Bill C-59

Fall Economic Statement Implementation Act, 2023

An Act to implement certain provisions of the fall economic statement tabled in Parliament on November 21, 2023 and certain provisions of the budget tabled in Parliament on March 28, 2023

Part 1 implements certain measures in respect of the Income Tax Act and the Income Tax Regulations by
(a) limiting the deductibility of net interest and financing expenses by certain corporations and trusts, consistent with certain Organisation for Economic Co-operation and Development and the Group of Twenty Base Erosion and Profit Shifting project recommendations;
(b) implementing hybrid mismatch rules consistent with the Organisation for Economic Co-operation and Development and the Group of Twenty Base Erosion and Profit Shifting project recommendations regarding cross-border tax avoidance structures that exploit differences in the income tax laws of two or more countries to produce “deduction/non-inclusion mismatches”;
(c) allowing expenditures incurred in the exploration and development of all lithium to qualify as Canadian exploration expenses and Canadian development expenses;
(d) ensuring that only genuine intergenerational business transfers are excluded from the anti-surplus stripping rule in section 84.1 of the Income Tax Act ;
(e) denying the dividend received deduction for dividends received by Canadian financial institutions on certain shares that are held as mark-to-market property;
(f) increasing the rate of the rural supplement for Climate Action Incentive payments (CAIP) from 10% to 20% for the 2023 and subsequent taxation years as well as referencing the 2016 census data for the purposes of the CAIP rural supplement eligibility for the 2023 and 2024 taxation years;
(g) providing a refundable investment tax credit to qualifying businesses for eligible carbon capture, utilization and storage equipment;
(h) providing a refundable investment tax credit to qualifying businesses for eligible clean technology equipment;
(i) introducing, under certain circumstances, labour requirements in relation to the new refundable investment tax credits for eligible carbon capture, utilization and storage equipment as well as eligible clean technology equipment;
(j) removing the requirement that credit unions derive no more than 10% of their revenue from sources other than certain specified sources;
(k) permitting a qualifying family member to acquire rights as successor of a holder of a Registered Disability Savings Plan following the death of that plan’s last remaining holder who was also a qualifying family member;
(l) implementing consequential changes of a technical nature to facilitate the operation of the existing rules for First Home Savings Accounts;
(m) introducing a tax of 2% on the net value of equity repurchases by certain Canadian corporations, trusts and partnerships whose equity is listed on a designated stock exchange;
(n) exempting certain fees from the refundable tax applicable to contributions under retirement compensation arrangements;
(o) introducing a technical amendment to the provision that authorizes the sharing of taxpayer information for the purposes of the Canadian Dental Care Plan;
(p) implementing a number of amendments to the general anti-avoidance rule (GAAR) as well as introducing a new penalty applicable to transactions subject to the GAAR and extending the normal reassessment period for the GAAR by three years in certain circumstances;
(q) facilitating the creation of employee ownership trusts;
(r) introducing specific anti-avoidance rules in relation to corporations referred to as substantive CCPCs; and
(s) extending the phase-out by three years, and expanding the eligible activities, in relation to the reduced tax rates for certain zero-emission technology manufacturers.
It also makes related and consequential amendments to the Excise Tax Act and the Excise Act, 2001 .
Part 2 enacts the Digital Services Tax Act and its regulations. That Act provides for the implementation of an annual tax of 3% on certain types of digital services revenue earned by businesses that meet certain revenue thresholds. It sets out rules for the purposes of establishing liability for the tax and also sets out applicable reporting and filing requirements. To promote compliance with its provisions, that Act includes modern administration and enforcement provisions generally 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 tax and cohesive and efficient administration by the Canada Revenue Agency.
Part 3 implements certain Goods and Services Tax/Harmonized Sales Tax (GST/HST) measures by
(a) ensuring that an interest in a corporation that does not have its capital divided into shares is treated as a financial instrument for GST/HST purposes;
(b) ensuring that interest and dividend income from a closely related partnership is not included in the determination of whether a person is a de minimis financial institution for GST/HST purposes;
(c) ensuring that an election related to supplies made within a closely related group of persons that includes a financial institution may not be revoked on a retroactive basis without the permission of the Minister of National Revenue;
(d) making technical amendments to an election that allows electing members of a closely related group to treat certain supplies made between them as having been made for nil consideration;
