Bill C-19

Budget Implementation Act, 2022, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures

Part 1 implements certain income tax measures by
(a) providing a Labour Mobility Deduction for the temporary relocation of tradespeople to a work location;
(b) allowing for the immediate expensing of eligible property by certain Canadian businesses;
(c) allowing the Children’s Special Allowance to be paid in respect of a child who is maintained by an Indigenous governing body and providing consistent tax treatment of kinship care providers and foster parents receiving financial assistance from an Indigenous governing body and those receiving such assistance from a provincial government;
(d) doubling the allowable qualifying expense limit under the Home Accessibility Tax Credit;
(e) expanding the criteria for the mental functions impairment eligibility as well as the life-sustaining therapy category eligibility for the Disability Tax Credit;
(f) providing clarity in respect of the determination of the one-time additional payment under the GST/HST tax credit for the period 2019-2020;
(g) changing the delivery of Climate Action Incentive payments from a refundable credit claimed annually to a credit that is paid quarterly;
(h) temporarily extending the period for incurring eligible expenses and other deadlines under film or video production tax credits;
(i) providing a tax incentive for specified zero-emission technology manufacturing activities;
(j) providing the Canada Revenue Agency (CRA) the discretion to accept late applications for the Canada Emergency Wage Subsidy, the Canada Emergency Rent Subsidy and the Canada Recovery Hiring Program;
(k) including postdoctoral fellowship income in the definition of “earned income” for RRSP purposes;
(l) enabling registered charities to enter into charitable partnerships with organizations other than qualified donees under certain conditions;
(m) allowing automatic and immediate revocation of the registration of an organization as a charity where that organization is listed as a terrorist entity under the Criminal Code ;
(n) enabling the CRA to use taxpayer information to assist in the collection of Canada Emergency Business Account loans; and
(o) expanding capital cost allowance deductions to include new clean energy equipment.
It also makes related and consequential amendments to the Excise Tax Act , the Children’s Special Allowances Act , the Excise Act, 2001 , the Income Tax Regulations and the Children’s Special Allowance Regulations .
Part 2 implements certain Goods and Services Tax/Harmonized Sales Tax (GST/HST) measures by
(a) ensuring that all assignment sales in respect of newly constructed or substantially renovated residential housing are taxable supplies for GST/HST purposes; and
(b) extending eligibility for the expanded hospital rebate to health care services supplied by charities or non-profit organizations with the active involvement of, or on the recommendation of, either a physician or a nurse practitioner, irrespective of their geographic location.
Part 3 amends the Excise Act, 2001 , the Excise Act and other related texts in order to implement three measures.
Division 1 of Part 3 implements a new federal excise duty framework for vaping products by, among other things,
(a) requiring that manufacturers of vaping products obtain a vaping licence from the CRA;
(b) requiring that all vaping products that are removed from the premises of a vaping licensee to be entered into the Canadian market for retail sale be affixed with an excise stamp;
(c) imposing excise duties on vaping products to be paid by vaping product licensees;
(d) providing for administration and enforcement rules related to the excise duty framework on vaping products;
(e) providing the Governor in Council with authority to provide for an additional excise duty in respect of provinces and territories that enter into a coordinated vaping product taxation agreement with Canada; and
(f) making related amendments to other legislative texts, including to allow for a coordinated federal/provincial-territorial vaping product taxation system and to ensure that the excise duty framework applies properly to imported vaping products.
Division 2 of Part 3 amends the excise duty exemption under the Excise Act, 2001 for wine produced in Canada and composed wholly of agricultural or plant product grown in Canada.
Division 3 of Part 3 amends the Excise Act to eliminate excise duty for beer containing no more than 0.5% alcohol by volume.
Part 4 enacts the Select Luxury Items Tax Act . That Act creates a new taxation regime for domestic sales, and importations into Canada, of certain new motor vehicles and aircraft priced over $100,000 and certain new boats priced over $250,000. It provides that the tax applies if the total price or value of the subject select luxury item at the time of sale or importation exceeds the relevant price threshold. It provides that the tax is to be calculated at the lesser of 10% of the total price of the item and 20% of the total price of the item that exceeds the relevant price threshold. To promote compliance with the new taxation regime, that Act includes modern elements of administration and enforcement aligned with those found in other taxation statutes. Finally, this Part also makes related and consequential amendments to other texts to ensure proper implementation of the new tax and to ensure a cohesive and efficient administration by the CRA.
Division 1 of Part 5 retroactively renders a provision of the contract that is set out in the schedule to An Act respecting the Canadian Pacific Railway , chapter 1 of the Statutes of Canada, 1881, to be of no force or effect. It retroactively extinguishes any obligations and liabilities of Her Majesty in right of Canada and any rights and privileges of the Canadian Pacific Railway Company arising out of or acquired under that provision.
Division 2 of Part 5 amends the Nisga’a Final Agreement Act to give force of law to the entire Nisga’a Nation Taxation Agreement during the period that that Taxation Agreement is, by its terms, in force.
Division 3 of Part 5 repeals the Safe Drinking Water for First Nations Act .
It also amends the Income Tax Act to exempt from taxation under that Act any income earned by the Safe Drinking Water Trust in accordance with the Settlement Agreement entered into on September 15, 2021 relating to long-term drinking water quality for impacted First Nations.
Division 4 of Part 5 authorizes payments to be made out of the Consolidated Revenue Fund for the purpose of addressing transit shortfalls and needs and improving housing supply and affordability.
Division 5 of Part 5 amends the Canada Deposit Insurance Corporation Act by adding the President and Chief Executive Officer of the Canada Deposit Insurance Corporation and one other member to that Corporation’s Board of Directors.
