http://www.huffingtonpost.com/2012/03/29/canadian-penny-killed_n_1389321.html
http://www.bloomberg.com/news/2012-...enny-that-costs-penny-and-a-half-to-make.html
http://news.nationalpost.com/2012/03/29/budget-2012-federal-canada/
http://www.cbc.ca/news/business/story/2012/03/29/federalbudget-flaherty-penny-cent.html
From the CBC:
Amazing! I love this!
http://www.bloomberg.com/news/2012-...enny-that-costs-penny-and-a-half-to-make.html
http://news.nationalpost.com/2012/03/29/budget-2012-federal-canada/
http://www.cbc.ca/news/business/story/2012/03/29/federalbudget-flaherty-penny-cent.html
From the CBC:
The federal budget is guaranteed to leave Canadians penniless — literally.
Among the victims of cutbacks outlined by Finance Minister Jim Flaherty in the government’s 2012 federal budget on Thursday is Canada's one-cent coin.
Citing low purchasing power and rising production costs, the government has decided to phase the penny out of existence starting this fall, when the Royal Canadian Mint will stop distributing the one-cent coin to financial institutions.
Over time, that will lead to the penny effectively becoming extinct, although the government noted on Thursday that one-cent coins will always be accepted in cash transactions for as long as people still hold on to them.
Amazing! I love this!
The solution Ottawa is proposing is to do away with the penny in cash transactions. Instead of fiddling with a few cents at the cash register, prices will be rounded up or rounded down to the nearest five-cent increment.
That rounding will happen after any applicable sales taxes have been implemented.
Take a cup of coffee in Medicine Hat, Alta. that currently costs $1.80 and is subject to 5 per cent GST. A consumer today would pay $1.89 for that drink. Once the penny plan is implemented, that price would be rounded up to $1.90.
But the nickel and diming can work both ways. A sandwich combo at a deli in Oakville, Ont. that today costs $4.86 after HST would round down to $4.85 under the plan.
Credit, debit and cheque transactions will be unaffected, so one cent is still going to be the base unit of Canadian currency.