By Canadian Press

Freeland says the two-month GST holiday is meant to tackle the ‘vibecession’

Nov 25, 2024 | 12:16 PM

OTTAWA — Finance Minister Chrystia Freeland says the federal government is hoping a temporary break on GST will address a ‘vibecession’ that has gripped Canadians.

Prime Minister Justin Trudeau announced on Thursday that starting Dec. 14 the goods and services tax will be taken off a slew of items for two months to help with the affordability crunch.

Freeland says there’s a disconnect between recent good news on inflation and interest rates and how Canadians are feeling about the economy, something she said is being referred to as a “vibecession.”

She says the tax cut is meant to help bridge that gap and stimulate consumer spending.

The federal government also plans to send $250 cheques in the spring to Canadians who were working in 2023 and earned up to $150,000.

B.C. opens disaster aid to atmospheric river flood victims

51m ago

serious injuries

IIO to investigate after woman injured while taken into police custody in Chilliwack

57m ago

Holiday food drive

Amid rising demand, Abbotsford's Archway Food Bank faces $1.2 million shortfall

2h ago

The two measures are estimated to cost the federal government $6.3 billion.

This report by The Canadian Press was first published Nov. 25, 2024.

Nojoud Al Mallees, The Canadian Press