British Columbia will finally re-adopt the provincial sales tax on Monday, nearly two years after the harmonized sales tax was defeated in a referendum.

The province initiated the HST in 2009, prompted by a $1.6 billion offer from Ottawa to adopt the harmonized federal-provincial tax system. The tax combines the 5 per cent federal goods and services tax with the PST.

The province had in the past turned down offers to introduce the value-added HST.

However, former premier Gordon Campbell’s government was running a huge budget deficit and saw it as a source of revenue.

There was an almost instant backlash against the HST, and more than 500,000 people signed a petition opposing it.

In August 2011, a referendum gave the HST the boot, but only now is the 7 per cent PST being reintroduced.

“Not only have we gotten rid of a nasty, unfair, cruel tax, but we’ve also shown the world, particularly our country, that direct democracy can work as it should,” said former premier Bill Vander Zalm, the spokesperson for the anti-HST movement.

The return of the PST means goods and services such as domestic air travel, golf memberships, gym memberships and restaurant food will cost 7 per cent less.

Ian Tostenson of the B.C. Restaurant and Foodservices Association estimates that translates to a savings of about $200 per family in the province.

Restaurants hope the savings will boost sales by up to 5 per cent this year.

However, the change could have a negative impact for some, according to Premier Christy Clark.

“Some folks aren’t celebrating the return of the PST,” Clark said. “The HST was good for our film industry, good for manufacturing, and for many other sectors of our economy.”

Come Monday, most consumers will likely not feel the difference, B.C.'s Minister of Small Business Naomi Yamamoto said, although there are concerns that not all businesses have registered to collect PST.

The Finance Ministry endeavoured to contact all 100,000 businesses eligible to collect the tax, making 115,000 phone calls, writing to each business twice and conducting nearly 2,000 personal consultations.

However, 25,000 businesses still have not registered, according to Yamamoto.

"There's no provision, regrettably, in the legislation for leniency," Yamamoto said. "So businesses really are obligated if they are selling a product or service that attracts the tax, they have to collect it. But it's not the Ministry of Finance's intent to audit all of these businesses."

B.C. chamber of commerce president John Winter said he foresees “chaotic” scenes on April 1. "There's going to be a lot of cash register discussions,” he said.

The B.C. government has set up a complaints website for anyone with concerns about the tax change.

Under an agreement with Ottawa, the provincial government will pay back the $1.6 billion over the next five years with no interest.

With files from The Canadian Press