During a press conference where the premier and minister announced that wine will gradually become available in some grocery stores in Ontario, they were
explicitly asked if they will hike the tax on wine. Wynne and Sousa both refused to make a commitment about the current tax rates, repeating that an answer would be provided in the budget. But Wynne and Sousa did take the question as an opportunity to reminded consumers that wine in Ontario is not the most expensive in Canada.
“It seems the premier is using the glacially slow expansion of wine sales into grocery stores as a bright object to distract Ontario consumers in order to hike the tax on wine,” said CTF Ontario Director, Christine Van Geyn.
Ontario consumers
currently pay to a 16.1 per cent excise tax on wine plus a 29 cent per litre tax and an 8.93 cent environmental tax on non-refillable bottles. A comparison shows that wine in Canada is on average 10 per cent more than in the United States.
“Ontario consumers already pay high taxes on wine, and this is yet another example of the Premier pursuing a policy that will make life in Ontario even more expensive,” continued Van Geyn.
The slow expansion of wine sales into grocery stores will begin with
70 stores, half of which will only be allowed to sell a limited selection of wines. By 2025 – nine years later – the number of stores could increase to 150. And stores will only be allowed to sell bottles priced
$10.95 and higher.
“Selling wine in grocery stores isn’t exactly rocket science, yet this government seems to turn even simple policy changes into complex bureaucratic nightmares. Instead of spending time at grocery store photo-ops, the premier and finance minister should focus on creating a real plan to get Ontario to a balanced budget without continuing to increase the tax burden on citizens,” Van Geyn concluded.
Christine Van Geyn, CTF Ontario Director