Division 6 of Part 5 amends the Federal-Provincial Fiscal Arrangements Act to authorize additional payments to the provinces and territories.
Division 7 of Part 5 amends the Borrowing Authority Act to, among other things, count previously excluded borrowings made in the spring of 2021 in the calculation of the maximum amount that may be borrowed. It also amends the Financial Administration Act to change certain reporting requirements in relation to amounts borrowed under orders made under paragraph 46.1(c) of that Act.
Division 8 of Part 5 amends the Pension Benefits Standards Act, 1985 to, among other things, permit the establishment of a solvency reserve account in the pension fund of certain defined benefit plans and require the establishment of governance policies for all pension plans.
Division 9 of Part 5 amends the Special Import Measures Act to, among other things,
(a) provide that assessments of injury are to take into account impacts on workers;
(b) require the Canadian International Trade Tribunal to make inquiries with respect to massive importations when it is acting under section 42 of that Act;
(c) require that Tribunal to initiate expiry reviews of certain orders and findings;
(d) modify the deadline for notifying the government of the country of export of properly documented complaints;
(e) modify the criteria for imposing duties in cases of massive importations;
(f) modify the criteria for initiating anti-circumvention investigations; and
(g) remove the requirement that, in order to find circumvention, the principal cause of the change in a pattern of trade must be the imposition of anti-dumping or countervailing duties.
It also amends the Canadian International Trade Tribunal Act to provide that trade unions may, with the support of domestic producers, file global safeguard complaints.
Division 10 of Part 5 amends the Trust and Loan Companies Act and the Insurance Companies Act to, among other things, modernize corporate governance communications of financial institutions.
Division 11 of Part 5 amends the Insurance Companies Act to permit property and casualty companies and marine companies to not include the value of certain debt obligations when calculating their borrowing limit.
Division 12 of Part 5 enacts the Prohibition on the Purchase of Residential Property by Non-Canadians Act . The Act prohibits the purchase of residential property in Canada by non-Canadians unless they are exempted by the Act or its regulations or the purchase is made in certain circumstances specified in the regulations.
Division 13 of Part 5 amends the Parliament of Canada Act and makes consequential and related amendments to other Acts to, among other things,
(a) change the additional annual allowances that are paid to senators who occupy certain positions so that the government’s representatives and the Opposition in the Senate are eligible for the allowances for five positions each and the three other recognized parties or parliamentary groups in the Senate with the greatest number of members are eligible for the allowances for four positions each;
(b) provide that the Leader of the Government in the Senate or Government Representative in the Senate, the Leader of the Opposition in the Senate and the Leader or Facilitator of every other recognized party or parliamentary group in the Senate are to be consulted on the appointment of certain officers and agents of Parliament; and
(c) provide that the Leader of the Government in the Senate or Government Representative in the Senate, the Leader of the Opposition in the Senate and the Leader or Facilitator of every other recognized party or parliamentary group in the Senate may change the membership of the Standing Senate Committee on Internal Economy, Budgets and Administration.
Division 14 of Part 5 amends the Financial Administration Act in order to, among other things, allow the Treasury Board to provide certain services to certain entities.
Division 15 of Part 5 amends the Competition Act to enhance the Commissioner of Competition’s investigative powers, criminalize wage fixing and related agreements, increase maximum fines and administrative monetary penalties, clarify that incomplete price disclosure is a false or misleading representation, expand the definition of anti-competitive conduct, allow private access to the Competition Tribunal to remedy an abuse of dominance and improve the effectiveness of the merger notification requirements and other provisions.
Division 16 of Part 5 amends the Copyright Act to extend certain terms of copyright protection, including the general term, from 50 to 70 years after the life of the author and, in doing so, implements one of Canada’s obligations under the Canada–United States–Mexico Agreement.
Division 17 of Part 5 amends the College of Patent Agents and Trademark Agents Act to, among other things,
(a) ensure that the College has sufficient independence and flexibility to exercise its corporate functions;
(b) provide statutory immunity to certain persons involved in the regulatory activities of the College; and
(c) grant powers to the Registrar and Investigations Committee that will allow for improved efficiency in the complaints and discipline process.
Division 18 of Part 5 enacts the Civil Lunar Gateway Agreement Implementation Act to implement Canada’s obligations under the Memorandum of Understanding between the Government of Canada and the Government of the United States of America concerning Cooperation on the Civil Lunar Gateway. It provides for powers to protect confidential information provided under the Memorandum. It also makes related amendments to the Criminal Code to extend its application to activities related to the Lunar Gateway and to the Government Employees Compensation Act to address the cross-waiver of liability set out in the Memorandum.
Division 19 of Part 5 amends the Corrections and Conditional Release Act to restrict the use of detention in dry cells to cases where the institutional head has reasonable grounds to believe that an inmate has ingested contraband or that contraband is being carried in the inmate’s rectum.
Division 20 of Part 5 amends the Customs Act in order to authorize its administration and enforcement by electronic means and to provide that the importer of record of goods is jointly and severally, or solidarily, liable to pay duties on the goods under section 17 of that Act with the importer or person authorized to account for the goods, as the case may be, and the owner of the goods.
Division 21 of Part 5 amends the Criminal Code to create an offence of wilfully promoting antisemitism by condoning, denying or downplaying the Holocaust through statements communicated other than in private conversation.
Division 22 of Part 5 amends the Judges Act , the Federal Courts Act , the Tax Court of Canada Act and certain other acts to, among other things,
