IKEA Canada has launched an innovative “Second-Hand Tax” (SHT) initiative across all its Ontario As-is marketplaces, coinciding with the start of Earth Month.
CNW Group/IKEA Canada Limited Partnership
This initiative is designed to offer customers the chance to avoid paying the Harmonized Sales Tax (HST) on second-hand purchases, effectively making these items more affordable and promoting sustainability.
This move comes in response to the growing concerns among Canadians regarding the economy and household finances, as highlighted in the IKEA Life at Home report.
It found that 67% of Canadians are worried about the general economy, and 57% are concerned about their household finances. IKEA Canada’s SHT initiative directly addresses these concerns by making second-hand shopping a more viable and attractive option for consumers looking to save money and reduce waste.
Under the SHT initiative, which runs from April 2-11, 2024 at Ontario stores, IKEA Family members can purchase items from the As-is marketplace in-store at a 13% discount, effectively neutralizing the HST. This initiative not only encourages more sustainable shopping habits but also brings to light the issue of being taxed twice on second-hand items—a practice IKEA Canada is challenging.
“We believe in doing more with less,” says Selwyn Crittendon, IKEA Canada CEO and Chief Sustainability Officer, in a news release.
“With our “Second-Hand Tax” initiative, we’re making sustainable choices, that also save people money, more attractive to average Canadians. It’s our little way of making a big difference.”
By making second-hand items more financially accessible, IKEA Canada hopes to inspire not only consumers but also the government and other businesses to support more sustainable consumption practices and eliminate the double taxation on second-hand goods.