Bill C-4 (Historical)

Economic Action Plan 2013 Act No. 2

A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures

Part 1 implements certain income tax measures proposed in the March 21, 2013 budget. Most notably, it
(a) increases the lifetime capital gains exemption to $800,000 and indexes the new limit to inflation;
(b) streamlines the process for pension plan administrators to refund a contribution made to a Registered Pension Plan as a result of a reasonable error;
(c) extends the reassessment period for reportable tax avoidance transactions and tax shelters when information returns are not filed properly and on time;
(d) phases out the federal Labour-Sponsored Venture Capital Corporations tax credit;
(e) ensures that derivative transactions cannot be used to convert fully taxable ordinary income into capital gains taxed at a lower rate;
(f) ensures that the tax consequences of disposing of a property cannot be avoided by entering into transactions that are economically equivalent to a disposition of the property;
(g) ensures that the tax attributes of trusts cannot be inappropriately transferred among arm’s length persons;
(h) responds to the Sommerer decision to restore the intended tax treatment with respect to non-resident trusts;
(i) expands eligibility for the accelerated capital cost allowance for clean energy generation equipment to include a broader range of biogas production equipment and equipment used to treat gases from waste;
(j) imposes a penalty in instances where information on tax preparers and billing arrangements is missing, incomplete or inaccurate on Scientific Research and Experimental Development tax incentive program claim forms;
(k) phases out the accelerated capital cost allowance for capital assets used in new mines and certain mine expansions, and reduces the deduction rate for pre-production mine development expenses;
(l) adjusts the five-year phase-out of the additional deduction for credit unions;
(m) eliminates unintended tax benefits in respect of two types of leveraged life insurance arrangements;
(n) clarifies the restricted farm loss rules and increases the restricted farm loss deduction limit;
(o) enhances corporate anti-loss trading rules to address planning that avoids those rules;
(p) extends, in certain circumstances, the reassessment period for taxpayers who have failed to correctly report income from a specified foreign property on their annual income tax return;
(q) extends the application of Canada’s thin capitalization rules to Canadian resident trusts and non-resident entities; and
(r) introduces new administrative monetary penalties and criminal offences to deter the use, possession, sale and development of electronic suppression of sales software that is designed to falsify records for the purpose of tax evasion.
Part 1 also implements other selected income tax measures. Most notably, it
(a) implements measures announced on July 25, 2012, including measures that
(i) relate to the taxation of specified investment flow-through entities, real estate investment trusts and publicly-traded corporations, and
(ii) respond to the Lewin decision;
(b) implements measures announced on December 21, 2012, including measures that relate to
(i) the computation of adjusted taxable income for the purposes of the alternative minimum tax,
(ii) the prohibited investment and advantage rules for registered plans, and
(iii) the corporate reorganization rules; and
(c) clarifies that information may be provided to the Department of Employment and Social Development for a program for temporary foreign workers.
Part 2 implements certain goods and services tax and harmonized sales tax (GST/HST) measures proposed in the March 21, 2013 budget by
(a) introducing new administrative monetary penalties and criminal offences to deter the use, possession, sale and development of electronic suppression of sales software that is designed to falsify records for the purpose of tax evasion; and
(b) clarifying that the GST/HST provision, exempting supplies by a public sector body (PSB) of a property or a service if all or substantially all of the supplies of the property or service by the PSB are made for free, does not apply to supplies of paid parking.
Part 3 enacts and amends several Acts in order to implement various measures.
Division 1 of Part 3 amends the Employment Insurance Act to extend and expand a temporary measure to refund a portion of employer premiums for small businesses. It also amends that Act to modify the Employment Insurance premium rate-setting mechanism, including setting the 2015 and 2016 rates and requiring that the rate be set on a seven-year break-even basis by the Canada Employment Insurance Commission beginning with the 2017 rate. The Division repeals the Canada Employment Insurance Financing Board Act and related provisions of other Acts. Lastly, it makes technical amendments to the Employment Insurance (Fishing) Regulations.