(a) implement the Government of Canada’s response to the report of the sixth Judicial Compensation and Benefits Commission regarding salaries and benefits and to create the office of supernumerary prothonotary of the Federal Court;
(b) increase the number of judges for certain superior courts and include the new offices of Associate Chief Justice of the Court of Queen’s Bench of New Brunswick and Associate Chief Justice of the Court of Queen’s Bench for Saskatchewan;
(c) create the offices of prothonotary and supernumerary prothonotary of the Tax Court of Canada; and
(d) replace the term “prothonotary” with “associate judge”.
Division 23 of Part 5 amends the Immigration and Refugee Protection Act to, among other things,
(a) authorize the Minister of Citizenship and Immigration to give instructions establishing categories of foreign nationals for the purposes of determining to whom an invitation to make an application for permanent residence is to be issued, as well as instructions setting out the economic goal that that Minister seeks to support in establishing the category;
(b) prevent an officer from issuing a visa or other document to a foreign national invited in respect of an established category if the foreign national is not in fact eligible to be a member of that category;
(c) require that the annual report to Parliament on the operation of that Act include a description of any instructions that establish a category of foreign nationals, the economic goal sought to be supported in establishing the category and the number of foreign nationals invited to make an application for permanent residence in respect of the category; and
(d) authorize that Minister to give instructions respecting the class of permanent residents in respect of which a foreign national must apply after being issued an invitation, if the foreign national is eligible to be a member of more than one class.
Division 24 of Part 5 amends the Old Age Security Act to correct a cross-reference in that Act to the Budget Implementation Act, 2021, No. 1 .
Division 25 of Part 5
(a) amends the Canada Emergency Response Benefit Act to set out the consequences that apply in respect of a worker who received, for a four-week period, an income support payment and who received, for any week during the four-week period, any benefit, allowance or money referred to in subparagraph 6(1)(b)(ii) or (iii) of that Act;
(b) amends the Canada Emergency Student Benefit Act to set out the consequences that apply in respect of a student who received, for a four-week period, a Canada emergency student benefit and who received, for any week during the four-week period, any benefit, allowance or money referred to in subparagraph 6(1)(b)(ii) or (iii) of that Act; and
(c) amends the Employment Insurance Act to set out the consequences that apply in respect of a claimant who received, for any week, an employment insurance emergency response benefit and who received, for that week, any payment or benefit referred to in paragraph 153.9(2)(c) or (d) of that Act.
Division 26 of Part 5 amends the Employment Insurance Act to, among other things,
(a) replace employment benefits and support measures set out in Part II of that Act with employment support measures that are intended to help insured participants and other workers — including workers in groups underrepresented in the labour market — to obtain and keep employment; and
(b) allow the Canada Employment Insurance Commission to enter into agreements to provide for the payment of contributions to organizations for the costs of measures that they implement and that are consistent with the purpose and guidelines set out in Part II of that Act.
It also makes a consequential amendment to the Income Tax Act .
Division 27 of Part 5 amends the Employment Insurance Act to specify the maximum number of weeks for which benefits may be paid in a benefit period to certain seasonal workers and to extend, until October 28, 2023, the increase in the maximum number of weeks for which those benefits may be paid. It also amends the Budget Implementation Act, 2021, No. 1 to add a transitional measure in relation to amendments to the Employment Insurance Regulations that are found in that Act.
Division 28 of Part 5 amends the Canada Pension Plan to make corrections respecting
(a) the calculation of the minimum qualifying period and the contributory period for the purposes of the post-retirement disability benefit;
(b) the determination of values for contributors who have periods excluded from their contributory periods by reason of disability; and
(c) the attribution of amounts for contributors who have periods excluded from their contributory periods because they were family allowance recipients.
Division 29 of Part 5 amends An Act to amend the Criminal Code and the Canada Labour Code to, among other things,
(a) shorten the period before which an employee begins to earn one day of medical leave of absence with pay per month;
(b) standardize the conditions related to the requirement to provide a medical certificate following a medical leave of absence, regardless of whether the leave is paid or unpaid;
(c) authorize the Governor in Council to make regulations in certain circumstances, including to modify certain provisions respecting medical leave of absence with pay;
(d) ensure that, for the purposes of medical leave of absence, an employee who changes employers due to the lease or transfer of a work, undertaking or business or due to a contract being awarded through a retendering process is deemed to be continuously employed with one employer; and
(e) provide that the provisions relating to medical leave of absence come into force no later than December 1, 2022.
Division 30 of Part 5 amends the Canada Business Corporations Act to, among other things,
(a) require certain corporations to send to the Director appointed under that Act information on individuals with significant control on an annual basis or when a change occurs;
(b) allow that Director to provide all or part of that information to an investigative body, the Financial Transactions and Reports Analysis Centre of Canada or any prescribed entity; and
(c) clarify that, for the purposes of subsection 21.1(7) of that Act, it is the securities of a corporation, not the corporation itself, that are listed and posted for trading on a designated stock exchange.
Division 31 of Part 5 amends the Special Economic Measures Act and the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law) to, among other things,
(a) create regimes allowing for the forfeiture of property that has been seized or restrained under those Acts;
(b) specify that the proceeds resulting from the disposition of those properties are to be used for certain purposes; and
(c) allow for the sharing of information between certain persons in certain circumstances.
It also makes amendments to the Seized Property Management Act in relation to those forfeiture of property regimes.

