House of Commons Hansard #12 of the 39th Parliament, 2nd Session. (The original version is on Parliament's site.) The word of the day was first.

Topics

Income Trusts
Oral Questions

2:25 p.m.

Whitby—Oshawa
Ontario

Conservative

Jim Flaherty Minister of Finance

Mr. Speaker, yesterday, the Liberals brought to Parliament Hill an American couple who wanted to complain about Canadian tax policies. That is what they want to defend.

More than half the energy trusts were owned by Americans. Do members know what they were paying? They were only paying a 15%--

Income Trusts
Oral Questions

2:25 p.m.

Liberal

Paul Szabo Mississauga South, ON

It is called chapter 11, Jim. It is all right.

Income Trusts
Oral Questions

2:25 p.m.

Liberal

Ralph Goodale Wascana, SK

What about Genevieve from Winnipeg? Tell us about Canadians.

Income Trusts
Oral Questions

2:25 p.m.

Conservative

Jim Flaherty Whitby—Oshawa, ON

Relax, Ralph? You are going to get a hernia.

Income Trusts
Oral Questions

2:25 p.m.

Some hon. members

Oh, oh.

Income Trusts
Oral Questions

2:25 p.m.

Liberal

The Speaker Peter Milliken

Order, please. I urge all hon. members to exercise more judicious control. We cannot hear the answers or even the comments that are being made there are so many at one time. The hon. Minister of Finance has the floor. We will have some order, please.

Income Trusts
Oral Questions

2:25 p.m.

Conservative

Jim Flaherty Whitby—Oshawa, ON

Mr. Speaker, the point is that we on this side of the House are levelling the playing field for all Canadian taxpayers, not defending special treatment of a 15% tax rate for American investors.

Income Trusts
Oral Questions

2:25 p.m.

Liberal

Michael Ignatieff Etobicoke—Lakeshore, ON

Mr. Speaker, what is the level playing field here: 31.5% for income trusts and 15% for other corporations? There is no level playing field at all.

Today the government still has not offered anything to Canadians who were punished by this government's incompetence regarding income trusts.

What is the government going to say to Canadians who lost their retirement savings? Tough luck?

Income Trusts
Oral Questions

2:25 p.m.

Whitby—Oshawa
Ontario

Conservative

Jim Flaherty Minister of Finance

Mr. Speaker, the taxation of income trusts does not begin for several years. That is to give it time to adjust. At that time, it will be a level playing field. Regardless of the way Canadians choose to organize a corporate structure, the rate of tax will be the same.

That is what a level playing field is and, in fact, the level will be way down. Because of the announcement yesterday in the economic statement, we are reducing taxes for all Canadian businesses dramatically. It is a new era in Canadian taxation.

Economic Statement
Oral Questions

October 31st, 2007 / 2:30 p.m.

Bloc

Gilles Duceppe Laurier—Sainte-Marie, QC

Mr. Speaker, on page 30 of the economic statement, a chart on the manufacturing industry speaks for itself. All the manufacturing sectors have had negative GDP growth since 2005 except one, and, surprise, it is the oil sector.

Can the Prime Minister confirm that the manufacturing industry has been going through a major crisis, if not a recession, since 2005?

Economic Statement
Oral Questions

2:30 p.m.

Calgary Southwest
Alberta

Conservative

Stephen Harper Prime Minister

Mr. Speaker, this sector is clearly in crisis. That is why we addressed this problem in the throne speech, which the Bloc Québécois voted against. The fact is that this government made a commitment to lower taxes for all Canadians, and this government kept its word.

Economic Statement
Oral Questions

2:30 p.m.

Bloc

Gilles Duceppe Laurier—Sainte-Marie, QC

Mr. Speaker, we voted against the throne speech because although it states that there is a manufacturing crisis, the government is not doing anything about it.

The economic statement says that there has been a 3% decline and that 130,000 jobs have been lost, yet the government is doing nothing. It is lowering taxes. Most manufacturing companies are not turning a profit and therefore pay no tax. The fact is that the tax cuts are a big gift to the oil companies, which are making huge profits and will get huge deductions, not to the companies that are making no profit and are in crisis.

Economic Statement
Oral Questions

2:30 p.m.

Calgary Southwest
Alberta

Conservative

Stephen Harper Prime Minister

Mr. Speaker, this government is going to reduce taxes for all companies, for all individuals and for all families in Canada and Quebec. The real reason why the Bloc is voting against benefits for people is that the Bloc has never accomplished anything for any sector in Quebec. The Bloc will never do anything for any sector.

Economic Statement
Oral Questions

2:30 p.m.

Bloc

Paul Crête Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, QC

Mr. Speaker, the Bloc members have always served Quebeckers. That is why they have been re-elected five times in a row.

The Minister of Finance is hoping that lowering the GST will boost consumption. I should point out that people with low incomes who spend 70% of their resources on food and housing do not pay GST on those items.

Does the Prime Minister realize that reducing the GST will not help these people make ends meet, that his lack of compassion will have a major impact on them and that there are two classes of citizens in this budget?

Economic Statement
Oral Questions

2:30 p.m.

Whitby—Oshawa
Ontario

Conservative

Jim Flaherty Minister of Finance

Mr. Speaker, the tax reductions yesterday for individuals and families in Canada are very substantial. In fact, they are about $45 billion for this year and the next five years.

Not only that, but the income tax reductions for individuals and families are retroactive to January 1 of this year. As soon as we get into the new year and Canadians start receiving their T-4 slips, they can file their income tax returns and get the big rebate cheques.