Division 2 of Part 3 amends the Trust and Loan Companies Act, the Bank Act and the Insurance Companies Act to remove the prohibition against federal and provincial Crown agents and federal and provincial government employees being directors of a federally regulated financial institution. It also amends the Office of the Superintendent of Financial Institutions Act and the Financial Consumer Agency of Canada Act to remove the obligation of certain persons to give the Minister of Finance notice of their intent to borrow money from a federally regulated financial institution or from a corporation that has deposit insurance under the Canada Deposit Insurance Corporation Act.
Division 3 of Part 3 amends the Trust and Loan Companies Act, the Bank Act, the Insurance Companies Act and the Cooperative Credit Associations Act to clarify the rules for certain indirect acquisitions of foreign financial institutions.
Division 4 of Part 3 amends the Criminal Code to update the definition “passport” in subsection 57(5) and also amends the Department of Foreign Affairs, Trade and Development Act to update the reference to the Minister in paragraph 11(1)(a).
Division 5 of Part 3 amends the Canada Labour Code to amend the definition of “danger” in subsection 122(1), to modify the refusal to work process, to remove all references to health and safety officers and to confer on the Minister of Labour their powers, duties and functions. It also makes consequential amendments to the National Energy Board Act, the Hazardous Materials Information Review Act and the Non-smokers’ Health Act.
Division 6 of Part 3 amends the Department of Human Resources and Skills Development Act to change the name of the Department to the Department of Employment and Social Development and to reflect that name change in the title of that Act and of its responsible Minister. In addition, the Division amends Part 6 of that Act to extend that Minister’s powers with respect to certain Acts, programs and activities and to allow the Minister of Labour to administer or enforce electronically the Canada Labour Code. The Division also adds the title of a Minister to the Salaries Act. Finally, it makes consequential amendments to several other Acts to reflect the name change.
Division 7 of Part 3 authorizes Her Majesty in right of Canada to hold, dispose of or otherwise deal with the Dominion Coal Blocks in any manner.
Division 8 of Part 3 authorizes the amalgamation of four Crown corporations that own or operate international bridges and gives the resulting amalgamated corporation certain powers. It also makes consequential amendments and repeals certain Acts.
Division 9 of Part 3 amends the Financial Administration Act to provide that agent corporations designated by the Minister of Finance may, subject to any terms and conditions of the designation, pledge any securities or cash that they hold, or give deposits, as security for the payment or performance of obligations arising out of derivatives that they enter into or guarantee for the management of financial risks.
Division 10 of Part 3 amends the National Research Council Act to reduce the number of members of the National Research Council of Canada and to create the position of Chairperson of the Council.
Division 11 of Part 3 amends the Veterans Review and Appeal Board Act to reduce the permanent number of members of the Veterans Review and Appeal Board.
Division 12 of Part 3 amends the Canada Pension Plan Investment Board Act to allow for the appointment of up to three directors who are not residents of Canada.
Division 13 of Part 3 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to extend to the whole Act the protection for communications that are subject to solicitor-client privilege and to provide that information disclosed by the Financial Transactions and Reports Analysis Centre of Canada under subsection 65(1) of that Act may be used by a law enforcement agency referred to in that subsection only as evidence of a contravention of Part 1 of that Act.
Division 14 of Part 3 enacts the Mackenzie Gas Project Impacts Fund Act, which establishes the Mackenzie Gas Project Impacts Fund. The Division also repeals the Mackenzie Gas Project Impacts Act.
Division 15 of Part 3 amends the Conflict of Interest Act to allow the Governor in Council to designate a person or class of persons as public office holders and to designate a person who is a public office holder or a class of persons who are public office holders as reporting public office holders, for the purposes of that Act.
Division 16 of Part 3 amends the Immigration and Refugee Protection Act to establish a new regime that provides that a foreign national who wishes to apply for permanent residence as a member of a certain economic class may do so only if they have submitted an expression of interest to the Minister and have subsequently been issued an invitation to apply.