Budget Implementation Act, 2022, No. 1

[Iqra Khalid, Liberal, Mississauga—Erin Mills, ON]

Madam Speaker, I am pleased to rise today to speak to Bill C-19, the budget implementation act. This bill proposes to officially implement many of the important measures contained in budget 2022, tabled just a few weeks ago, measures that would impact people from all walks of life in my riding of Mississauga—Erin Mills.

Budget 2022 contains targeted and responsible investments to create jobs and prosperity today and build a stronger economic future for all Canadians tomorrow. Its proposed measures set out to make investments in Canadians and to make life more affordable for them, in economic growth and innovation and in promoting a clean economy. In particular, budget 2022 takes significant steps to help build more homes and make housing more affordable across the country, and it is housing that I would like to talk about today.

As we know, everyone should have a safe and affordable home, but this goal, which was taken for granted by previous generations, is no longer within the reach of a growing number of Canadians, including young people in my riding of Mississauga—Erin Mills. Increasing the supply of housing would make housing more affordable, but it is not the only solution; there have to be more measures taken.

For example, in budget 2022 there is an issue that is addressed, and that is the concern that foreign investment and speculation will increase the cost of housing in Canada. The government has an important role to play in addressing these issues. The 2022 budget proposes new measures that would prohibit foreign investment in residential real estate and ensure that speculators and homeowners who quickly sell their properties pay their fair share of taxes. I know that Vancouver and Toronto have received most of the attention in this regard, but those impacts can also be felt in other parts of the country, including in Mississauga—Erin Mills.

Bill C-19 would enact the prohibition on the purchase of residential property by non-Canadians act. It is a new statute that implements a ban on foreign investment in Canadian housing. The ban on foreign investment in Canadian housing is aimed at curtailing foreign demand in light of concerns that foreign buyers may be contributing to pricing some Canadians out of the housing market. The proposed legislation would prohibit people who are neither Canadian citizens nor permanent residents from acquiring residential property in Canada, whether directly or indirectly, for a period of two years.

The government's intention in this regard is that refugees and persons who have been authorized to come to Canada on emergency travel to flee international crises would be exempt. Foreign students who are in the process of obtaining permanent residence would also be exempt in certain circumstances, as would work permit holders who are residents of Canada.

As well, speculative trading in the Canadian housing market contributes to higher prices for Canadians. These transactions can include the resale of homes before they are built or before they are lived in, such as the assignment of a contract of sale. This creates an opportunity for speculators to be dishonest about their original intentions and creates uncertainty for everyone involved in an assignment sale as to whether GST or HST apply. The current rules also result in the uneven application of GST or HST to the full and final prices of these new homes that have not been lived in before.

Therefore, as proposed in budget 2022, Bill C-19 would amend the Excise Tax Act to make assignment sales in respect of newly constructed or substantially renovated residential housing taxable for GST or HST purposes. The amendment also excludes from taxable consideration the amount of deposit paid under an original agreement of purchase and sale that the original purchaser is recovering through that assignment of sale.

This amendment would eliminate the ambiguity that can arise under the existing rules regarding the GST or HST treatment of assignment sales by making all assignment sales by individuals taxable. It would also ensure that the GST or HST applies to the full amount paid for a new home, including any amount paid as a result of an assignment sale, resulting in greater consistency in the tax treatment of new homes.

The government also wants to make housing more affordable for the homes people already live in. For example, seniors and persons with disabilities deserve the opportunity to live and age at home, but renovations and upgrades that make their homes safe and accessible can be costly. In my riding of Mississauga—Erin Mills, we see a lot of multi-generational homes, where grandparents live with their children and grandkids in a single dwelling. The opportunity for them to live comfortably is significantly reduced because of the inability of homeowners to provide for important renovations to have that accessibility available to parents as they age.

The home accessibility tax credit already provides supports to offset some of the costs that I am talking about. However, with the rising cost of home renovations, many seniors and people with disabilities feel that they cannot afford the modifications that would allow them to continue to live safely in their homes.

As proposed in budget 2022, to better support independent living and to better support these multi-generational homes, Bill C-19 would amend the Income Tax Act to increase the annual expense limit for the home accessibility tax credit from $10,000 to $20,000. This enhancement would apply to the 2022 and subsequent taxation years. It would provide up to an additional $1,500 in tax support for renovations and alterations that are already eligible under the home accessibility tax credit, for such expenses as the purchase or installation of wheelchair ramps, walk-in bathtubs, wheel-in showers, building a bedroom or bathroom to permit first-floor occupancy, and installing non-slip flooring to help avoid falls.

Our government was elected in 2015 with a promise to deliver a national housing strategy, because even seven years ago it was already hard for Canadians to own a home. We have delivered that strategy and continue to build upon it. We are taking further action to make housing more affordable and to give Canadians that same chance to own a home, as our parents did.

We all know that no one level of government can solve this problem. Our Liberal government is leading the way, and we need every level of government to recognize this issue and work with us to take action. When we talk about building homes, we have to work with the provincial, regional and municipal governments to ensure that developers are operating in a fair and equitable way that is promoting affordable housing and promoting the swift and quality construction of homes that people in my riding of Mississauga—Erin Mills, for example, can take advantage of.

The measures I just mentioned today in Bill C-19 and from budget 2022 would help make the housing market fairer for Canadians and support more affordable home living for seniors and people with disabilities. If we are serious about taking action on the housing market, I hope that all members in this House can support Bill C-19.