(e) ensuring that certain supplies between the members of a closely related group are not inadvertently taxed under the imported taxable supply rules that apply to financial institutions;
(f) raising the income threshold for the requirement to file an information return by certain financial institutions;
(g) allowing up to seven years to assess the net tax adjustments owing by certain financial institutions in respect of the imported taxable supply rules;
(h) expanding the GST/HST exemption for services rendered to individuals by certain health care practitioners to include professional services rendered by psychotherapists and counselling therapists;
(i) providing relief in relation to the GST/HST treatment of payment card clearing services;
(j) allowing the joint venture election to be made in respect of the operation of a pipeline, rail terminal or truck terminal that is used for the transportation of oil, natural gas or related products;
(k) raising the input tax credit (ITC) documentation thresholds from $30 to $100 and from $150 to $500 and allowing billing agents to be treated as intermediaries for the purposes of the ITC information rules; and
(l) extending the 100% GST rebate in respect of new purpose-built rental housing to certain cooperative housing corporations.
It also implements an excise tax measure by creating a joint election mechanism to specify who is eligible to claim a rebate of excise tax for goods purchased by provinces for their own use.
Part 4 implements certain excise measures by
(a) allowing vaping product licensees to import packaged vaping products for stamping by the licensee and entry into the Canadian duty-paid market as of January 1, 2024;
(b) permitting all cannabis licensees to elect to remit excise duties on a quarterly rather than a monthly basis, starting from the quarter that began on April 1, 2023;
(c) amending the marking requirements for vaping products to ensure that the volume of the vaping substance is marked on the package;
(d) requiring that a person importing vaping products must be at least 18 years old; and
(e) introducing administrative penalties for certain infractions related to the vaping taxation framework.
Part 5 enacts and amends several Acts in order to implement various measures.
Subdivision A of Division 1 of Part 5 amends Subdivision A of Division 16 of Part 6 of the Budget Implementation Act, 2018, No. 1 to clarify the scope of certain non-financial activities in which federal ‚financial institutions may engage and to remove certain discrepancies between the English and French versions of that Act.
Subdivision B of Division 1 of Part 5 amends the Trust and Loan Companies Act , the Bank Act and the Insurance Companies Act to, among other things, permit federal financial institutions governed by those Acts to hold certain meetings by virtual means without having to obtain a court order and to permit voting during those meetings by virtual means.
Division 2 of Part 5 amends the Canada Labour Code to, among other things, provide a leave of absence of three days in the event of a pregnancy loss and modify certain provisions related to bereavement leave.
Division 3 of Part 5 enacts the Canada Water Agency Act . That Act establishes the Canada Water Agency, whose role is to assist the Minister of the Environment in exercising or performing that Minister’s powers, duties and functions in relation to fresh water. The Division also makes consequential amendments to other Acts.
Division 4 of Part 5 amends the Tobacco and Vaping Products Act to, among other things,
(a) authorize the making of regulations respecting fees or charges to be paid by tobacco and vaping product manufacturers for the purpose of recovering the costs incurred by His Majesty in right of Canada in relation to the carrying out of the purpose of that Act;
(b) provide for related administration and enforcement measures; and
(c) require information relating to the fees or charges to be made available to the public.
Division 5 of Part 5 amends the Canadian Payments Act to, among other things, provide that additional persons are entitled to be members of the Canadian Payments Association and clarify the composition of that Association’s Stakeholder Advisory Council.
Division 6 of Part 5 amends the Competition Act to, among other things,
(a) modernize the merger review regime, including by modifying certain notification rules, clarifying that Act’s application to labour markets, allowing the Competition Tribunal to consider the effect of changes in market share and the likelihood of coordination between competitors following a merger, extending the limitation period for mergers that were not the subject of a notification to the Commissioner of Competition and placing a temporary restraint on the completion of certain mergers until the Tribunal has disposed of any application for an interim order;
(b) improve the effectiveness of the provisions that address anti-competitive conduct, including by allowing the Commissioner to review the effects of past agreements and arrangements, ensuring that an order related to a refusal to deal may address a refusal to supply a means of diagnosis or repair and ensuring that representations of a product’s benefits for protecting or restoring the environment must be supported by adequate and proper tests and that representations of a business or business activity for protecting or restoring the environment must be supported by adequate and proper substantiation;
