Nova Scotia will be adjusting its tobacco taxes to offset
the impact of the HST.

A bulletin to tobacco wholesalers was sent out yesterday by the
Department of Business and Consumer Services. Details on the tax
rates involved and refunds for tobacco products held in inventory
will be released shortly.


Contact: Bruce Cameron  902-424-8787

trp                      Mar. 25, 1997 - 3:50 p.m.