Division 17 of Part 3 modernizes the collective bargaining and recourse systems provided by the Public Service Labour Relations Act regime. It amends the dispute resolution process for collective bargaining by removing the choice of dispute resolution method and substituting conciliation, which involves the possibility of the use of a strike as the method by which the parties may resolve impasses. In those cases where 80% or more of the positions in a bargaining unit are considered necessary for providing an essential service, the dispute resolution mechanism is to be arbitration. The collective bargaining process is further streamlined through amendments to the provision dealing with essential services. The employer has the exclusive right to determine that a service is essential and the numbers of positions that will be required to provide that service. Bargaining agents are to be consulted as part of the essential services process. The collective bargaining process is also amended by extending the timeframe within which a notice to bargain collectively may be given before the expiry of a collective agreement or arbitral award.
In addition, the Division amends the factors that arbitration boards and public interest commissions must take into account when making awards or reports, respectively. It also amends the processes for the making of those awards and reports and removes the compensation analysis and research function from the mandate of the Public Service Labour Relations Board.
The Division streamlines the recourse process set out for grievances and complaints in Part 2 of the Public Service Labour Relations Act and for staffing complaints under the Public Service Employment Act.
The Division also establishes a single forum for employees to challenge decisions relating to discrimination in the public service. Grievances and complaints are to be heard by the Public Service Labour Relations Board under the grievance process set out in the Public Service Labour Relations Act. The process for the review of those grievances or complaints is to be the same as the one that currently exists under the Canadian Human Rights Act. However, grievances and complaints related specifically to staffing complaints are to be heard by the Public Service Staffing Tribunal. Grievances relating to discrimination are required to be submitted within one year or any longer period that the Public Service Labour Relations Board considers appropriate, to reflect what currently exists under the Canadian Human Rights Act.
Furthermore, the Division amends the grievance recourse process in several ways. With the sole exception of grievances relating to issues of discrimination, employees included in a bargaining unit may only present or refer an individual grievance to adjudication if they have the approval of and are represented by their bargaining agent. Also, the process as it relates to policy grievances is streamlined, including by defining more clearly an adjudicator’s remedial power when dealing with a policy grievance.
In addition, the Division provides for a clearer apportionment of the expenses of adjudication relating to the interpretation of a collective agreement. They are to be borne in equal parts by the employer and the bargaining agent. If a grievance relates to a deputy head’s direct authority, such as with respect to discipline, termination of employment or demotion, the expenses are to be borne in equal parts by the deputy head and the bargaining agent. The expenses of adjudication for employees who are not represented by a bargaining agent are to be borne by the Public Service Labour Relations Board.
Finally, the Division amends the recourse process for staffing complaints under the Public Service Employment Act by ensuring that the right to complain is triggered only in situations when more than one employee participates in an exercise to select employees that are to be laid off. And, candidates who are found not to meet the qualifications set by a deputy head may only complain with respect to their own assessment.
Division 18 of Part 3 establishes the Public Service Labour Relations and Employment Board to replace the Public Service Labour Relations Board and the Public Service Staffing Tribunal. The new Board will deal with matters that were previously dealt with by those former Boards under the Public Service Labour Relations Act and the Public Service Employment Act, respectively, which will permit proceedings under those Acts to be consolidated.
Division 19 of Part 3 adds declaratory provisions to the Supreme Court Act, respecting the criteria for appointing judges to the Supreme Court of Canada.

