The tax increased to 6.2 per cent from four per cent in the US may equal lower retail numbers in January.

"That’s probably something in the order of $125 billion out of wage earners' pockets," said Robert Gorman, chief portfolio strategist at TD Waterhouse.

"This is going to have an effect on consumer spending and in particular, consumer spending for the basics, the mass merchandisers, all sorts of things."

For example, someone earning $35,000 would take a $700 hit, while someone earning $50,000 would have $1,000 less after tax money, and so on.

Gorman said the consequences of those higher taxes will show up as early as this week as U.S. retailers start to issue preliminary results for January sales.