3 Oct 2010, 11:51am
HST Income Tax: HST
by admin
Comments Off on Real Cost of a $100 Restaurant Meal
HST Income Tax: HST
by admin
Comments Off on Real Cost of a $100 Restaurant Meal
Real Cost of a $100 Restaurant Meal
This is a simple example of how consumers are loosing purchasing power with HST tax laws.
To purchase a restaurant meal costing $100 subject to HST (12%), you will need $112.
To have $112 in disposable income after taxes, (employment income tax rate is about 22%), you will need a gross income of $136.64. Next time you go to Restaurant and your tab is $100, here is how much money you will need to make to pay for that meal.
Meal | $100.00 |
HST (12)% on $100 | 12.00 |
Tips (15%) on $112 | 16.80 |
Restaurant bill | $128.80 |
Income tax (Source Tax 22%) | 36.30 |
Total income to Earn for the Meal | $165.10 |