Vancouver, BC – The BC Craft Farmers Co-Op (BCCFC) is urging the federal government to revise its recently announced Goods and Services Tax (GST) holiday policy, which temporarily removes GST on various products, including alcoholic beverages, but excludes cannabis products.
The co-op, representing small-scale cannabis farmers, processors, and retailers in British Columbia, has raised concerns about what they describe as an unfair disparity in the treatment of legal substances.
Advocating for Equal Treatment
BCCFC President Tara Kirkpatrick, who also operates BC Backwoods Bud in Prince George, highlighted the inconsistency in exempting alcohol—a substance linked to significant societal harm—while continuing to tax cannabis.
“Alcohol contributes to tens of thousands of deaths in Canada each year and imposes an estimated $20 billion in societal costs annually, including over $6 billion in health care expenses,” said Kirkpatrick in a press release. “Cannabis, by comparison, does not carry the same societal harms. It’s time for the government to treat cannabis fairly and add it to the GST exempt list, especially during the holiday season.”
Economic and Stigma Concerns
The BCCFC argues that the policy undermines efforts to normalize cannabis use and support the legal cannabis industry. Cannabis was legalized in Canada in 2018 and is medically approved for hundreds of thousands of Canadians. The organization sees the GST exclusion as perpetuating stigma and inequality between the cannabis and alcohol industries.
“Why is the government choosing to favour alcohol over cannabis businesses?” Kirkpatrick asked. “This policy doesn’t make sense, especially considering the role of cannabis in medical and recreational contexts.”
Formal Push for Change
The BCCFC has formally appealed to the Minister of Finance, urging a reconsideration of the GST policy. A letter sent by Kirkpatrick outlines the disparity and advocates for equitable treatment, emphasizing the economic and social benefits of supporting the legal cannabis sector.
A Call to Action
The co-op has consistently promoted policies to strengthen the legal cannabis market, reduce stigma, and support small-scale producers. The current GST holiday, they argue, represents a missed opportunity to level the playing field between two legal and regulated industries.
As Canada continues to adjust its approach to cannabis regulation post-legalization, the inclusion of cannabis in tax exemption policies remains a critical issue for industry advocates.