Chief Justice Robert Bauman of the B.C. Supreme Court has made national headlines with his recent decision to challenge the new federal HST that was implemented on July 1 in both Ontario and in British Columbia. While this decision affects only British Columbia, many consider it a forward movement.

Initially instigated by former premier Bill Vander Zalm, a petition was presented with more than 700,000 B.C. signatures of angry locals who want the tax abolished. It comes months after the Liberal government promised no-tax-switching as part of its electoral campaign.

The newly implemented HST is a combination of the already existing five per cent GST and the seven per cent provincial sales tax. However, it is the new rules that have many up in arms. The new HST has been placed on many goods and services that were not previously charged both taxes, which has increased the cost on professional services such as accountants and lawyers as well, it has been slapped on the price of homes, both new and a portion of resale.

Six area businesses have been responsible for the initiation of the 700,000-person petition that is to be brought before legislation in September 2011. It has been validated by Chief Justice Robert Baumen who says, "Weighing the balance of convenience and the fact that Mr. Vander Zalm has been successful in the initiative petition and its defence in the court I would respectfully ask the chief electoral officer to perform his remaining duties under the Recall and Initiative Act forthwith."

With the HST placing direct cost increases of many daily goods and services in both B.C. and Ontario, the economic pinch as been felt in the larger scale services. People are still coming out of their financial shell on the recession, so the timing of this new tax could have been better. These new rules have been blamed for the decline in many economic corners, the housing market claiming the biggest hit.

If the ruling does indeed pass and it goes into legislation next Fall, it could have another effect on the economy, hopefully a more positive one. For now, residents of Ontario and British Columbia will be forced to tolerate the new taxes and rules. It is very hard to predict what will happen with the housing market in the meantime, or what impact the new tax will have on the economy of the two provinces in the next year.