In conclusion, each and every member in this House has a story of a constituent in their community who has struggled with housing and who cannot see a future with a comfortable living space that they can rely on. Housing is a basic right that we should be able to afford to Canadians, and I am proud of the measures being taken in Bill C-19 to ensure that we are continuing to build upon all of the important work we have done with respect to affordable housing over the past seven years.

[Lisa Marie Barron, NDP, Nanaimo—Ladysmith, BC]

Madam Speaker, as the government continues to increase reliance on temporary foreign workers without the protections that come with permanent resident status, we know that temporary foreign workers are increasingly vulnerable to exploitation. Recently, the Auditor General found, through federal inspections, that the health and safety for temporary foreign workers has gotten worse, and that is after the government promised to fix it in 2020.

Could the member please clarify: Instead of increasing our reliance on exploiting workers to drive down wages, does she agree that the time to negotiate better wages and work conditions for migrant workers, permanent residents and Canadians is now?

[Iqra Khalid, Liberal, Mississauga—Erin Mills, ON]

Madam Speaker, one of the things I hear very regularly within my community, especially from small business owners, is their inability to find workers and skilled tradespeople who can fill those gaps that are being created. We, as a government, over the past number of years have been finding those pathways to permanent residence for those workers who are highly skilled and want to come and live in Canada on a permanent-residence basis. We need to continue to build and provide those supports.

A number of years ago, I did a study in the justice committee about trafficking in persons and trying to ensure that migrant workers, for example, were very well represented. There is a lot of work that has been done on this, and we are going to continue to do that work with the advocacy of all members in the House.

[Raquel Dancho, Conservative, Kildonan—St. Paul, MB]

Madam Speaker, I would like to ask the hon. member about the budget generally. We have seen her government bring forward about $60 billion of deficits this year. In the past couple of years, it said that it needed it because of COVID. It needed all this program spending. We know that the $60-billion deficit this year has no COVID spending. I think it is quite reckless.

I am not sure if she would agree. I would like to know her thoughts. Their government is burdening our generation with a tremendous amount of debt and deficits. That means higher taxes and, frankly, higher inflation that families in her riding and my riding are being impacted by. I would like to know her thoughts. Does she think that it is responsible, now that COVID is over, that the government maintains massive deficits?

[Iqra Khalid, Liberal, Mississauga—Erin Mills, ON]

Madam Speaker, while I appreciate the question from the member opposite, I think it is ill-informed. We did spend the past two years making sure that Canadians had roofs over their heads, had food on their tables and were able to safely isolate themselves if they had COVID.

Bill C-19 and budget 2022 are really about providing that economic recovery. The child care plan that we had installed across the country is addressing these very issues. The housing affordability piece in budget 2022 and Bill C-19 is addressing these very issues. The makeup and the buildup toward a greener economy are addressing these issues.

I will remind members in the House that inflation and COVID are not specifically Canadian things. They are worldwide phenomena. Right now is the proper time to invest in Canadians and ensure that they have that foundation to lift up the economy in Canada and globally.

[Xavier Barsalou-Duval, Bloc, Pierre-Boucher—Les Patriotes—Verchères, QC]

Madam Speaker, my colleague across the way talked a lot about the impact of inflation on people and what needs to be done to limit that impact. People have been hit hard by this.

She and I are roughly the same age and therefore probably from the same generation. I am concerned about the people who came before us, those who built our country and Quebec, including seniors who have been hit hard. Year after year, they complain about not getting an adequate increase to their pension.

This time it is even worse because, in addition to the fact that the government is doing nothing, inflation continues to rise. I wonder whether my colleague is proud of her government's record, given how badly it has failed seniors.

[Iqra Khalid, Liberal, Mississauga—Erin Mills, ON]

Madam Speaker, absolutely, I am proud that it was this government that enhanced the CPP so that future seniors will have more pension to live on.

I am proud of this government for increasing old age security. I am proud of this government for investing in affordable housing and investing in long-term care for our seniors.

Bill C-19 shows us the empathy and the care that we have to really build upon in Canada to ensure that seniors in my riding of Mississauga—Erin Mills and that member's riding, as well, are able to thrive and sustain themselves.

[Gord Johns, NDP, Courtenay—Alberni, BC]

Madam Speaker, it is a huge privilege and honour to rise today on the budget implementation act, Bill C-19. I am also very grateful to serve the federal NDP as the critic for mental health and harm reduction.

There are many things in this budget that are a movement toward progress. There are many areas of this budget where there are huge shortfalls. I really want to follow up on what my colleague for Mississauga—Erin Mills spoke about recently, which is housing, because housing has such an impact not just on the economy for small businesses, workers and volunteers in our communities but also on people's mental health, especially when we are seeing the skyrocketing rates of real estate and rents that are out of touch for Canadians. The people who are the most impacted are workers, seniors and those who are the most marginalized. People who were not homeless before are becoming homeless because they are being pushed out onto the streets.

In my home riding and the community I live in, Port Alberni, we saw real estate go up in the last year by 46%. In Oceanside, it went up 34%. The average price of a home is over $1 million, yet we have seen wages remain fairly stagnant. I am probably the only member of Parliament in the House who, after being elected, moved away from his home community to better serve his riding and cannot actually move home. This is because the price of real estate in my home community of Tofino has gone up 400% since I was elected. This not only has an impact on me, but we can imagine the workers in Tofino and how impossible it is for them, or for the small businesses that require workers.

I know this is a huge challenge. We heard solutions come from the Liberals and questions from the Conservatives about housing, but they are fairly consistent in that they have centred their efforts around the free market. The free market will not solve these problems.

