Ontario Mayors Uneasy with Sales Tax Merger

Premier Dalton McGuinty received a tepid response when he pitched his plan for a harmonized sales tax to municipal leaders yesterday.

He told the Association of Ontario Municipalities that combining the GST and PST is good for business.

But the crowd sat on its hands throughout his tax pitch.

Municipal leaders fear they'll be hard hit next year by a harmonized sales tax that applies to more goods and services than the PST.