(c) strengthen the enforcement framework, including by creating new remedial orders, such as administrative monetary penalties, with respect to those collaborations that harm competition, by creating a civilly enforceable procedure to address non-compliance with certain provisions of that Act and by broadening the classes of persons who may bring private cases before the Tribunal and providing for the availability of monetary payments as a remedy in those cases; and
(d) provide for new procedures, such as the certification of agreements or arrangements related to protecting the environment and a remedial process for reprisal actions.
The Division also amends the Competition Tribunal Act to prevent the Competition Tribunal from awarding costs against His Majesty in right of Canada, except in specified circumstances.
Finally, the Division makes a consequential amendment to one other Act.
Division 7 of Part 5 amends the Bankruptcy and Insolvency Act and the Companies’ Creditors Arrangement Act to exclude from their application prescribed public post-secondary educational institutions.
Subdivision A of Division 8 of Part 5 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to, among other things,
(a) provide that, if a person or entity referred to in section 5 of that Act has reasonable grounds to suspect possible sanctions evasion, the relevant information is reported to the Financial Transactions and Reports Analysis Centre of Canada;
(b) add reporting requirements for persons and entities providing certain services in respect of private automatic banking machines;
(c) require declarations respecting money laundering, the financing of terrorist activities and sanctions evasion to be made in relation to the importation and exportation of goods; and
(d) authorize the Financial Transactions and Reports Analysis Centre of Canada to disclose designated information to the Department of the Environment and the Department of Fisheries and Oceans, subject to certain conditions.
It also amends the Budget Implementation Act, 2023, No. 1 in relation to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and makes consequential amendments to other Acts and a regulation.
Subdivision B of Division 8 of Part 5 amends the Criminal Code to, among other things,
(a) in certain circumstances, provide that a court may infer the knowledge or belief or recklessness required in relation to the offence of laundering proceeds of crime and specify that it is not necessary for the prosecutor to prove that the accused knew, believed they knew or was reckless as to the specific nature of the designated offence;
(b) remove, in the context of the special warrants and restraint order in relation to proceeds of crime, the requirement for the Attorney General to give an undertaking, as well as permit a judge to attach conditions to a special warrant for search and seizure of property that is proceeds of crime; and
(c) modify certain provisions relating to the production order for financial data to include elements specific to accounts associated with digital assets.
It also makes consequential amendments to the Seized Property Management Act and the Forfeited Property Sharing Regulations .
Division 9 of Part 5 retroactively amends section 42 of the Federal-Provincial Fiscal Arrangements Act to specify the payments about which information must be published on a Government of Canada website, as well as the information that must be published.
Division 10 of Part 5 amends the Public Sector Pension Investment Board Act to increase the number of directors in the Public Sector Pension Investment Board, as well as to provide for consultation with the portion of the National Joint Council of the Public Service of Canada that represents employees when certain candidates are included on the list for proposed appointment as directors.
Division 11 of Part 5 enacts the Department of Housing, Infrastructure and Communities Act , which establishes the Department of Housing, Infrastructure and Communities, confers on the Minister of Infrastructure and Communities various responsibilities relating to public infrastructure and confers on the Minister of Housing various responsibilities relating to housing and the reduction and prevention of homelessness. The Division also makes consequential amendments to other Acts and repeals the Canada Strategic Infrastructure Fund Act .
Division 12 of Part 5 amends the Employment Insurance Act to, among other things, create a benefit of 15 weeks for claimants who are carrying out responsibilities related to
(a) the placement with the claimant of one or more children for the purpose of adoption; or
(b) the arrival of one or more new-born children of the claimant into the claimant’s care, in the case where the person who will be giving or gave birth to the child or children is not, or is not intended to be, a parent of the child or children.
The Division also amends the Canada Labour Code to create a leave of absence of up to 16 weeks for an employee to carry out such responsibilities.