I grew up in the seventies and eighties in Victoria, British Columbia. I am really proud of where I grew up and the community I lived in. It took leadership and worked with the federal government to develop some co-ops. As we know, Canada went on a robust co-op housing program that was actually developed through a minority government of the Liberals and the federal NDP working together in the early seventies under our leader David Lewis. It was that agreement that got the national housing program going. They started to develop about 25,000 units on average throughout the 1970s and 1980s.

I was really fortunate to grow up in a co-op housing development. My dad was a transmission mechanic. He still is, actually, and is in his early seventies. He has been working on transmissions for over 50 years. I am so proud of my dad. My mom worked at HRDC as a clerk. They were middle class, if we want to call it that. I am proud of my mom, and it was Mother's Day yesterday. To my mom I say that I know I was not home, but happy Mother's Day. I love my mom and thank her so much. To all the moms in our community, I give thanks.

My parents worked really hard. The co-op was unique in that it provided safe, secure and affordable housing for my mom and dad and my brother Rob and I, but it also provided safe and secure housing for seniors, single parents, people of lower incomes and people on income assistance. I can go back to that co-op in Victoria to this day and some of the friends I grew up with are grandparents and live in that co-op. Their kids and their grandkids live in that co-op.

The problem is that there are not enough co-ops anymore. When the government pulled out of building co-ops and pulled out of the national housing strategy in the early 1990s, we lost 25,000 units a year. We are talking about over 750,000 units to this day in the shortfall of co-op housing.

I was visiting my friends John and Beth last night, who live in co-op housing here in Ottawa. They received safe and secure housing. They were on a wait-list for four years, terrified, which impacted their mental health. They were working two or three jobs and trying to figure out how they were going to make ends meet. They wanted to make sure their daughter Kira could live in a co-op, but they are not even taking names now in the co-op where they live because the wait-list is so long.

In fact, my daughter, who just graduated from the University of Ottawa, dropped me off today and she said, “Dad, I can't talk about ever owning a home, because I don't want to be disappointed.” It is just terrible that this is what we are leaving our children and the people in our communities.

We can look to Europe. First, I will go back to where we are at. We were at 10% of our housing being non-market housing in the 1970s and 1980s. Now we are at about 3%. We can look to Europe, which is at 30%, and Vienna, which is at 60%, because they understand how important it is to have safe, secure and affordable housing. The free market is not going to give us that. It has not. We are developing very rapidly on Vancouver Island.

I sat in local government in Tofino. I remember how frustrated we were when the federal government downloaded to provinces, which then further downloaded to local governments. I was part of the initial Tofino housing corporation. I am proud that today we are finally building a development that we talked about 20 years ago. Here we were, this small local government: this small municipality was trying to figure out how we were going to develop non-market housing to meet the needs of our community.

What a task for small communities to take on. They do not have the expertise or aptitude, and often do not have the leadership. They do not know how to do it. I can assure the House that if the federal government puts money on the table, local governments will access it. They will find the land.

Our province of British Columbia is building half of the non-market housing in the country right now. It needs a federal partner to go to the lengths it is going to. The province just had applications for over 12,500 shovel-ready units by local governments: local non-profit housing. They had funding for 2,500. It would have been great to see the federal government pick up the other 2,500. We are halfway there on shovel-ready developments that could help make sure people have affordable housing.

I get frustrated. I look to my community. We have a non-profit housing group in Ucluelet. Randy Oliwa called me the other day and said, “Gord, we can't even get an answer on a $5,000 planning grant to get things off the ground.” The Beaufort Hotel was being purchased. It is a hotel that already has low-barrier housing and private sector housing. The group made an application through the rapid housing initiative. The applicants were told that it looked very positive, but they got denied because they were oversubscribed. They had $5 billion in applications and they only had $1 billion on the table.

They were told to reapply, so they reapplied and got denied again. They decided to apply through the women and children shelter and transitional housing fund, and then got denied again. They brought in Lookout, a great partner from Vancouver, to develop non-market housing and ensure that the people living in this building were not going to get punted and thrown out on the streets. Again, they got denied. Now they are using the co-investment fund. The steps and hurdles these groups have to go through to make sure people have affordable housing are just ridiculous.

I want to speak a little about how important housing is, not just for small businesses, workers and people in our communities, but also to ensure that people are not suffering: those who are on the streets and who may be living with a substance use disorder. I was at a low-barrier housing unit in Duncan, B.C., where they built these sleeper cottages. I met a man who had his first home. It was basic needs. It was not low barrier; it was no barrier. For the first time in his adult life, he told me, he was not homeless or living in prison. He was on opioid therapy as a result, which he could never access living as a homeless person. He was treated like a criminal: He was moved from park to park, living in fear and not sleeping.

Another woman I met at the same low-barrier housing was moving to low-barrier from no-barrier housing. As a result of having that, she had been sober for eight months. For the first time in her adult life, she has a chance. Without housing, how can people have mental health? When people are homeless, they do not sleep.

The Prime Minister's goal to house 50% of the homeless people in the next 10 years is not good enough. It is not good enough. We need to move rapidly. We need to build non-market housing, and the government needs to step up its game. We need all parties to work collectively on this, because the free market simply will not solve the problems of our needs right now. Housing is a basic human need. It is a human rights issue. It is an economic issue. It is a social issue.

I have not even tapped into indigenous housing, because I am being told I am running out of time. I could speak another 10 minutes on that alone. I hope we can work together in the House to scale things up rapidly.