Economic Action Plan 2013 Act No. 2

[Mauril Bélanger, Liberal, Ottawa—Vanier, ON]

Mr. Speaker, it is a sad reality my colleague just described. Indeed, I have witnessed that way too often in Ottawa, and not just in the riding of Ottawa—Vanier, which I have the privilege of representing. Throughout the nation's capital, there is now a mood of fright. It is essentially a management tool, it seems, which the government uses quite extensively.

I could mention how the Conservatives proceeded in the reduction of the federal public service in the last couple of years. They were looking at reducing it by 20,000, but 100,000 people got letters essentially telling them that they could be at risk. That is a method of dealing with people that is not very sound, because it creates not only bad morale but a great deal of anxiety, and it affects the productivity of these people.

I would urge the government to perhaps change its attitude vis-à-vis the federal public service. We have a very good public service, and it deserves some respect and some management that will indeed deal with them fairly.

[Costas Menegakis, Conservative, Parliamentary Secretary to the Minister of Citizenship and Immigration]

Mr. Speaker, I am pleased to rise today on behalf of my hard-working Richmond Hill constituents to speak on the second economic action plan 2013 implementation bill, or Bill C-4, as we all know it.

Before I begin my comments, I would like to reflect on some of the positive results we have already achieved with our economic action plan. Many of these successes are included in my recent Richmond Hill report, which will soon be circulating throughout my riding. It notes that over one million more Canadians are employed today than at the through of the recession in 2009. It points out that Canada has the best job creation record and the lowest debt level of all G7 industrialized countries. It notes that Standard and Poor's has again confirmed our AAA rating while highlighting our stable and credible policy-making and highly resilient economy as factors behind this achievement.

The report also informs Richmond Hill residents that, as confirmed in the government's annual financial report, our country is on track to return to balanced budgets. By eliminating wasteful spending and ineffective government programs, we have enabled the deficit to fall by $7.4 billion from the year before. We remain on target to balance the budget in 2015, and a surplus of $3.7 billion is expected in the year 2015-16.

Best of all, we have done this without raising taxes or cutting transfer payments to our provinces and territories. In fact, we have done the complete opposite. We have nearly doubled transfers and have cut taxes over 160 times.

These actions have led to a federal tax burden on the average family that is $3,220 less than when our Conservative government took office. It also means that government revenue as a percentage of gross domestic product is at its lowest level in over 50 years. It is a record that is once again the best by far among G7 countries. My constituents are pleased that our efficient and effective government is putting money back into their pockets, exactly where it belongs.

I mention these things, because this track record of success becomes the backdrop to our actions going forward. Our plan is clearly working, and the implementation measures contained in Bill C-4 would build on these achievements.

For example, Bill C-4 corrects many of the tax avoidance activities that have crept into our system. It proposes measures to reduce international tax evasion, aggressive tax avoidance and tax planning, and tax loopholes and to clarify the tax rules. It proposes stiff new monetary penalties and criminal offences for persons who evade taxes by using electronic suppression of sales, or ESS, software to falsify sales records. It also provides penalties for persons found to manufacture, develop, sell, process for sale, or offer for sale ESS software.

Tax evasion and avoidance entails a real fiscal cost to governments and taxpayers. It is unfair to businesses and unfair to individuals who play by the rules. Our government will not tolerate tax cheats. Canadians want integrity in the tax system, and the proposals in Bill C-4 would deter this type of activity.

I am also pleased to highlight some of the additional job-creating measures in Bill C-4 that the good people in my riding of Richmond Hill, such as the Richmond Hill Chamber of Commerce, are very pleased about. For example, the Employment Insurance Act would be amended to allow the employment insurance premium rate to be frozen at 2013 levels for the years 2014, 2015, and 2016. This one measure would save Canadian businesses over $660 million in 2014 alone.

Going forward, it would ensure that EI premiums were no higher than they needed to be to pay for the EI program. Rates would be set according to a seven-year break-even rate-setting mechanism. This would ensure that EI premiums were set no higher than necessary over that seven-year period.

By enacting these changes, we are promoting stability and predictability for employers and employees.

We believe that small businesses are the engine of job creation in Canada. In budget 2011, to help stabilize that sector and recognize the challenges they face, we instituted a temporary hiring credit for small businesses of up to $1,000 per employer. The credit provided needed relief for small businesses by helping to defray the costs of hiring new workers. It was so successful in contributing toward job creation and retention that it was extended in 2012 and today I am pleased to say, as we all know, that budget 2013 will once again extend and expand the hiring credit for small businesses to 2014.