Fall Economic Statement Implementation Act, 2023

[Wayne Long, Liberal, Saint John—Rothesay, NB]

Mr. Speaker, one thing that is very clear is that the Conservatives are going to axe the tax, as I have heard time and time again. However, I would ask the member opposite what other programs are going to be axed by her and her party. Are they going to axe child care? Are they going to axe the Canada child benefit?

The member spoke very passionately about what families cannot afford, yet she voted against child care, dental care and other programs that would save families thousands of dollars a month. Therefore, I would ask the member opposite what programs she and her party will axe.

[Laila Goodridge, Conservative, Fort McMurray—Cold Lake, AB]

Mr. Speaker, first of all, we plan to axe Liberal members of Parliament from right across the country, so that is a simple one. We also plan to axe interest rates because Canadians deserve affordability. As well, we plan to axe inflation so Canadians can keep more of the money they have worked hard to earn.

Frankly, it is very hypocritical for a member from Atlantic Canada who got a carve-out on the carbon tax and does not have to pay the tax on their home heating this winter to tell me that somehow people in the Prairies deserve to continue paying carbon tax on home heating in -50°C weather.

I will not take any lessons from that side.

[Rhéal Fortin, Bloc, Rivière-du-Nord, QC]

Mr. Speaker, I thank my colleague for her speech. However, I have some questions about what she is telling us. She is talking again about getting rid of taxes, saying, “Axe the Tax”.

We see in this budget that $30.3 billion are granted in subsidies to the oil and gas industry in the form of tax credits, meaning that all taxpayers in Quebec and Canada will subsidize the oil and gas industry, which we are trying to transform to develop clean energy. Apparently $30 billion is not enough for my colleague or for the rest of the Conservative members of Parliament who want us to get rid of taxes and give more to oil and gas companies.

We also see in this budget that a department of municipal affairs is being created, which is in violation of the Charter.

Does my colleague think it is a good thing to pour $30 billion into subsidies to the oil and gas industry?

Also, what does she think of the federal government creating a kind of department of municipal affairs to be called the department of housing, infrastructure and communities? What does she think of this interference in areas under the jurisdiction of Quebec and the provinces?

[Laila Goodridge, Conservative, Fort McMurray—Cold Lake, AB]

Mr. Speaker, I know that voting for the Bloc Québécois is very costly.

One of the problems we see is that the Bloc supports and continues to support the Liberal Party's ever-increasing expenses. It continues to vote in favour of Liberal budgets that increase costs for all Canadians and Quebeckers.

The Conservative Party will continue to build a country where Canadians can keep the money they worked very hard to earn.

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

Mr. Speaker, we are now two years into the brutal invasion of Ukraine by Putin and the mass killing of people in Ukraine, yet the member voted against Operation Unifier, which is a fundamental connection supporting the people of Ukraine, while the Trump MAGA team has attacked Ukraine and while Danielle Smith brings a white supremacist and Putin troll to Alberta to celebrate. He is a man who has attacked Zelenskyy and the people of Ukraine.

How dare the member stand and support the Putin machine and undermine the people of Ukraine?

[Laila Goodridge, Conservative, Fort McMurray—Cold Lake, AB]

Mr. Speaker, in my previous answer to one of my Liberal colleagues who asked what I was going to cut, I forgot to say that I really want to cut the NDP member for Timmins—James Bay—

[Some hon. members]

Oh, oh!

[The Deputy Speaker, Conservative, Chris d'Entremont]

Order. A question was asked, and I want to hear the answer. I cannot hear it with everything going on.

I will allow the member for Fort McMurray—Cold Lake to start again.

[Laila Goodridge, Conservative, Fort McMurray—Cold Lake, AB]

Mr. Speaker, in my previous answer, I said I wanted to cut Liberal members of Parliament. I also want to cut the NDP member for Timmins—James Bay because, frankly, he is not serving his constituents. He voted to keep the carbon tax on home heating for his constituents in northern Ontario, and that is absolutely shameful.

