Bill C-15 (Historical)

Budget Implementation Act, 2016, No. 1.

An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2016 and other measures

Part 1 implements certain income tax measures proposed in the March 22, 2016 budget by
(a) eliminating the education tax credit;
(b) eliminating the textbook tax credit;
(c) exempting from taxable income amounts received as rate assistance under the Ontario Electricity Support Program;
(d) maintaining the small business tax rate at 10.‍5% for the 2016 and subsequent taxation years and making consequential adjustments to the dividend gross-up factor and dividend tax credit;
(e) increasing the maximum deduction available under the northern residents deduction;
(f) eliminating the children’s arts tax credit;
(g) eliminating the family tax cut credit;
(h) replacing the Canada child tax benefit and universal child care benefit with the new Canada child benefit;
(i) eliminating the child fitness tax credit;
(j) introducing the school supplies tax credit;
(k) extending, for one year, the mineral exploration tax credit for flow-through share investors;
(l) restoring the labour-sponsored venture capital corporations tax credit for purchases of shares of provincially registered labour-sponsored venture capital corporations for the 2016 and subsequent taxation years; and
(m) introducing changes consequential to the introduction of the new 33% individual tax rate.
Part 1 implements other income tax measures confirmed in the March 22, 2016 budget by
(a) amending the anti-avoidance rules in the Income Tax Act that prevent the conversion of capital gains into tax-deductible intercorporate dividends;
(b) qualifying certain costs associated with undertaking environmental studies and community consultations as Canadian exploration expenses;
(c) ensuring that profits from the insurance of Canadian risks remain taxable in Canada;
(d) ensuring that the dividend rental arrangement rules under the Income Tax Act apply where there is a synthetic equity arrangement;
(e) providing specific tax rules in respect of the commercialization of the Canadian Wheat Board, including a tax deferral for eligible farmers;
(f) permitting registered charities and registered Canadian amateur athletic associations to hold limited partnership interests;
(g) providing an exemption to the withholding tax requirements for payments by qualifying non-resident employers to qualifying non-resident employees;
(h) limiting the circumstances in which the repeated failure to report income penalty will apply;
(i) permitting the sharing of taxpayer information within the Canada Revenue Agency to facilitate the collection of certain non-tax debts; and
(j) permitting the sharing of taxpayer information with the Office of the Chief Actuary.
Part 2 implements certain goods and services tax/harmonized sales tax (GST/HST) measures proposed in the March 22, 2016 budget by
(a) adding insulin pens, insulin pen needles and intermittent urinary catheters to the list of GST/HST zero-rated medical and assistive devices;
(b) clarifying that GST/HST generally applies to supplies of purely cosmetic procedures provided by all suppliers, including registered charities;
(c) relieving tax to ensure that when a charity makes a taxable supply of property or services in exchange for a donation and an income tax receipt may be issued for a portion of the donation, only the value of the property or services supplied is subject to GST/HST;
(d) ensuring that interest earned in respect of certain deposits is not included in determining whether a person is considered to be a financial institution for GST/HST purposes; and
(e) clarifying the treatment of imported reinsurance services under the GST/HST imported supply rules for financial institutions.
Part 2 also implements other GST/HST measures confirmed in the March 22, 2016 budget by
(a) adding feminine hygiene products to the list of GST/HST zero-rated products; and
(b) permitting the sharing of taxpayer information in respect of non-tax debts within the Canada Revenue Agency under certain federal and provincial government programs and in respect of certain programs where information sharing is currently permitted under the Income Tax Act.
Part 3 implements certain excise measures proposed in the March 22, 2016 budget by
(a) ensuring that excise tax relief for diesel fuel used as heating oil or to generate electricity is targeted to specific instances; and
(b) enhancing certain security and collection provisions in the Excise Act, 2001.
Part 3 also implements other excise measures confirmed in the March 22, 2016 budget by permitting the sharing of taxpayer information in respect of non-tax debts within the Canada Revenue Agency under certain federal and provincial government programs and in respect of certain programs where information sharing is currently permitted under the Income Tax Act.
Division 1 of Part 4 repeals the Federal Balanced Budget Act.
Division 2 of Part 4 amends the Canadian Forces Members and Veterans Re-establishment and Compensation Act to, among other things,
(a) replace “permanent impairment allowance” with “career impact allowance”;
(b) replace “totally and permanently incapacitated” with “diminished earning capacity”;
(c) increase the percentage in the formula used to calculate the earnings loss benefit;
(d) specify when a disability award becomes payable and clarify the formula used to calculate the amount of a disability award;
(e) increase the amounts of a disability award; and
(f) increase the amount of a death benefit.
