Simcoe County businesses brace as federal alcohol tax goes into effect
Local businesses are bracing for the Federal Government's increase in alcohol tax.
"We're not happy that there's an increase in the tax because even in downtown Barrie, we've had the pandemic we've had construction downtown, so we've gone through a litany of upheavals," said Colin Johnson, Manager of Donaleigh's Irish Public House.
Although the tax has now been capped at two percent instead of its initial 6.3 percent, some say that's still not enough.
"I think any increase in this time of day is punishment," said Walter Vaz, Heritage Estates Winery and Cidery Owner. "Certainly, we believe that any increase is going to affect us in a negative way in both our winery property and the hospitality."
Vaz said small businesses and the hospitality industry suffered the most from the pandemic, with many still trying to recover.
"We were one of the first to be locked down, we were one of the last to open up. I took on huge debts just to survive and now we're faced in the marketplace where the playing field is being artificially increased," he said.
However, that's just one increase businesses will deal with this year. The provincial government will raise the minimum wage from $15.50 an hour to $16.55 in the fall, a 6.8 percent increase tied to inflation.
"We recently had to deal with a larger jump than that in the server and bartender wage, which just increases the bottom line in the cost of doing business, any further increase in the minimum wage, it's going to hurt us," said Johnson.
Both Donaleigh's and Heritage Estate Winery say they don't plan to raise their prices right now and will find other ways to supplement the increases.
However, if costs continue to rise, they may be left with no other option.
Ontario's minimum wage is set to rise on Oct. 1.
CTVNews.ca Top Stories
Appeals court overturns Harvey Weinstein's 2020 rape conviction from landmark trial
New York’s highest court on Thursday overturned Harvey Weinstein’s 2020 rape conviction, finding the judge at the landmark #MeToo trial prejudiced the ex-movie mogul with improper rulings, including a decision to let women testify about allegations that weren’t part of the case.
BREAKING Honda to get up to $5B in govt help for EV battery, assembly plants
Honda is set to build an electric vehicle battery plant next to its Alliston, Ont., assembly plant, which it is retooling to produce fully electric vehicles, all part of a $15-billion project that is expected to include up to $5 billion in public money.
1 arrested in northern Alberta during public shelter order
Residents of John D'Or Prairie, a community on the Little Red River Cree Nation in northern Alberta, were told to take shelter Thursday morning during a police operation.
Secret $70M Lotto Max winners break their silence
During a special winner celebration near their hometown, Doug and Enid shared the story of how they discovered they were holding a Lotto Max ticket worth $70 million and how they kept this huge secret for so long.
Remains from a mother-daughter cold case were found nearly 24 years later, after a deathbed confession from the suspect
A West Virginia father is getting some sense of closure after authorities found the remains of his young daughter and her mother following a deathbed confession from the man believed to have fatally shot them nearly two decades ago.
New deep-water channel allows first ship to pass Key bridge wreckage in Baltimore
The first cargo ship passed through a newly opened deep-water channel in Baltimore on Thursday after being stuck in the harbor since the Francis Scott Key Bridge collapsed four weeks ago, halting most maritime traffic through the city's port.
First in Canada procedure performed at London, Ont. hospital
A London man has become the first person in Canada to receive a robotic assisted surgery on his spine. Dave Myeh suffered from debilitating, chronic back pain that led to sciatica in his right now and extreme pain in his lower back.
Monthly earnings rise, payroll employment falls: jobs report
The number of vacant jobs in Canada increased in February, while monthly payroll employment decreased in food services, manufacturing, and retail trade, among other sectors.
Doctors say capital gains tax changes will jeopardize their retirement. Is that true?
The Canadian Medical Association asserts the Liberals' proposed changes to capital gains taxation will put doctors' retirement savings in jeopardy, but some financial experts insist incorporated professionals are not as doomed as they say they are.