Ontario extends PST break for ‘green’ appliances

As first announced in the spring budget, the Ontario government is extending the provincial sales tax exemption on energy-efficient appliances and most bicycles.

Energy Star-rated refrigerators, freezers, washers, dehumidifiers and room air conditioners qualify, along with high-efficiency light bulbs and bicycles costing less than $1,000, Premier Dalton McGuinty said. The 8 per cent PST exemption on appliances and light bulbs will continue until Aug. 31, 2009, and is expected to cost the treasury about $52 million.

The tax break on bikes, helmets and other cycling safety gear will continue until Dec. 31, 2010, at a cost to provincial coffers of about $16 million.

McGuinty acknowledged his government was examining other ways to encourage consumers to choose more environmentally friendly products.