In addition, it contains transitional provisions that provide, among other things, that the Minister of Veterans Affairs must pay, to a person who received a disability award or a death benefit under that Act before April 1, 2017, an amount that represents the increase in the amount of the disability award or the death benefit, as the case may be. It also makes consequential amendments to the Children of Deceased Veterans Education Assistance Act, the Pension Act and the Income Tax Act.
Division 3 of Part 4 amends the sunset provisions of certain Acts governing federal financial institutions to extend by two years, namely, from March 29, 2017 to March 29, 2019, the period during which those institutions may carry on business.
Division 4 of Part 4 amends the Bank Act to facilitate the continuance of local cooperative credit societies as federal credit unions by granting the Minister of Finance the authority to provide transitional procedural exemptions, as well as a loan guarantee.
Division 5 of Part 4 amends the Canada Deposit Insurance Corporation Act to, among other things, broaden the Corporation’s powers to temporarily control or own a domestic systemically important bank and to convert certain shares and liabilities of such a bank into common shares.
It also amends the Bank Act to allow the designation of domestic systemically important banks by the Superintendent of Financial Institutions and to require such banks to maintain a minimum capacity to absorb losses.
Lastly, it makes consequential amendments to the Financial Administration Act, the Winding-up and Restructuring Act and the Payment Clearing and Settlement Act.
Division 6 of Part 4 amends the Office of the Superintendent of Financial Institutions Act to change the membership of the committee established under that Act so that the Chairperson of the Canada Deposit Insurance Corporation is replaced by that Corporation’s Chief Executive Officer. It also amends several Acts to replace references to that Chairperson with references to that Chief Executive Officer.
Division 7 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to authorize an additional payment to be made to a territory, in order to take into account the amount of the territorial formula financing payment that would have been paid to that territory for the fiscal year beginning on April 1, 2016, if that amount had been determined using the recalculated amount determined to be the gross expenditure base for that fiscal year.
Division 8 of Part 4 amends the Financial Administration Act to restrict the circumstances in which the Governor in Council may authorize the borrowing of money without legislative approval.
Division 9 of Part 4 amends the Old Age Security Act to increase the single rate of the guaranteed income supplement for the lowest-income pensioners by up to $947 annually and to repeal section 2.‍2 of that Act, which increases the age of eligibility to receive a benefit.
Division 10 of Part 4 amends the Special Import Measures Act to provide that a finding by the President of the Canada Border Services Agency of an insignificant margin of dumping or an insignificant amount of subsidy in respect of goods imported into Canada will no longer result in the termination of a trade remedy investigation prior to the President’s preliminary determination. It also provides that expiry reviews may be initiated from a date that is closer to the expiry date of an anti-dumping or countervailing measure and makes amendments related to that new time period.
Division 11 of Part 4 amends the Pension Benefits Standards Act, 1985 to combine the authorities for bilateral agreements and multilateral agreements into one authority for federal-provincial agreements, and to clarify that federal-provincial agreements may permit the application of provincial legislation with respect to a pension plan.
Division 12 of Part 4 amends the Employment Insurance Act to, among other things,
(a) increase, until July 8, 2017, the maximum number of weeks for which benefits may be paid to certain claimants in certain regions;
(b) eliminate the category of claimants who are new entrants and re-entrants; and
(c) reduce to one week the length of the waiting period during which claimants are not entitled to benefits.
Division 13 of Part 4 amends the Canada Marine Act to allow the Minister of Canadian Heritage to make payments to Canada Place Corporation for certain celebrations.
Division 14 of Part 4 amends the Jobs, Growth and Long-term Prosperity Act to authorize the Minister of Infrastructure, Communities and Intergovernmental Affairs to acquire the shares of PPP Canada Inc. on behalf of Her Majesty in right of Canada. It also sets out that the appropriate Minister, as defined in the Financial Administration Act, holds those shares and authorizes that appropriate Minister to conduct, with the Governor in Council’s approval, certain transactions relating to PPP Canada Inc. Finally, it authorizes PPP Canada Inc. and its wholly-owned subsidiaries to sell, with the Governor in Council’s approval, their assets in certain circumstances.
Division 15 of Part 4 amends the Canada Foundation for Sustainable Development Technology Act to modify the process that leads to the Governor in Council’s appointment of persons to the board of directors of the Canada Foundation for Sustainable Development Technology by eliminating the role of the Minister of Natural Resources and the Minister of the Environment as well as the consultative role of the Minister of Industry from that process. It also amends the Budget Implementation Act, 2007 to provide that a sum may be paid out of the Consolidated Revenue Fund to the Foundation on the requisition of the Minister of Industry and to clarify the maximum amount of that sum.

