To the editor:
Counterpoint: HST letter writer Grant Baudais, (Govt’s Will Keep on Monkeying with Taxes, Capitol News May 25) appears to be suffering from Liberal fed-up-itis which is numbing his mind somewhat.
His depiction that “the province is relinquishing its taxing authority”, as well as “relying upon the federal government to collect,” and “the federal government has total control over provincial revenue” is overly dramatic.
I am sure that Mr. Baudais has had employment personal income tax deductions in his lifetime. Additionally, I assume he has remitted income tax once or twice in his life. Putting two and two together he must have realized that:
A) Federal tax collection agreements enable different governments to levy taxes through a single administration and collection agency;
B) The federal government collects personal income taxes on behalf of all provinces and territories except Quebec and collects corporate income taxes on behalf of all provinces and territories except Alberta and Quebec;
C) Canada Revenue Agency (CRA) administers the tax laws for the Government of Canada and for most Canadian provinces and territories as well; and
D) CRA also manages a variety of economic and social benefit programs which are distributed through the tax system such as CPP, EI and the Universal Child Care Benefit.
I disagree with Mr. Baudais’s premise that the federal government’s complete control over the tax rate “can (and will likely) increase it.” Canada’s Conservative government’s guiding principles include lower taxes and less intrusion into citizen’s lives while protecting those citizens from threats domestic and foreign.
How about the Revenue Neutral Carbon Tax? Some believe “by 2012/13, the government of B.C. will rely more heavily on carbon tax revenues, as a percentage of total government revenues, than any other nation/state that currently administers a carbon tax, including Sweden, Denmark, Norway, Finland and the Netherlands.” (http://ep.probeinternational.org/2011/02/18/aldyen-donnelly-british-columbias-carbon-tax-quagmire/)
Stand by for the next increase July 1, 2011. Talk about a tax grab!
The Liberal provincial government’s recent announcement of a HST reduction to 10 per cent by 2014, while raising the competitive provincial corporate tax rate is an excellent example of “Government will keep monkeying with taxes.” Of course, the kicker is to get the HST reduction voters will have to re-elect the Liberals.
Trustworthy Liberal provincial government? B.C. and Ontario are both currently afflicted. NDP provincial government? B.C. and Ontario were almost bankrupted by these governments.
Citizens cannot have it both ways. A quote attributed to Margaret Thatcher goes along the lines of: “The problem with socialism is that eventually you run out of other people’s money (to spend).”
Liberal government: Stop being creative with the truth. Reduce spending. Get rid of the operating deficit. Citizens: Reduce expectations of something for “nothing,” cause “nothing” is more taxes.