Bill C-4 proposes the technical requirements to make this into law. It would also enhance the credit by increasing the overall threshold from $10,000 to $15,000. An employer whose premiums were $15,000 or less in 2012 will be refunded the increase in their 2013 premiums over those paid in 2012, to a maximum of $1,000. This job-creating measure would save an estimated 560,000 small businesses in our country $225 million in 2013, which, in turn, can be reinvested in their firms.

Bill C-4 also proposes measures to eliminate the inefficient and ineffective tax subsidy in labour-sponsored venture capital corporations. Experts such as the OECD have told us that these vehicles have distorted the market for venture capital, lowered the average quality of deals and limited the supply of equity to non-traditional industries and newer companies. We heard that advice and we acted. Labour-sponsored venture capital corporations will be phased out and replaced with a new venture capital program that will do more to create jobs and economic growth in Canada. The phase-out leaves the credit at 15% when claimed for a taxation year ending before 2015, reduces it to 10% for the year 2015, to 5% in 2016, and fully eliminates it in 2017.

To further encourage businesses to invest in clean energy generation and in energy-efficient equipment, Bill C-4 proposes to expand the classification of clean energy generation equipment eligible for the accelerated capital cost allowance rate of 50%. I know many businesses in my riding will benefit from this expanded classification and this, combined with all the job-creating measures in economic action plan 2013, will help create jobs and economic growth in the great town of Richmond Hill.

As I mentioned earlier, Canada has experienced solid job creation since the implementation of our economic action plan. Today, in addition to having the lowest unemployment rate since 2008, the Canadian labour market is also experiencing a high labour-force participation rate. This means that a high proportion of the population aged 15 years and over in Canada are either working or actively seeking work. This is an indication that the unemployed are seeking work and finding it. In contrast, the United States' participation rate has declined sharply and now stands at its lowest level in more than 35 years.

In Canada, this has caused some imbalances between unemployment and job vacancies. Some Canadian firms are experiencing difficulty in hiring, including the skilled trades in sectors such as mining, oil and gas extraction, and construction. Employers are also having difficulty hiring highly skilled professionals in science-based occupations, such as engineers and architects. On the other hand, some Canadians are unemployed because they do not have the right skills for available jobs in expanding sectors and regions.

Budget 2013 takes several steps to solve this dilemma. It announced that the government will transform skills training in Canada through the introduction of the Canada job grant as part of the renewal of the labour market agreements in 2014-15. Another key step is found in Bill C-4, which through changes to the Immigration and Refugee Protection Act, would allow for the creation of a new and innovative expression of interest, or EOI, immigration management system.

I would like to conclude by saying that I could elaborate at length on the many benefits to Canadians contained in Bill C-4. I urge my colleagues on both sides of the House to support the swift passage of Bill C-4 so that Canadians may begin to reap the many benefits that it contains.

[Charlie Angus, NDP, Timmins—James Bay, ON]

Mr. Speaker, there are a number of elements that I find are missing from the bill in terms of dealing with economic development.

In my region, a large mining sector, we are having a very difficult time bringing miners in. One of the reasons for that, if we ask all of the northern mayors, is the issue of housing. People are not building housing stock. There is no available housing. It is just not worth people moving. They will not move if they have to spend $300,000 or $400,000 for a house in a mining town. This is happening all across the north, but it is not only in the north. We see in the city of Toronto now that the price of affordable rent is pushing people who would previously have been middle class to share and double-up on apartments.

Under the Conservative government, we do not have any plan for a national housing strategy, yet, it is affecting development. It is affecting the development of the middle class and it is causing more and more people to have to put money into rent that they should be putting into investments, savings and education.

Has my hon. colleague looked at the issue in his area in terms of the price of affordable housing becoming so difficult to afford that it is actually affecting the bottom lines of many Canadian families?

[Costas Menegakis, Conservative, Richmond Hill, ON]

Mr. Speaker, I would point the hon. member to the many initiatives that the Minister of State for Social Development and the Minister of Employment and Social Development have announced over recent months with respect to affordable housing. Some of those investments and announcements were announced in my riding of Richmond Hill.