Budget Implementation Act, 2016, No. 1

[Harold Albrecht, Conservative, Kitchener—Conestoga, ON]

Mr. Speaker, concerning investing for the future, the big difference in what the Conservative government did was we invested in infrastructure projects that would actually improve our economy. We did not not invest in program spending. We did not invest in niche markets, like the CBC or other things, that would not increase our economy.

The Liberals talk about the fact that the Conservatives increased the deficit. When we went into deficit, it was spending that was injected into the economy, and the Liberals wanted us to spend more. Now they say we increased the deficit too much. They are talking out of both sides of their mouths and they cannot have it both ways.

[Kevin Lamoureux, Liberal, Parliamentary Secretary to the Leader of the Government in the House of Commons]

Mr. Speaker, the member should provide some clarity on the issue of deficits. The member knows full well that the former Conservative government added $150 billion of debt on future taxpayers. When it inherited power back in 2006, it was handed a multi-billion dollar surplus and turned it into a deficit of billions of dollars. Why should a Liberal government take advice from the previous government that failed so miserably in managing the finances of our country? It makes no sense.

The member is putting forward recommendations for supporting family farms. Think about it. A tax break for Canada's middle class is very real and the member and his colleagues are voting against that. They are voting against the enrichment of the child benefit program. That is going to put hundreds of millions of dollars into communities in every region, including prairie farms and farms all over Canada. Why would he oppose that? Why did he support the Conservatives' massive deficit?

[Harold Albrecht, Conservative, Kitchener—Conestoga, ON]

Mr. Speaker, what I am voting against is found on page 234 of the budget. I would ask members to look at the figures. When we look at the public debt charges alone between 2015 and 2020, they rise from $25.7 billion to $35.5 billion. That is virtually a $10-billion increase in debt charges alone. That is not even talking about starting to pay down the debt.

Only a Liberal would say that paying down $40 billion of national debt in the first two years the Conservatives were in office is somehow squandering the surplus. The fact that the Conservative government injected money into the economy and then balanced the budget at the end of its mandate is a crucial difference from what we see now of deficit after deficit, with no plan to pay it down at the end of the Liberal mandate.

In their platform, the Liberals clearly promised a maximum deficit of $10 billion per year and at the end of a four-year mandate, we would have a balanced budget. We are nowhere close to that, and Canadians know it. The constituents in my riding are not happy about the fact that we are spending money today that my children and grandchildren, and their children and grandchildren are going to have to pay back.

[Mark Gerretsen, Liberal, Kingston and the Islands, ON]

Mr. Speaker, I am honoured to stand in the House today and talk about the budget, which I am extremely proud to support.

Before becoming an MP, I was the mayor of the great city of Kingston. In this role, I learned quickly the importance of having strong, thriving local communities. This is why I fought tirelessly for increased investment in municipal infrastructure and social services, something I am thrilled to see would come to fruition in this budget.

Some Canadian families and communities are struggling right now, and infrastructure investments are desperately needed. As some of my colleagues have pointed out in the past, spending on infrastructure when interest rates are low yields more in return of economic activity.

The legislation being debated today would do just that. Interest rates are at historic lows, and this budget would make meaningful and substantive infrastructure investments from coast to coast to coast. This government has committed to building our communities by implementing a historic plan to invest more than $120 billion over the next 10 years. These investments would help Canadian families by creating well-paying jobs and fostering long-term growth in Canada.

This budget would help Canadian communities by providing approximately $3 billion each year for municipal infrastructure projects through the gas tax fund and the incremental goods and services tax rebate for municipalities.

