To start; the Federal Liberals voting for the tax implementation inoculates the Federal Government against political contamination. I have been opposed to the HST from the beginning, when I heard Gordon Campbell explain why we need it in BC. Basically his government is burning through money at an incredible rate, and they need new tax revenues to pay for it even beyond their absurd carbon tax. Gordon Campbell is on my "shit list", and I only voted for his party in the spring because I loathe the NDP that much. I even thought about the Greens, but at the end of the day they are all nuts.
I believe that the Harper Government had noble intentions when they harmonized the tax, and in this allegory play the roll of Little Red Riding Hood. Chronic over spenders McGuinty and Campbell are the Big Bad Wolf. When you hear pundits praise a "value added tax" that is oxymoronical bullshit. It is going to increase provincial tax revenue, ergo, there is more sum tax on the system than there was before. There is no tangible benefit to Ottawa. McGuinty's insane economic policies are crushing Ontario and he is desperate for money. Campbell is burning through money at a phenomenal rate, first on the Olympics, second on his hydro projects. I have a friend who worked on Campbell's massive increase in hydro electricity infrastructure, and he described in detail how much money the government is burning through to pay for it. The carbon tax wasn't enough.
To understand the motives of the Premiers, look only as far as the offer by the Prime Minister to not add new taxes to new goods. Campbell and McGuinty were mute. Why? They need money badly. So why would the Tories agree to this deal and risk the stink of new taxation? Quid Pro Quo. Remember when the Federal Liberals were screaming about "Stimulusgate" and saying that the Tories were favouring their own ridings, was it not the McGuinty Government who quashed that controversy by saying that they consulted and approved the Ontario projects? That killed Stimulusgate. Quid Pro Quo. I bet you Gordon Campbell gives the Federal Tories a red carpet at his Olympics. Quid Pro Quo.
Why do you think Ignatieff whipped the Liberals into supporting the HST? How much do you want to bet that Dalton called in a favour. As a result, the Liberals have lost a potential election wedge issue. Hence why the Liblogs are so torn over this. But increase negative opinion of the HST, and that sticks to Dalton who needs the extra money because he spends like a drunken sailor. Hence why Iggy's new puppet masters pulled the strings as they did. You could see the torment in Mike's eyes when he announced support for the tax.
The Harper Government proved able to reach across the aisle and work with opposing Premiers, whether you agree with the tax or not. It was never going to add revenue to Ottawa, just Toronto and Victoria. This was all quid pro quo, and the Blogging Tories who came out reflexively in favour of the tax because it was a a potential Tory negative have shit in your beds; now you have to sleep in them, but not for long, the Liberals just washed the sheets yesterday. I was against it from the beginning because I listened to Gordon Campbell talk about why he needed it.
If Dalton wants something, it can't be good. Some left wing bloggers are in love with Dalton McGuinty and Ujjal Dosangh....Always good to read left wing blogs if you want a hearty chuckle...