Let me say this. It is not just us, the Conservatives, who are saying that Canada is on the right track. If we look at the International Monetary Fund and the Organisation for Economic Co-operation and Development, they are saying that Canada will continue to be a leader in job creation and a leader in the economy among the G7 countries moving forward in the ensuing years.

We all have to work together. Once again, I would urge the hon. member, his colleagues and all members of the House to support Bill C-4 so that we can get on and get the job done for Canadians.

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Mr. Speaker, because the member is the Parliamentary Secretary to the Minister of Citizenship and Immigration, I wanted to take this opportunity to highlight an issue that is really important to all members of the House, that is the typhoon that hit the Philippines.

There were a number of requests made. One in particular dealt strictly with immigration and ensuring that we could assist those individuals who were in that disaster area and who were profoundly affected by the disaster by speeding up processing times for immigration. The other request that we put forward dealt with individuals from the affected area who are here under some form of a temporary work visa, visitor visa or study visa and assisting them by getting extensions put into place so that they would not have to travel back to that area.

I realize that this is a little bit off topic, but I wonder if the member could provide comment or an update on that.

[Costas Menegakis, Conservative, Richmond Hill, ON]

Mr. Speaker, first of all, let me just reiterate that our thoughts and prayers are with the families affected by this horrible tragedy, I will just call it that, which Typhoon Haiyan imposed on the people of the Philippines.

The member will be pleased to know that recently in the citizenship and immigration committee, of which he was a contributing and valuable member, we listened to testimony from the immigration program manager in Manila, who spoke to us about the additional staffing, hours and resources that were put in place in the Manila office to deal with the families in the region that was directly affected by the typhoon.

As the Minister of Citizenship and Immigration has clearly stated, we are prioritizing those requests on a case-by-case basis.

[Mark Adler, Conservative, York Centre, ON]

Mr. Speaker, I am pleased to rise today to speak to Bill C-4, a second budget implementation act.

Unfortunately, I only have 10 minutes to talk about the wonderful things that are contained within Bill C-4 and about all of the wonderful things we have done as a government to not only make our economy one of the strongest performing economies in the world, certainly, within the G7, creating over one million net new jobs since the depths of the recession, but also about some issues that are more close to home, rather than the big macro issues, and some of those are in the riding of York Centre.

I am privileged and honoured to represent the wonderful people of the riding of York Centre. Many of the people who reside in York Centre are new to Canada. They come from every country around the world. We have the largest number, for example, of Russian-speaking people of any riding in the country; the third-largest number of Filipinos; and the fastest-growing Latino population. These people are coming to Canada for hope and opportunity. They are coming for the opportunity that our government has created for them.

We have created economic conditions that people can take advantage of. They can create businesses. They can be employed in jobs.

My father came from Europe after the war. He was the only survivor from his family. When I was growing up, I remember peeking out the curtains, waiting for my dad to come home every night and watching him haul himself out of the car and just really dragging his knuckles across the driveway. I really wanted to play with him. I wanted him to help me with my homework. I remember how dead tired he was. He, nevertheless, took the time to help me with my homework, to engage with me, to read to me.

I do a lot of community outreach, as I am sure many of the members do in this chamber. When I go around my riding of York Centre to canvass door to door and go to community events, I see so many people who are new to this country of Canada and who are new to the riding of York Centre. They are trying to be the best Canadians they possibly can because they have come to this country for a variety of reasons, certainly to seek opportunity but also to escape persecution and racism. They are coming here not so much for themselves but more for their kids. When I see them with their kids and with their families so engaged, I remember when I was growing up, feeling exactly the same way. I know how these new immigrants to York Centre are feeling because I see a lot of me in them.

It is wonderful to know that we have a government that is coming to the aid and having the backs of Canadians so that we have fostered an economy whereby we have job creation and we have an environment where small businesses can flourish.

Just to get down to some specifics, Canada is recognized by a number of international organizations, from the OECD to the IMF, as having the strongest economic fundamentals in place. We have these fundamentals in place because we have a plan.

