The Ontario government announced that it will match the federal government's decision to exempt the Goods and Services Tax (GST) for two months by removing the Provincial Sales Tax (PST) on goods that do not fall under current regional exemptions.

According to Ontario's Finance Minister, Peter Bethlenfalvy, this move will provide around an additional billion dollars in support for families in the province. This step follows extensive discussions with the federal government.

The new measures come alongside $200 checks that will be distributed to taxpayers in Ontario at the beginning of next year, according to an announcement from Premier Doug Ford last month. Ford confirmed that the rising cost of living has become a significant challenge for families in Ontario.

At the federal level, Prime Minister Justin Trudeau announced $250 checks for Canadians who worked in 2023 and earned less than $150,000. Additionally, the federal government will provide a two-month exemption from the Goods and Services Tax starting from December 14 to February 15 on products including restaurant meals, diapers, toys, snacks, and video games, to support Canadians facing rising living costs.

Despite these measures, some criticized both the federal and provincial governments, considering these steps to be more like attempts to win votes before the upcoming elections, and argued that the funds could be better used to support social programs aimed at the most vulnerable groups. However, both Ford and Trudeau emphasized that the primary goal is to alleviate the burdens of high living costs.