Not only that, but the government would also transfer the remaining uncommitted funds from the older federal infrastructure programs to municipalities through the gas tax fund. This would ensure funds are directed toward high-priority municipal infrastructure projects.

These investments would not only help Canadians now, but the benefits would be felt by Canadians well into the future. Across Canada, more than $3 billion would be invested in social infrastructure. This includes affordable housing, early learning and child care, and recreational facilities.

This budget also introduces the Canada child benefit. This new benefit would put more money directly into the pockets of the Canadian families that need it the most. The Canada child benefit would give Canadian families much-needed help with the high cost of raising children. Children are our future, and we cannot ignore their needs.

It cannot be denied that replacing the existing federal child benefits with a simpler, tax-free child benefit is the right way forward, as nine out of 10 families would now receive higher monthly benefits. More money in the pockets of Canadian families can translate into the ability to buy back-to-school supplies, or the ability to afford summer camp or hockey registration. It means healthier food on the dinner table, and lunch bags that are not empty. With the Canada child benefit, hundreds of thousands of children would be lifted out of poverty.

For our young Canadians like the students of the three outstanding post-secondary institutions in my riding of Kingston and the Islands—Queen's University, the Royal Military College, and St. Lawrence College—this budget would make post-secondary education more affordable.

It is no secret that the costs of post-secondary education have become burdensome, with school debt becoming a crippling factor for some Canadian students. This budget would boost grants for low- and middle-income college and university students by 50%, helping with the affordability of textbooks, residence, food, and other important expenditures that come with being a student.

More than 350,000 full-time students would receive more help as a result of these measures. This could be the difference between graduating and dropping out.

Furthermore, graduation day would no longer have to be tainted by the worries about student loan payments. I am sure many of us know students who are preparing to graduate in the coming weeks. The time around graduation should be exciting. These students have worked hard for their diplomas and degrees. This legislation would improve the ability for students to get a fair start.

With the new measures in this budget, students would not have to repay Government of Canada student loans until their income hits at least $25,000 per year. These are some of the changes that are helping Canadian families and local communities thrive. These are the investments I worked hard to see when I was mayor. They would help grow our middle class, see more children lifted out of poverty, and provide the supports for young Canadians ready to enter the workforce.

Budget 2016 would ensure Canadians have enough opportunity to succeed. For too long, Canadians have been working hard without seeing any results. Like hamsters on a wheel, they have been running themselves weary without getting any further ahead. This is unacceptable, and this budget aims to fix this because, when middle-class Canadians have more money to save, invest, and grow the economy, everyone benefits. It is time for Canada to have a government that focuses on citizens of our country, a realistic government that is passionate and committed and based on evidence and optimism, not ideology and fear.

Before budget 2016 was released, I hosted a pre-budget consultation as part of a nationwide discussion launched by the Minister of Finance in January. I was able to meet with many members of my community and discuss how the government can make the right investments to ensure long-term growth in Kingston and the Islands. Members of my community brought forward a number of key concerns for Kingston and the Islands, including affordable housing and municipal infrastructure funding. I was happy to share their local feedback with the Minister of Finance, and I am even happier to see these concerns addressed in this budget.

This budget proves that government is working for all Canadians and is committed to making investments in infrastructure to grow the economy and help the middle class save and invest more. It is an ambitious plan that would strengthen the heart of Canada's economy, the middle class. It would set Canadians up for a prosperous and successful future.

In conclusion, it is clear that the realities of today are vastly different from those 50 years ago. Back then, an individual could graduate from high school and have a realistic expectation of finding well-paying, stable work that could comfortably support a family. Today, Canadians are graduating from post-secondary school laden with debt without any security of finding a well-paying, stable job. This budget addresses these realities. The measures I have mentioned would help Canadians meet the challenges of today. By putting money in the pockets of Canadian families, growing the middle class, and ensuring Canadian students get a fair start, this budget would equip Canadians for success and invest in Canada's future.

[Harold Albrecht, Conservative, Kitchener—Conestoga, ON]

Mr. Speaker, my colleague used the term “hamsters on a wheel” as it related to students paying back student debt. I do not think there could be any more appropriate metaphor than a hamster on a wheel when it comes to paying down the debt that the current government is taking on.

I have just a comment here from the National Post by Kevin Libin. He said:

At this rate of deficit and debt accumulation, it can only be a matter of time before the Liberals tax and spend all of us, the rich and middle class inclusively, into equal levels of misery.