Frankly, as a proud Ukrainian Canadian, I have continued to stand up for Ukraine. I do not understand in any way, shape or form how Liberals and New Democrats can get up on their high horse and supposedly support Ukraine while they allowed a turbine that fuels Putin's war machine to go back there. I also do not understand why they are refusing to support Canada's oil and gas industry, which could be providing gas to Europe and around the world and starving Putin's war machine. Instead, they want Putin to continue producing oil and gas, undermining Ukraine.

I am sorry; I am not going to take any lessons from the member.

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

Mr. Speaker, I have to comment on the last answer we heard from the Conservative member, because it somewhat defies the reality of what the Conservative Party's actions are versus what some of the members actually say when it comes to Canada and Ukraine and the need for Canada to support Ukraine in a very real and tangible way.

Just last December we had a series of votes. I want to make reference to how the member actually voted when it came to Ukraine. There was a vote for Ukrainian immigrants settling in Canada, with respect to helping them find accommodation and receiving initial financial support. She actually, as all the Conservatives did, voted no to that. They also voted no to training Ukrainian soldiers through Operation Unifier. Not to be outdone, they also voted no to Canada's NATO mission.

The real twist on this is the Conservative Party's approach to the Canada-Ukraine trade agreement. Imagine the President of Ukraine, at a time of war, coming to Canada and signing a trade agreement with the Prime Minister. The expectation of the community of Ukrainian heritage, which is well over 1.3 million people, not to mention of a vast majority of others, was that the Conservative Party would support that particular Canada-Ukraine deal. In my original comments on the legislation, I suggested that the Conservatives would be supporting it. Boy, was I wrong. It is unbelievable.

That is where there is a whole mix-up as the Conservatives try to throw a red herring as to why they are voting against the trade agreement. What they are saying is that it is because of the carbon tax and that they do not think Canada should be imposing a carbon tax on the people of Ukraine. News for them, as one of them applauds, is that Ukraine already has a price on pollution. It has had a price on pollution since 2011. This means that even when Stephen Harper was prime minister, the people of Ukraine were farther ahead in recognizing the climate reality than the Conservative Party was in 2011.

Why, then, are Conservatives opposing the Canada-Ukraine agreement? It is because of what many are suggesting is the far right element, the MAGA Conservative movement, which is kind of creeping up from the United States and seeping into Canada. It is being advocated by no one other than the leader of the Conservative Party and the minions of Conservative MPs who sit behind the leader to talk—

[Some hon. members]

Oh, oh!

[The Deputy Speaker, Conservative, Chris d'Entremont]

I want to remind folks not to cause disorder in the House. It comes from both sides. I want to make sure we have good debate on the bill before us and on the amendment.

The hon. parliamentary secretary has the floor.

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Mr. Speaker, the point is that the Conservative Party of today is so extreme that it has even now taken a position that is not in the best interests of the Canada-Ukraine agreement. It is not just the Liberal Party that is saying this. It is usually the New Democrats who vote against trade agreements, but not this trade agreement, because they too recognize the value of it. It is only the Conservative Party that has voted against it.

I have had a couple of meetings. I was hosting a lunch, and a couple of hundred people showed up. They were more than happy to sign a petition on the issue. The issue is that they, much like the Ukrainian Canadian Congress and the Ukrainian ambassador to Canada, want to see the Conservative Party flip-flop and support the Canada-Ukraine deal.

I would encourage the member who spoke and provided that answer to take what she put in the answer, talk among any Conservatives with rational minds and see whether they can meet with the leader of the Conservative Party and get him to come onside and support the Canada-Ukraine trade agreement.

That was not what I was going to talk about today. I was going to talk about the Canadian economy and the types of things we are hearing.

I love the idea of contrasting the Liberal Party and the government's policy with what the Conservative Party is saying. Let us do the contrast. The Conservatives came in yesterday, and they were all gleeful and happy, saying they have four priorities and were going to hit a home run on them. What were the four priorities? There were at least a half-dozen members who talked about them yesterday.