When I am back in the riding, I go to a lot of schools, junior highs and high schools. I ask the kids what their plans are for the future. Everyone has a plan of some sort. Either they are going to go into public service, go into business, seek a job in IT, and so on, but everyone has a plan.

Our plan, since 2006, has been based on job creation and balancing the budgets in a way that would not require us to raise taxes. In fact, we are lowering taxes. What we have done, for example, for the average Canadian family of four, is lowered taxes by $3,200, on average. That is a lot of money for people.

For businesses, we have extended the hiring tax credit. This is going to help 565,000 small businesses in the country, so they can go out and hire more people. This will save businesses hundreds of millions of dollars so they can invest more in their business rather than giving it to the government. Now they can create jobs for people who need them. We know that we have a shortage of skilled labour in this country. People are out, seeking jobs.

Is our job complete? We created over a million net new jobs since the depth of the recession, but is our job complete? No, and it will not be complete until every Canadian who wants a job is able to have a job. That is when we know our job will be complete.

Back in 2006, we inherited an economy that was doing well. Rather than continue to spend and raise taxes, as previous governments had done, and balance our budget on the backs on the most vulnerable Canadians, as the Liberals did in the mid-nineties by cutting social transfers, by cutting the Canada health transfer, we paid down debt. We paid about $38 billion in debt, from 2006 to 2008.

As a result, we had some manoeuvrability, a cushion that we were able to use so we could inject more money into the economy when the recession hit in 2008.

We invested millions of dollars into the economy. These projects that we invested in were shovel-ready. This must be a record for government, getting that money out the door as quickly as possible and getting the projects under way. I think every project that started as a result of the economic stimulus package in 2008, 2009, and 2010 is complete. I would think that is some kind of record in Canadian history.

Our job is not finished, and our government remains focused on what matters most to Canadians. What matters most to Canadians is jobs, growth, and long-term prosperity. It is not increasing taxes. It is not engaging in wild, hare-brained spending schemes, as the NDP is proposing, or legalizing marijuana, as the Liberals are proposing. We have a thorough economic plan, and it has been in place since 2006.

Our low-tax agenda has served us well. Canadians are happy to know that they are paying less tax today. Lowering the GST, for example, was a commitment we made in the election campaign; we have lowered it from 7% to 6% to 5%. That puts more money back in the pockets of Canadians where it belongs. Canadians take that money and spend it, and when they spend it, it creates jobs and economic activity. That is a good thing.

We are not proposing a $21-billion carbon tax that would increase the cost of everything, as the NDP is. We are heading into the Christmas season now, and we would be paying more for toys for our kids if we had a $21-billion carbon tax. That is not acceptable. It is unacceptable to Canadians and unacceptable to us in the government.

Another thing our government has been focused on is a very aggressive trade agenda. Since we took government in 2006, we have negotiated six additional free trade agreements. So far we have 16 trade agreements and foreign investment promotion agreements. This is a record.

We have just concluded agreement on CETA, the comprehensive economic and trade agreement with the European Union. This will create thousands of new jobs. It will create employment and economic activity. It will create all kinds of activity for Canadians to find more jobs. It will open up markets in Europe. Half a billion people in Europe will now be able to access the Canadian market, and Canadian manufacturers and sellers will be able to sell their products within the European Union. This is really a good thing.

We hear from the opposition members how anti-trade they are. This is unacceptable, because trade means jobs. We know that and Canadians know that. Canadians sent us here to get a job done. They gave us a majority in 2011 based on an economic platform we put forward to them. They approved of it. They sent us here to get the job done.

As a result of our economic action plan, we have the strongest economic fundamentals of any country around the world. Our debt to GDP ratio, for example, is 35%. We have committed to getting that down to 25% by 2021, as we stated in Los Cabos at the G20.