On page 234 of the budget, it clearly outlines the increase in debt charges alone of $10 billion per year. I would like my colleague to explain how we can possibly get out of this hamster-on-a-wheel rotation when we continue to add to the deficit year after year with no credible plan to come back to balance.

[Mark Gerretsen, Liberal, Kingston and the Islands, ON]

Mr. Speaker, let us not forget who put us on that wheel. It was the previous government, with $160 billion of debt that we are paying back. The previous member talked about how we have to try to get out of this deficit situation. It is a deficit situation that his previous government put us into.

Furthermore, this particular member just spent 10 minutes speaking about changes that we need to make, and suggested further areas where we need to be spending more money. I beg the question of him. How do we possibly spend more on the projects that he supports, but at the same time lower the deficit?

I believe would invest the money in the right places in this budget, and at the end of the day we would see meaningful changes for Canadians that would build our economy and grow in the way we need to grow for the future.

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

Mr. Speaker, I have two specific questions.

The member spent a fair amount of his time talking about affordability of education and the prospects particularly for young Canadians coming into the workforce.

There was a very specific commitment that we as New Democrats made, and the Conservatives made it, and the Liberals as well in the previous election, just six or seven months ago, about ensuring that small business taxes would be lowered. The Minister of Finance was asked about it, after he delivered the budget and reneged on that very specific promise. It was not nuanced, it was not contextual, it was exact. He said that he looked at it again and thought it was a bad idea.

Well, that is a somewhat flippant answer, because the changing of that one policy by the Liberals for small businesses in Canada, which many of those young people will be seeking jobs in or themselves starting, will cost small businesses about $2.1 billion over the next four years.

I was in small business before politics. However, it was not our suggestion as New Democrats that lowering the small business tax rate was to be considered a silver bullet, as there are many factors that go in, but it was an important gesture. We had seen the corporate or large business tax rate drop dramatically while the Conservatives racked up huge deficits, which we will be paying for many decades to come.

My question is specifically this. If it was not such a good idea, why campaign and promise to do it?

Now that the Liberals have broken that promise, not spoken the truth to Canadians about what they were actually going to do, when can we see the promise delivered, because if it was such a good idea to campaign on, clearly it must be a good idea to actually govern on as well?

[Mark Gerretsen, Liberal, Kingston and the Islands, ON]

Mr. Speaker, for clarification, the government has adjusted the way it is going to be handling the particular small business tax. It might not be as aggressive as my colleague would like to see, but let us not forget where we are investing and reducing taxes, and that is for the middle class.

We know that small business is the backbone of our economy. Therefore, if we want to grow an economy, we are going to do that by putting more money back into the hands of the consumers, which is what we would do by lowering taxes for the middle class. We are putting money back in their hands so that they can go out and spend it with these small businesses.

[Peter Fragiskatos, Liberal, London North Centre, ON]

Mr. Speaker, it is with a great deal of sadness that I rise in the House today. I speak for the people of London, Ontario, when I tell the people of Fort McMurray that we are thinking of them and that our prayers are with them. We in London and Canadians across the country are also thinking of any members opposite, specifically those members who represent Alberta ridings, who have friends and families who might be impacted.

Today I am pleased to rise in support of Bill C-15. Simply put, budget 2016 is a significant step in the right direction.

During the election our party promised to grow the middle class by working hard to deliver much-needed help immediately, instead of several years down the road. Canadians asked for assistance now in order to make life a bit easier, and that is exactly what the budget is delivering.

Different plans were put forward by the other parties during the past election campaign, plans that would have seen balanced budgets at all costs. These plans would have resulted in cuts instead of investments, stagnation instead of growth. Ultimately the proposals of the other parties would have left the middle class and those working hard to join the middle class struggling.

The results of October's election showed the idea of balanced budgets at all costs was clearly not supported by Canadians. Instead, Canadians voted for investment, growth, revitalization of the Canadian economy, and help for today instead of tomorrow.

Since being elected this past October, the government has implemented a great deal of positive change that will make the lives of everyday Canadians that much better. However, the program introduced in budget 2016 that I am most proud of is the Canada child benefit.