I will give an example. Their shiny one is the bumper sticker that is going to read, “Axe the tax.” I will stay away from the idea that the Conservatives are climate deniers and do not have any policy on the issue of climate change and the impact it is having on Canadians. Rather, they have a wonderful little slogan they want to use, and it does not matter.

Yesterday I said that the Conservatives' policy would actually be taking money out of the pockets of a majority of the people who live in Winnipeg North, because we have a carbon rebate that goes to the people of Canada. When the leader of the Conservative Party says they are going to axe the carbon tax, that means they are going to axe the carbon rebate too. More than 80% of the constituents I represent get more money from the rebate than they actually pay in the tax.

That would mean less money in their pockets, as a direct result of the Conservatives' ignoring the climate issue and choosing to change their opinion from what they told Canadians in the last federal election, when the Conservative Party, all of it, in its election platform, made very clear that its members supported a price on pollution. It is only under the new leader and with the bumper sticker idea that they have actually done a flip-flop on that particular issue, and now they are prepared to take money out of the pockets of Canadians and completely disregard the importance of sound environmental policy.

That is one of the Conservatives' priorities. What a dud that one is. I will talk about the second dud: their talk about housing. They want Ottawa to play a role in housing. There has not been a government in the last 50 or 60 years that has invested more in housing than the current government has. We are talking about hundreds of millions of dollars.

We are talking about working with provinces, municipalities and non-profit organizations, many different stakeholders, to ensure that Canadians will have the ability to get homes, rent and own, into the future. The federal government has stepped up to the plate in a very real and tangible way.

When the leader of the Conservative Party was housing minister in the Stephen Harper government, he was an absolute disaster. He had no concept of what a housing strategy was, let alone have the ability to construct houses. He now wants to take it on. Really? It just does not make sense.

The federal government, unlike any other government in the last 50 or 60 years, has stepped up to the plate and demonstrated strong national leadership, and we are working with the municipalities, the provinces and other stakeholders on the file. That is something the Conservative Party would not do.

What about the Conservatives' third priority? Their third priority is the budget. People need to be very concerned when Conservatives talk about the budget. This is where the whole hidden agenda comes in. Every so often, we get to see some of that hidden agenda ooze out.

An example I will use is the issue of the Infrastructure Bank. All the members across the way support getting rid of the Canada Infrastructure Bank. Their finance critic made that statement earlier today and we have heard it before, if people want to talk about a dumb idea. It does not matter as facts and reality are completely irrelevant to the Conservative Party.

The reality is the Canada Infrastructure Bank has been exceptionally effective, yet the Conservative Party will say it has not done anything. It says that knowing full well that is just not true. The reality is we are talking somewhere in the neighbourhood of about $10 billion.

Mr. Speaker, if we take a look at $10 billion coming from the Canada Infrastructure Bank, that money is being tripled. In total, that is another $20 billion through different sources because of the investments being made by the Canada Infrastructure Bank.

Members opposite are saying to tell them how many projects there are. At last count, we are talking 48 projects. How many did the Conservative Party say? Zero. We are not talking about the intellectual capabilities of the Conservative Party when I say zero. I am saying that is what it says the number of projects are.

If members do not want to believe me, they can take a look at the website. There are all forms of projects that are not only on the books, ongoing, but are also completed. It is truly amazing.

They are in all different areas of the country: public transit, 11 projects; clean power, eight projects; green infrastructure, 17 projects; and broadband, eight projects. Some of the broadband ones are in Manitoba for rural Internet connections. We would think that many of the rural Conservative MPs might be a little sensitive and want to support that but no.

Keep in mind that in everything we are talking about here, the billions and billions of dollars, a lot of private dollars, the Conservatives oppose it. They oppose that sort of development. That is building a healthier economy. That is building Canadian infrastructure. We all benefit from that.

There is a reason the foreign investment in Canada is as healthy as it is today. It is because, as a government, we support investing. It has paid off significantly. The finance critic was critical of the government, saying we do not have foreign investment. The reality, the facts, play no role in what the Conservative Party says.

At the end of the day, on foreign investment in Canada, on a per capita basis, from last year, in real dollars, Canada was number one in the world. One would think that the Conservatives would understand that concept, yet the finance critic is saying that we are down on foreign investment.

