Chips, rotisserie chickens and other foods go provincial sales tax-free in Manitoba

Manitoba’s premier said the province’s planned grocery store tax cut will be expanded to smaller outlets, including convenience stores.

WINNIPEG — Manitoba is cutting its provincial sales tax on store-bought food starting today.

Most groceries are already tax-exempt, but the July 1 change means there will no longer be seven per cent PST charged on products such as chips, rotisserie chickens and baked goods.

The tax cut applies to food sold at grocery and convenience stores, but it’s still charged at restaurants, bakeries and bars.

The NDP government says the change could save the average family $100 a year.

The Opposition Progressive Conservatives say the cut serves only to make junk food cheaper while doing little to help family finances.

Business groups, including Restaurants Canada and the Canadian Federation of Independent Business, want the policy expanded, saying the rule puts restaurants at a disadvantage.