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IKEA Canada petitioning to end double tax on second-hand items

IKEA Canada has started a petition to end the double tax on second hand items across the country.

<who>Photo credit:123rf

The home goods company launched the petition after recently offering a limited time break on HST on second hand items in Ontario. Every item purchased in the As-is marketplace in-store was reduced by 13% to offset the tax burden.

“IKEA Canada discovered Canadians have been paying tax on second-hand items, even though the tax was already paid the first time around. Second-hand items may have lost their original look, packaging, and price, but they never lose the tax,” said the company in a statement.

“Given the cost-of-living crisis, making life more affordable needs to be a priority.”

IKEA is asking Canadians and “like-minded” companies to tell the government to put an end to the double tax so that all Canadians can shop circular for less. The petition has 30,000 signatures.

The company cited their annual Life at Home report, which found that two thirds of Canadians are concerned with the general economy, and more than half are worried about household finances.

Alongside the report, IKEA also announced in January 2024 that they would invest $80 million in order to reduce prices on over 1,500 products.

A 2023 survey found that a third of Canadians purchase second-hand goods more than once a month – with nearly three in four doing so to make their money go further as the cost of living continues to climb.

Other reasons to shop at thrift stores included being more consumer conscious and environmentally sustainable.



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