Conservatives cannot accept the reality of good news. In terms of job numbers, there are well over a million new jobs from pre-pandemic levels. That is good news. One would not know that because we constantly have the Conservative Party going out about the nation saying that Canada is broken and is just not working. How does that actually compare to the reality of the situation?

As I pointed out earlier today in a question, if the Conservatives say Canada is broken, they have to believe that the entire world is broken. We can compare some of the measurements that the Conservative Party uses. They talk about things like the inflation rate. Have they taken a look at Canada's inflation rate compared to other G20 countries? Whether we are taking about France, Germany, the U.K., the United States or any of the other countries in the G20, we find that Canada is ranked at the top, in terms of the lowest inflation rates. It is the same for interest rates.

The government policy that we have put in place, whether through budgetary or legislative measures, has helped bring down inflation rates. Even though we recognize that, relatively speaking, compared to the rest of the world, Canada is doing exceptionally well, we still need to do better. That is the reason we are seeing policies being brought in that have made a difference. We will continue to work with Canadians and other levels of government in order to improve conditions. We want an economy that is going to work for all Canadians.

We want to continue to invest in Canada's middle class and those who are aspiring to be a part of it. That should not be a surprise. Virtually since 2015, when we were elected to government, Canada's middle class and those aspiring to be a part of it have been the first priority of the Liberal government. We continue in that area. We continue to support programs that would lift people out of poverty.

We can talk about the GIS increases, the Canada child care benefit and the many different programs we have put in place to support Canadians, pre-pandemic, during the pandemic, and going in and out of some very difficult times that people are experiencing today.

When it comes to the economy or the budget, on priority number three, I warn members to be very much aware of that Conservative hidden agenda. It is going to disappoint a great number of people.

Their fourth point was on the issue of crime. Let us stop and think about that one for a moment. We just brought forward the bail reform legislation that had the support of the provinces, law enforcement agencies and a number of stakeholders from all over the country, and every political party inside the chamber except the Conservative Party. We had filibustering taking place on that important piece of legislation, even though, months prior, the Leader of the Conservative Party said we would pass that bill lickety-split. That did not happen. He wanted to filibuster the legislation, putting the government in a position where we had to force the legislation through.

That is why I say very candidly that, whenever the election is, although I suspect it will be in 2015, at the end of the day, I look forward to being able to share who the Leader of the Conservative Party really is and remind him of some things: the cryptocurrency issue; his talking about firing the governor of the Bank of Canada; the flip-flop about the price of pollution, the flip-flop about Facebook and the big Internet companies. There is so much out there that one is going to be able to go to people's doors and share with Canadians from coast to coast to coast, in contrast to the Liberal Party with a solid record of working with Canadians, supporting Canadians. Compare that to a Conservative Party that does not even have an idea about the environment nowadays, that does not want to tell Canadians what its real agenda is all about.

I love to make that contrast. I look forward to many more days, months and a couple of years of debate, no doubt.

[The Deputy Speaker, Conservative, Chris d'Entremont]

First of all, I just need to help the hon. member with his math. We are not having an election in 2015. It could be in 2025 but 2015 has already gone by.

Questions and comments, the hon. member for York—Simcoe.

[Scot Davidson, Conservative, York—Simcoe, ON]

Mr. Speaker, my colleague from Winnipeg North is right about one thing. Conservatives are going to axe that tax.

Let us talk about that tax, although I suspect he is not going to answer my question. The Prime Minister said his most important relationship was with our first nations, yet he is discriminating against the first nations in my riding based on geography.

Let us talk about that carbon tax rebate. The Prime Minister made an announcement out east. I know the member for Avalon is here. His riding got rolled back with its data from the census so that it stayed rural. My riding of York—Simcoe is now considered to be a part of Toronto so that no one gets the 20% rural top-up. The member for Winnipeg North knows that it would take 14 hours to walk to the Finch subway station from my riding. The Deputy Prime Minister likes to say that she does not even need to own a car as she can just walk out of her house and get on a subway. We do not have subways, we do not have streetcars; we do not have transit.

I would like him to comment on that. The answer will be astounding, I am sure.