On Wednesday's budget announcement, Saskatchewan announced an increase in its provincial sales tax by 1 per cent up to six per cent.
The PST base is expanded to insurance premiums effective for premium payment due dates on or after July 1, 2017. This includes all life, accident and health insurance; all property, vehicle, liability and casualty insurance; as well as all agricultural insurance. The tax will apply where the insured is resident in Saskatchewan or the premiums are paid in respect of property located in Saskatchewan. Expanding the PST to all types of insurance from all insurance providers will ensure fairness in its application to all consumers and businesses.
Certain health services where the government competes with private businesses will be ended, although these areas — hearing aids, podiatry, CPAP machines for snorers and orthotics — will still be covered for low income people.
"Employers with employees in Saskatchewan are going to need to plan for an increase in their own budgets with this new tax increase," Accompass Vice President Judy Buckley explained.