[Lloyd Longfield, Liberal, Guelph, ON]

Madam Speaker, I want to thank the member across the way for his passion around housing, as well as mental health and harm reduction.

I was waiting for the member to talk about the budget allocations for co-op housing. He talked about the need for co-op housing, and I 100% agree with him on that. I am quoting the executive director of the Co-operative Housing Federation of Canada, Tim Ross, who said, “Starting with 6,000 new homes over the next five years, we are optimistic that the new co-operative housing development program will kick-start the development of the next generation of co-op housing at scale in Canada.”

There is $1.5 billion there. He ended with indigenous and northern housing. I am looking at the $300 million going towards indigenous and northern housing. Could the member comment on how we are finally getting a start where we need to see it?

[Gord Johns, NDP, Courtenay—Alberni, BC]

Madam Speaker, I would say we are getting a start and we are talking about thousands now when it comes to co-op housing, but it falls far short of the 25,000 units we were building per year in the 1970s and 1980s. That is still 19,000 short of what we were doing then. How are we going to make up the gap?

Right now, the federal government's plan in terms of filling the workforce labour market shortage is to bring in new immigrants, but it does not tie housing to immigration. There are huge problems when it comes to the lack of cohesive planning, when it comes to housing and ensuring that we have a strong workforce.

In terms of indigenous housing, there is some money in the budget, which New Democrats helped negotiate, to get this agreement going. We talked about the agreement as the floor. We have much work to do. I have lots more to say on this, and I will.

[Raquel Dancho, Conservative, Kildonan—St. Paul, MB]

Madam Speaker, I appreciated the member's personal journey and story with co-op housing. I thought he did an excellent job, but I would like to ask him about the issues facing those who need government housing, particularly with inflation.

There are a lot of seniors in my riding who could use the housing described by the member. They live on very fixed incomes, so when inflation goes up 6% or 7%, that may not sound like a lot to folks in this room, but when people have only $100 a month for groceries, it is a lot and it really impacts their ability to eat well and feed themselves. We are seeing this impact families as well.

I would like the member to comment on the impact inflation is having on his constituents and whether he is at all concerned that the Liberal government is not addressing this.

[Gord Johns, NDP, Courtenay—Alberni, BC]

Madam Speaker, we have skyrocketing inflation, but we also have a skyrocketing concentration of wealth and skyrocketing inequality. We have seen grocery store prices and fuel prices go up. We see bank fees go up, and yet banks are having record profits. Grocery stores have record profits. Oil companies have record profits. How is that flowing down to seniors? How is that flowing down to Canadians? It is flowing down in increased costs to them and increased profits to the richest Canadians and shareholders.

What we need is some balance. Corporate taxes have gone from 28% to 15%, and yet people cannot find a place to live in our country. We need to bring a median to this situation and it needs to happen rapidly. Fairness is not happening right now. Inequality is skyrocketing, and we need to address that. It is part of the solution when it comes to taking on inflation and ensuring that people get the best support they can, and there is money. We can make sure that the wealthiest people can pay their fair share. That is a beginning in taking on this crisis, and we absolutely need to do more.

[Elizabeth May, Green, Saanich—Gulf Islands, BC]

Madam Speaker, I want to support a point raised earlier in the House by the hon. member for North Island—Powell River and ask her colleague from Courtenay—Alberni if he is also concerned for seniors who served in our military and former judges, but particularly those who were in the military and the RCMP. Right now, if they remarry after age 65, they do not get to convey any survivor benefits to their surviving spouses. It is called the gold-digger clause, going back to former finance minister Bill Morneau. The Liberals promised to get rid of it, but they have not.

I wonder if the hon. member has any comments on that.

[Gord Johns, NDP, Courtenay—Alberni, BC]

Madam Speaker, it seems there is commonality in that not just veterans, but seniors are being targeted, and there needs to be more work. The gold-digger clause absolutely needs to be revoked. It is discriminatory to Canada's veterans, the people who put their lives on the line so that we have a fair and free society. We are indebted to them, and we owe them the benefits that every Canadian deserves. This is an unfair penalty on the very people we should be supporting the most.

[Patrick Weiler, Liberal, West Vancouver—Sunshine Coast—Sea to Sky Country, BC]

Madam Speaker, two weeks ago, I had the privilege of rising in the House to speak to the many ways that budget 2022 will improve the lives of Canadians. Today, I have the privilege to speak to how the rubber would hit the road with the budget implementation act.

There are so many topics I would like to cover, but in the short time I have, I am just going to choose one because we are finally setting in motion the changes that are outlined in this bill, and this is a topic that deserves debate in the chamber. These changes are increasing the transparency and accountability in our financial system and in land ownership through legislative changes that would result in the creation of a registry for beneficial ownership.

Canada has developed a reputation as a haven for money laundering, tax evasion and other financial crimes due to the relative sophistication of our banking sector and the opacity, which is a defining characteristic of our corporate and land ownership. This reputation has led Canada to have an internationally recognized term for money laundering, which is “snow washing”. It refers to the fact that anonymously owned corporations in Canada are presumed by banks and other financial institutions as being legitimate without the transparency that should underpin such a determination.

An expert panel on money laundering in B.C. real estate estimated that, in 2018, some $46 billion in list funds were laundered in Canada, much of it moving through real estate. The 2017 analysis by Transparency International found that Canada had the weakest corporate transparency rules in the G20, tied only with South Korea.

