Evidence of meeting #62 for Finance in the 39th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was amount.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Edward Short  Senior Tax Policy Officer, Tax Legislation Division, Tax Policy Branch, Department of Finance
Laury Ryan  President, Saskatchewan Junior Hockey League
Baxter Williams  Director, Personal Income Tax Division, Tax Policy Branch, Department of Finance
Peter Lewis  Vice-President, Administration, Canadian Scholarship Trust, Canadian Association of Not-for-Profit RESP Dealers
Marc Toupin  Procedural Clerk

12:45 p.m.

Liberal

Massimo Pacetti Liberal Saint-Léonard—Saint-Michel, QC

Will this make the government go and check out the teams more?

12:45 p.m.

Conservative

Brian Fitzpatrick Conservative Prince Albert, SK

No, I hope not. I would hope this would free it up, because it's about the only thing they could audit.

12:45 p.m.

Conservative

The Chair Conservative Brian Pallister

Essentially, this eliminates the need for the team to do source deductions on CPP and EI for the chunk of change they pay these guys for room and board.

12:45 p.m.

Conservative

Brian Fitzpatrick Conservative Prince Albert, SK

That's right.

12:45 p.m.

Conservative

The Chair Conservative Brian Pallister

For the $60,000 and whatever those source deductions add up to, it's saving them that much in fundraising exercises.

12:45 p.m.

Conservative

Brian Fitzpatrick Conservative Prince Albert, SK

It's $5,000 to $6,000 a year, which is a lot of money.

12:45 p.m.

Conservative

The Chair Conservative Brian Pallister

All right. Are there any further comments?

Mr. Dykstra, do you want to add to this?

12:45 p.m.

Conservative

Rick Dykstra Conservative St. Catharines, ON

Thank you. I only have a couple of little questions, Mr. Chair.

Through you to Brian, on the $350 to $300, it seems to be an arbitrary figure to move down from $350 to $300. What are your thoughts on that?

12:45 p.m.

Conservative

Brian Fitzpatrick Conservative Prince Albert, SK

I guess I'm a fiscal conservative, and sometimes it's what spills over the edge of the pot that ends up creating the deficits with management. The department is perhaps concerned about keeping a lid on unintended consequences.

I'm inclined to err on the side of caution and put some restraint on it, for fear that there is somebody out there who can find a loophole on this thing and exploit it. I don't know what the loophole would be, but even at $300 a month, I think most of the teams would be fairly happy to get that kind of relief.

12:45 p.m.

Conservative

Rick Dykstra Conservative St. Catharines, ON

The other question I have is around this issue of registration. In the way I read the amendment, it would suggest that you almost have to register or be registered on a monthly basis. Am I to assume that's the case? Do you register at the beginning of the hockey season or sport season and you remain registered until you acknowledge you're not registered anymore?

12:45 p.m.

Conservative

Brian Fitzpatrick Conservative Prince Albert, SK

I think the teams have limited amounts of money to be spending on room and board. If a player is no longer a player, I don't really see why these non-profit organizations would be shelling out money to somebody.

12:50 p.m.

Conservative

The Chair Conservative Brian Pallister

Thanks, Brian.

It's clear on the notes, at least. It says “or participates”, Rick, so I don't think the monthly registration would be important. It does say “or participates in”.

12:50 p.m.

Conservative

Brian Fitzpatrick Conservative Prince Albert, SK

Coaches and trainers and people like that are not eligible. It's clearly in the amendment.

12:50 p.m.

Conservative

The Chair Conservative Brian Pallister

Thank you, Brian.

Sorry, Rick, were you done?

12:50 p.m.

Conservative

Rick Dykstra Conservative St. Catharines, ON

Yes, I'm done. Thanks.

12:50 p.m.

Conservative

The Chair Conservative Brian Pallister

Thanks.

Diane.

12:50 p.m.

Conservative

Diane Ablonczy Conservative Calgary Nose Hill, AB

One of the concerns about the bill is what I like to call the law of unintended consequences, where it looks very simple upfront, but then, as I think one of the questioners opposite mentioned, other people rush through that door in a way that hadn't been intended.

I'd be interested in legal counsel and maybe Brian commenting on whether, in their view, this amendment would sufficiently narrow the focus of the bill so that we won't have any surprises down the road with a flock of other people coming to take advantage of the provisions.

12:50 p.m.

Conservative

The Chair Conservative Brian Pallister

I think we dealt with that question earlier with previous witnesses, and I don't know how scientific an answer we're going to get from legislative counsel on a question like that. If there isn't any further discussion, I'm going to move to--

12:50 p.m.

Conservative

Diane Ablonczy Conservative Calgary Nose Hill, AB

Mr. Chairman, could the counsel not express an opinion on that?

12:50 p.m.

Conservative

The Chair Conservative Brian Pallister

I'm not sure of the validity of that opinion, in any case. It calls for speculation on what swim clubs across Canada are going to take advantage of this legislation.

Let's move to clause-by-clause. We're dealing with the amendment now.

12:50 p.m.

Liberal

Massimo Pacetti Liberal Saint-Léonard—Saint-Michel, QC

I'm sorry, Mr. Chairman, I have a point of order.

12:50 p.m.

Conservative

The Chair Conservative Brian Pallister

A point of order from Mr. Pacetti.

12:50 p.m.

Liberal

Massimo Pacetti Liberal Saint-Léonard—Saint-Michel, QC

There are two members who have asked for an opinion from legal counsel. Whether we take that opinion into consideration or not, you've asked us to give you amendments on clause-by-clause in less than an hour. I think to hear legal counsel's opinion is valid and appropriate at this moment in time.

12:50 p.m.

Conservative

The Chair Conservative Brian Pallister

That's quite true.

I'll tell you what. Are you interested in talking about what swim clubs and football teams might--

12:50 p.m.

Liberal

Massimo Pacetti Liberal Saint-Léonard—Saint-Michel, QC

You don't have to tell him what to say, but he can just express an opinion.