When I go back to my riding, I see new immigrants who are working extremely hard. Many who have been in Canada for a few years are now starting their own businesses. I see that in a variety of communities, particularly in the Russian and Filipino communities. They are starting their own small businesses and they are starting to hire people. This is a wonderful thing to see. This is why they came to Canada: so they can send their kids to school and to university. It is so they can become professionals, doctors, lawyers, and members of Parliament, or perhaps one day even a prime minister of Russian-speaking descent, or of Filipino descent, or of Latino descent. That would be wonderful to see.

In conclusion, our economy policy is envied around the world. Our economic performance is a model, thanks to our wonderful Minister of Finance, who has been recognized as the world's best finance minister.

Let me conclude by saying that I hope everybody in the House will support Bill C-4 to keep our economy number one in the world.

[Raymond Côté, NDP, Beauport—Limoilou, QC]

Mr. Speaker, I thank my hon. colleague from York Centre, who serves with me on the Standing Committee on Finance.

I would find this very funny, if it were not such a serious topic. One of the many things he boasted about was tax cuts worth a few thousand dollars for the average family of four. However, he is completely out of touch with reality. He is not taking into account the growing gap between average incomes and median incomes. Millions of Canadian families are unable to benefit from those much-touted tax cuts. In our study on inequality, witnesses, including the chief economist of the Toronto-Dominion Bank, demonstrated that the very rich are getting richer, and fast. Some of those much-touted tax cuts have gone to people who definitely do not need lower tax rates. I would remind the House that 0.01% of the wealthiest people have increased their incomes by more than 160%.

I wonder if my colleague could tell me why he supports tax cuts for the rich and why he wants to put more money in their pockets.

[Mark Adler, Conservative, York Centre, ON]

Mr. Speaker, I sit with my hon. friend on the finance committee, where he does some very hard work. I thank him for that.

The NDP seems to let the facts get in the way of a good argument. We have lowered the corporate tax rate down to 15% in this country. What we have seen is an increase in corporate tax revenues as a result. What do corporations do when they have more money? They invest and create more jobs. That is a wonderful thing to see. That is why we have had over a million net new jobs created in this country since the end of the recession.

The NDP is concerned about more spending and higher taxation. It wants to bring in a $21-billion carbon tax, which would raise the cost of everything, including kids' toys during the holiday season. It is unacceptable that Canadians would even consider the NDP as a legitimate option when all it wants to do is raise taxes and engage in wild spending.

[The Deputy Speaker, Joe Comartin]

Order, please. The member for Timmins—James Bay is rising on a point of order.

[Charlie Angus, NDP, Timmins—James Bay, ON]

Mr. Speaker, I rise on a point of order. I listened to my hon. colleague. He misrepresents the facts. He is misrepresenting things back to constituents. It is not right. He can say whatever he wants, but if he wants to make up facts, he should stand outside and do it outside.

[The Deputy Speaker, Joe Comartin]

Obviously that is not a point of order. Does the member for York Centre wish to continue with his response?

[Mark Adler, Conservative, York Centre, ON]

Mr. Speaker, I am fine. Thank you.

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Mr. Speaker, listening to the Conservatives stand up and speak, I am beginning to believe that the self-confidence of the Minister of Finance must be a little low. Time and time again members stand up to say that we have the best Minister of Finance in the world. That is debatable at best. I would suggest it is somewhat of an exaggeration of reality to make that sort of claim, and the facts of the matter clearly demonstrate that.

The member made reference in his speech to how wonderful free trade agreements are and that the government has moved forward on many different free trade agreements. We are very much aware of that. We have supported the free trade agreements, as the Liberal Party has in the past.

The concern I have—as would most Canadians, if not all—is the overall trade balance. When the Conservatives took government, there was a trade surplus of billions of dollars; they have turned it into billions of dollars of trade deficit.

Can the member explain why there is a deficit?

[Mark Adler, Conservative, York Centre, ON]

Mr. Speaker, our government has engaged aggressively in promoting trade and in negotiating a variety of free trade agreements and foreign investment promotion agreements with countries around the world.

Our government is interested in free trade that would create jobs in this country. It is not interested in the drug trade, as the Liberals are, to promote marijuana smoking. Our government is interested in free trade for jobs; their party is interested in smoking marijuana.