In my community of London North Centre, numerous constituents have told me that it is becoming harder to make ends meet. With prices increasing on a wide variety of everyday items and wages not keeping up, it is now more difficult to afford the extras in life. Whether it is sending their children to camp, affording a new pair of shoes for their son or daughter, or enrolling their children in organized sports, there is simply not enough money left at the end of the month to make these important purchases. The Canada child benefit would work to rectify this problem.

The benefit is an exciting change for several reasons. First, families who are eligible would receive a maximum annual benefit of up to $6,400 per child under the age of six and up to $5,400 per child aged six through seventeen. Payments moreover will happen monthly and start this July. Families who are eligible for this new program will see an average increase to their current child benefits of almost $2,300 per year.

The Canada child benefit would ensure that nine out of 10 families would receive more money in their pockets than under the current system. This innovative and forward-thinking benefit would assist approximately 3.5 million families. Moreover, the benefit, and I emphasize this, would not be taxable.

Most importantly, the Canada child benefit would ensure that in 2016-17 approximately 300,000 fewer children would be living in poverty compared to 2014-15. In the London and surrounding area that would equate to approximately 9,000 fewer children living in poverty. These numbers will only continue to decline in the years to come thanks to benefits like this.

The path to a strong economy is to have a robust and vibrant middle class. By introducing the innovative, bold, and desperately needed Canada child benefit, the government will ensure that the middle class and those families working hard to join the middle class would have more money in their pockets. With that extra money these Canadians would have the opportunity to save, invest, and grow the economy. Canadians would be able to look forward to a better standard of living, one that will allow their children more opportunities for success. As previously stated, I am extremely excited about this benefit. My constituents have told me this will make an immediate difference in their lives, and I am here to fight for those constituents each and every day.

Another area identified in the budget that would have a significant impact on my community of London North Centre is support for seniors. The government has committed to increasing the guaranteed income supplement top-up by up to $947 per year. This change would help 900,000 of the most vulnerable seniors. Four in five seniors in Canada live on low incomes and live alone.

The government will also help seniors by repealing section 2.2 of the Old Age Security Act, which increases the age of eligibility to receive this benefit.

We are also leaving in place pension income splitting. There has been much confusion surrounding this topic in my community. However, the government is committed to helping seniors with their finances. We know that they have worked hard their entire lives, and the government has a responsibility to ensure that they are not placed into a vulnerable financial situation. We are therefore aiming to ensure that during their retirement years Canadian seniors are given the sense of security, dignity, and comfort they deserve.

I am proud to have a strong contingent of Canadian veterans in London North Centre. Since being elected this past October, I have met with many of them at various events throughout the city and at meetings in my office. The amount of respect I have for their courage, patriotism, and sacrifice cannot be properly expressed in words. The freedom we enjoy today to have debates such as this in the House of Commons is because of the incredible sacrifices made by our veterans. As such, the government has a sacred obligation to ensure that these individuals have access to the programs and services they require. We owe them our sincere gratitude and respect. We must work to ensure that there is a relationship built on trust and collaboration.

With that in mind, the government will make changes to the Canadian Forces Members and Veterans Re-establishment and Compensation Act. These changes have been initiated due to concerns expressed by the government, the veterans ombudsman, Canadian Armed Forces members, veterans, and other stakeholders. It has been indicated that veterans who have been seriously disabled are not guaranteed financial security with the benefits currently in place. Therefore, those Canadian Armed Forces members and veterans who have severe and permanent service-related disabilities will see an increase to their benefits. This is a change that I think we can all be proud of in the House and beyond.

Before being elected to represent the community of London North Centre, I taught at King's University College at Western University. During that time, I watched the number of students who were struggling to make ends meet rise each year. I instructed students who were extremely intelligent, compassionate, and driven young people. However, they were graduating university with a crushing amount of student debt. These students worried about how they would pay back the money they owed, and it was becoming increasingly difficult to find meaningful work. This type of stress and burden is not what we want for our younger generation who have just finished post-secondary education and are looking to make important contributions to the workforce.

With that in mind, I am pleased that budget 2016 will help students from low and middle-income families by making post-secondary education more affordable. In addition, the government will establish a system that makes it fairer and easier for students to repay their debt. I am pleased to see that students will not have to make any repayment on their Canada student loans until they are making at least $25,000 per year.

