The Canadian Taxpayers Federation is calling on Premier Andrew Furey to provide relief for Newfoundlanders and Labradorians by cutting the sales tax and eliminating wasteful spending. These recommendations form the foundation of the CTF’s 2025 pre-budget report for Newfoundland and Labrador.

“Newfoundlanders and Labradorians are struggling to keep up with rising costs and the Furey government can provide real help by cutting taxes,” said Devin Drover, CTF Atlantic Director. “Neighbouring Nova Scotia is cutting sales taxes to help families. Furey should go even further and deliver real savings by cutting the HST by two percentage points to put more than $700 back in the pockets of the average family this year.”

Nova Scotia recently announced a one-point sales tax reduction, set to take effect on April 1, 2025. To keep Newfoundland and Labrador competitive and help families cope with the rising cost of living, the CTF is urging the Furey government to reduce the provincial HST rate from 15 per cent to 13 per cent.

Beyond sales tax relief, the CTF’s plan also recommends:

• Replacing corporate subsidies with broad-based business tax cuts
• Bringing government compensation in line with Newfoundland and Labrador’s labour market
• Implementing spending reduction measures outlined in the Premier’s Economy Recovery Team’s report

“These measures will stop reckless borrowing and save taxpayers millions in interest payments,” said Drover. “Right now, Newfoundlanders and Labradorians are on the hook for a staggering $1.1 billion every year just to cover interest charges on the provincial debt.

“Furey must use his final budget to reverse course and stop the debt spiral, rein in wasteful spending and give taxpayers a break.”

The CTF’s full pre-budget proposal can be viewed HERE.

The Newfoundland and Labrador budget is set to be delivered on April 9, 2025.