Canada might start eliminating pennies before cost more to make them. Australia and New Zealand has eliminated pennies as well as Switzerland and Denmark recently decided to eliminate 25 Ore Coin from circulation. So good idea to get rid of coins from circulation that is no longer used for vending machine or buy thing with! Such as U.S. Pennies and Russian Kopeks has no longer used for vending machine.
The penny is costing Canadian tax payers over a hundreds million dollars every year to keep it in circulation. Please sign the petition at http://www.nomorepennies.ca/ to support Pat Martins bill.
The countries cited do not have local sales taxes. While I agree that the penny has technically outlived its usefulness, no one has been able to come up with a good way to handle taxes that already cause price distortions when different communities charge different percentages. For example, if an item costs 50 cents and there’s a 6% tax, its price will go up to 53¢ which in turn will be rounded to 55¢. Who gets the extra 2 cents? Yes, I know that supposedly it will all even out with items whose prices would round down, but having lived through the repricing frenzy of the 1970s I would expect to see downward rounding about the time someone demonstrates porcine avionics (i.e. when pigs fly).
Perhaps a revived 2¢ piece could take some pressure off the lowly penny. The UK has 1p and 2p coins; when I visited a few years ago I never got more than one penny in change. The rest was given as one or two 2p pieces.
April 4th, 2008 at 3:38 am
Canada might start eliminating pennies before cost more to make them. Australia and New Zealand has eliminated pennies as well as Switzerland and Denmark recently decided to eliminate 25 Ore Coin from circulation. So good idea to get rid of coins from circulation that is no longer used for vending machine or buy thing with! Such as U.S. Pennies and Russian Kopeks has no longer used for vending machine.
October 24th, 2008 at 2:23 pm
The penny is costing Canadian tax payers over a hundreds million dollars every year to keep it in circulation. Please sign the petition at http://www.nomorepennies.ca/ to support Pat Martins bill.
January 2nd, 2009 at 9:51 pm
The countries cited do not have local sales taxes. While I agree that the penny has technically outlived its usefulness, no one has been able to come up with a good way to handle taxes that already cause price distortions when different communities charge different percentages. For example, if an item costs 50 cents and there’s a 6% tax, its price will go up to 53¢ which in turn will be rounded to 55¢. Who gets the extra 2 cents? Yes, I know that supposedly it will all even out with items whose prices would round down, but having lived through the repricing frenzy of the 1970s I would expect to see downward rounding about the time someone demonstrates porcine avionics (i.e. when pigs fly).
Perhaps a revived 2¢ piece could take some pressure off the lowly penny. The UK has 1p and 2p coins; when I visited a few years ago I never got more than one penny in change. The rest was given as one or two 2p pieces.