However, the help for students will not stop there. This budget has also made investments to ensure that young Canadians can earn extra income, gain experience, and find quality jobs upon graduation. These changes have been lobbied for by Canadian student advocate groups for many years. I have met with these student advocates, and I am glad to see these changes coming to fruition within this budget. Help with student debt, providing access to funds to help with the rising costs of post-secondary education, and providing more opportunities for employment while in school and following graduation are measures we can all be proud of. The budget addresses these requests.

Finally, I have received a great deal of correspondence in my office asking that necessary steps be taken by the government to ensure more tax fairness in Canada. Constituents have told me that they are more than willing to pay their taxes and follow the rules. However, they want to ensure that all Canadians pay their fair share. They currently feel as though there are two different sets of rules in place.

With that in mind, it is exciting to see budget 2016 taking significant steps to ensure tax integrity and tax fairness for all Canadians.

I look forward to the debate on the budget to follow.

[Alexandre Boulerice, NDP, Rosemont—La Petite-Patrie, QC]

Mr. Speaker, I would like to thank my colleague for his speech. I was especially interested in two things he touched on: the situation of Canadian students and that of seniors.

I want to ask the member a question about that. Increasing the guaranteed income supplement for our seniors is a good thing and a positive step, but would it not be preferable to automatically sign up people when their income is below a certain amount? In that way they would not lose out on any money because they did not receive the information telling them to apply for the guaranteed income supplement.

Could his government seriously consider increasing public pension plans? For example, the Canada pension plan, which is the most robust and solid plan, could lift many seniors out of poverty and ensure that they live their golden years with dignity.

[Peter Fragiskatos, Liberal, London North Centre, ON]

Certainly, Mr. Speaker, this government has spoken about the need to take pensions seriously, once and for all, in this country. We are looking at this in collaboration with the provinces and I would expect to see action on these sorts of measures.

In addition, I would emphasize that while it would be useful and helpful to have information circulated to seniors on how they can receive the guaranteed income supplement increase if they are eligible, it is also the job of members of Parliament to spread that message. It is part of our job to reach out to our constituents in that regard and I look forward to keep on doing so. I have been doing so up until this point.

[Harold Albrecht, Conservative, Kitchener—Conestoga, ON]

Mr. Speaker, we are again ignoring the promise in the Liberal platform of reducing the small business tax rate.

I will quote the Canadian Chamber of Commerce, which stated:

We are disappointed at the government’s decision to push back the small business tax reduction and we question the idea of contemplating increases to CPP at this point. As businesses struggle, this added pressure could slow down job creation and investment....

While it is fine to talk about the reduction in costs for student tuition and lower debt when students graduate, what help is it to students to graduate with a bit lower debt if there are no jobs to go to once they have graduated?

[Peter Fragiskatos, Liberal, London North Centre, ON]

Mr. Speaker, as someone who saw his parents work 12 or 15 hours a day sometimes, I can say that what small businesses need most are customers. Therefore, this budget puts forward measures that would actually grow our economy and help small businesses grow their consumer base.

It is interesting to me how, on the one hand, members who were in the previous government can now suddenly be champions of small business, but not ones of actually improving the economy in such a way that it would grow the customer base of small businesses, and therefore, benefit the Canadian economy.

[Nathan Cullen, NDP, Skeena—Bulkley Valley, BC]

Mr. Speaker, my friend seems to confuse the idea that he can only do one or the other in helping small businesses. I do not know why this is such a shocking idea. Liberals in a campaign six or seven months ago promised to do something, and the official opposition and the opposition are asking them to do it. If it was such a good idea then, why not now? I have yet to hear, in all the speeches by Liberals about the bill, why they think it is such a bad idea.

The parliamentary budget officer has estimated that this one broken promise is going to cost small businesses a little north of $2 billion over the next four years. Some rationalization or justification for this would be welcome. The Liberals are spending all kinds of money on all sorts of things. Why not the small business sector? It is a simple question.

[Peter Fragiskatos, Liberal, London North Centre, ON]

Mr. Speaker, it is always interesting to hear New Democrats present themselves as the champions for small businesses.

That said, I will say, as I just mentioned to the previous speaker, we are intent on making sure that small businesses have the customer base they need to grow. I would invite hon. members opposite to look at our infrastructure investments, our commitments to public transit, and all of the other measures, particularly on growing the innovation economy that we are going to need to make Canada a global leader once again.

I would underline those points to my hon. friend and say that, once again, as the son of small business owners, I am ready to help the government in whatever way I can in that regard.