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C-218Outside the Order of Precedence

Proposed Law: No Sales Tax on Therapy

No Tax on Therapy

Introduced Dec 16, 2021
Summary

This proposed law, put forward by Lindsay Mathyssen, aims to change how sales tax works for therapy. Right now, in many places in Canada, you pay sales tax when you see a psychotherapist. This proposed law wants to remove that tax. This means the total cost of each therapy session would go down a little bit. This change would affect anyone who goes to a psychotherapist and pays sales tax on those services. It would make therapy slightly more affordable for them. It could also affect psychotherapists, as it might change how they handle billing and taxes. This matters because mental health care can be expensive. By removing the sales tax, the proposed law hopes to make therapy more accessible to people who need it. Making mental health care more affordable could help more people get the support they need, improving their overall well-being.

Where This Lands on Key Issues

Where this proposed law falls on the policy spectrums that Canadians care about

Taxes & Government SpendingHealthcareHousing & Cost of Living
This bill
Taxes & Government SpendingBalance taxes with needed services

Removing sales tax from psychotherapy represents a small reduction in government revenue, thus aligning slightly towards the 'cut taxes and spending' end of the spectrum. The impact is relatively minor, hence the small alignment value.

HealthcareExpand public coverage (dental, pharma)

Removing sales tax on psychotherapy services aims to make mental healthcare more accessible and affordable, moving towards a more universal approach to healthcare. While not a full expansion of public healthcare, it reduces a barrier to access, thus aligning positively on this spectrum.

Housing & Cost of LivingBalance market and affordability programs

While primarily focused on healthcare, reducing the cost of therapy can indirectly alleviate financial stress related to housing costs for some individuals, leading to a slight move towards addressing cost of living concerns.

Bill Quality

This bill has not yet been published on the government website.

Progress

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