Why does this matter? Few realize that white-collar crime such as this has very real impacts, even if it may not be obvious from the beginning. The fact is that these vulnerabilities feed directly into the largest challenges we face in the present day. Consider the example of the Vancouver model of money laundering. In this model, opioids are shipped in large quantities from China to Canada as a way of Chinese residents moving capital out of China to the safe haven of Canada by evading the country's currency export controls of $50,000 U.S. per year. The proceeds from the drug trade are laundered through casinos or invested in, among other things, Canadian real estate, where it is purchased through blind trusts or numbered companies with the real owners obscured.

Money laundering not only supports criminals. It is also estimated to have contributed to a 5% increase in the price of housing in B.C. as of 2018. When studies show that we do not know the true owners of over half of the 100 most expensive properties in B.C., we know that it is not just causing more housing unaffordability, it may also be linked to tax evasion of our treatment of principal residences. Importantly, it is also fuelling the deadly health emergency we have in the province of B.C., which is the opioid epidemic. Dirty and dark money comes from both domestic and foreign sources.

In the House, it has been a source of great pride to see how members of all parties have come together to support our Ukrainian friends who have been victimized by the brutal invasion of Vladimir Putin. One of the main tools we have relied on has been the use of targeted sanctions on Putin's inner circle. This budget implementation act indeed contains measures that will create the conditions for the seizing and disposal of assets from sanctioned individuals. However, when the ownership of assets is undertaken through complex, international schemes of shell companies in countries that have similar opaque corporate registries, then we currently have very little ability to determine who the real owners of assets are in Canada, which are held in Canadian banks, and our sanctions, therefore, have limited effect.

It is abundantly clear that we need to act, and through measures in this budget, we are doing just that. We are reviewing and strengthening our anti-money laundering and terrorist financing regime by extending the current system to monitor payment service providers and crowd-funding platforms for money laundering and terrorist financing. About $90 million is provided to FINTRAC to significantly expand and modernize its ability to detect and prevent financial crime.

We are also taking the first steps to establish a new Canada financial crimes agency, which will become Canada's lead enforcement agency for financial crimes. This is important because we need to have financial and accounting experts in law enforcement and the public prosecution services to effectively tackle complex, white-collar crime cases.

Most importantly, we are amending the Canada Business Corporations Act to implement a public and searchable beneficial ownership registry, which would be available by the end of 2023. This will require that corporations report the identities of those who own and control significant portions of any corporation. It will allow law enforcement, the CRA, banks, journalists and the public at large to see exactly who owns any given company and ensure that criminals can no longer hide behind anonymous numbered corporations. Beneficial ownership registries are the gold standard when it comes to combatting corporate financial crime, and this has been recognized throughout the world.

In fact, this is not even going to be the first beneficial ownership registry in Canada, as B.C. has had a land registry since May 2019. However, unfortunately, what was supposed to be a world-leading system has been plagued by delays, unclear and poorly defined rules and heretofore a lack of compliance. The system should be in place by the end of this year, but that already puts it a year behind schedule. The registry currently has information on only 46,000 owners with a total of 73,000 properties, which is just a tiny fraction of the 2.2 million titles in British Columbia. Therefore, it is crucial that when we develop our federal beneficial ownership registry, we learn through some of the challenges that British Columbia has had and adopt some of the best practices that we can find from around the world.

The U.K., as one of the first countries to create a publicly accessible beneficial ownership registry, has one of the best systems in the world so far. U.K. companies are required to keep an up-to-date register of people with significant control over it, meaning anyone who holds more than 25% of the shares or voting rights of a company, either directly or indirectly, through another company or trust. Failure to comply with this is a criminal offence, not only for the company but also for the officers of the company. In the wake of Russia's invasion of Ukraine, the U.K. has expanded its register to apply to land ownership to give the government the ability to require identity verification for people who manage, control or just set up companies.

There are uniquely Canadian challenges that we will need to face as we build our own beneficial ownership registry. Unlike the U.K., Canada is a federal system where provinces and territories have jurisdiction over real property and for federally incorporated entities. This covers an enormous number of the entities that we need to have transparency on, so we will need to work with such partners to ensure that we have a national system that works. We have a national registry for money services businesses, regardless of where in Canada they are registered. This system was also created to combat money laundering and is centrally administered by FINTRAC.

There are many forms that this system could take, but what is most important is that the data is standardized to make it easier for law enforcement to analyze, for simplifying regulatory compliance and to minimize the regulatory burden on companies that operate in multiple jurisdictions in Canada. What is most important is that this registry be publicly accessible and free to access. This is important because we know that law enforcement has a limited capacity to monitor the millions of corporate structures in Canada. The public, particularly the press, has the ability to play a role to connect the dots and uncover wrongdoing that can assist in uncovering illegal actions as well.

To give an example of why this is important, I note that B.C.'s land ownership registry was not able to find any property owned by a sanctioned individual. It was only due to leaks that were involved in the Paradise papers that we were able to find a single piece of land in British Columbia, in the riding of the member for Saanich—Gulf Islands, connected to a sanctioned individual. That really shows the value of investigative reporting.

I would like to end by saying the following. We know the impact of financial crime is deep and far-reaching. It is clear that we need to act decisively and think big to mitigate the negative effects of money laundering and tax evasion, and to catch those who are using Canadian property and corporations to transfer, hide and launder their money in Canada. Now is the time to take lessons learned from jurisdictions around the world, calibrate them to the Canadian context and develop a system that will make Canada a leader in preventing financial crime.

Budget 2022 contains the building blocks for a financial system that has more integrity, and I look forward to working with my colleagues from all parties in the House to pass this bill as a first step in getting dirty money out of Canada.