Evidence of meeting #26 for Finance in the 43rd Parliament, 2nd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was c-14.
A video is available from Parliament.
Senior Director, Tax Legislation Division, Tax Policy Branch, Department of Finance
I don't have those at my fingertips right now. I don't know if my colleague, Maude, has that with us. I simply don't have it with me, as it is not directly related to the amendments in Bill C-14.
NDP
Peter Julian NDP New Westminster—Burnaby, BC
Could you provide those figures to the committee?
If there are internal figures, I would be surprised that CRA is not sharing them with the ministry of finance. That would be a normal practice.
Director General, Business Income Tax Division, Tax Policy Branch, Department of Finance
I just wanted to confirm that it's not data I have in my possession. We would need to get back to you, Mr. Julian, as to whether or not we can provide that data.
As Mr. McGowan was saying, this data would reside with the Canada Revenue Agency.
NDP
Peter Julian NDP New Westminster—Burnaby, BC
On the issue around tax evasion and the question with the fall economic update, what modelling did the government use to support the assertion that measures to combat international tax evasion and abuse would result in $1.4 billion in revenue recovery over the next five years?
Can you share that modelling forecast with us?
Director General, Business Income Tax Division, Tax Policy Branch, Department of Finance
This is not a question that directly relates to the bill, so unfortunately, this is not information that those on the line have. We'll also need to get back to you on that question.
Liberal
The Chair Liberal Wayne Easter
Okay. We will move on. We'll have to split eight minutes between Mr. Kelly and Ms. Dzerowicz.
Mr. Kelly.
Conservative
Pat Kelly Conservative Calgary Rocky Ridge, AB
All right.
Actually, I'm going to yield my time to Ms. Jansen. She has some questions that I know she wants to ask.
Conservative
Tamara Jansen Conservative Cloverdale—Langley City, BC
I think these are for the finance officials here.
The Business Council of Canada said, “The pandemic ignited an explosion in public spending and debt. The federal debt-to-GDP ratio was 30 per cent before COVID-19 but now [is over] 50 per cent.” They're clear that what we need is an economic growth strategy, rather than a stimulus strategy.
Since we were told by the finance minister that the stimulus package was pre-loaded—that's why we spent so much more than the rest of our G7 partners—are we going to be growth-focused going forward?
Liberal
The Chair Liberal Wayne Easter
I will turn to officials, but if it's a policy decision of the government, officials can't answer that. They can answer questions on things that are in Bill C-14, but if it's a policy position of the government, we can't expect officials to answer to that, and I think that's one.
Go to your next question, Ms. Jansen.
Conservative
Tamara Jansen Conservative Cloverdale—Langley City, BC
Okay.
Where is the relief for the failing sectors? How is it possible that we're one year in and we still haven't supported the air sector?
Liberal
The Chair Liberal Wayne Easter
Does somebody want to take that? That is a policy decision as well. I think the minister said they are working on that. Does anybody have any ideas that they can table on the discussions with the airline sector? I see Mr. Moreau shaking his head.
Okay. We'll go to a third one, Ms. Jansen.
Conservative
Liberal
The Chair Liberal Wayne Easter
Okay.
Do you have anything you want to ask, Mr. Falk, maybe a single question? I'll come back to you if you want to think about it.
Conservative
Pat Kelly Conservative Calgary Rocky Ridge, AB
Mr. Chair, I am ready. I have a couple of questions. I'll jump in with those. I'm sorry about this.
Conservative
Pat Kelly Conservative Calgary Rocky Ridge, AB
My question is for the officials from WD who we have here. It's on the RRRF program. Are enterprises that opened and commenced operations last March eligible for this program?
Assistant Deputy Minister, Policy and Strategic Direction, Department of Western Economic Diversification
Thank you very much for the question.
The RRRF is a liquidity-based program, so it's based on your operating needs. The funding allocation is decided based on your operating deficit. When the program was launched, companies that came into operation after March wouldn't have had an operating deficit upon which to base funding. In a way, they're not eligible, but it wouldn't really be the right tool to support them.
Assistant Deputy Minister, Policy and Strategic Direction, Department of Western Economic Diversification
That's correct.
Conservative
Pat Kelly Conservative Calgary Rocky Ridge, AB
That's correct. Then is there any official who could...? We have the answer from the minister, which was a surprising admission, given how many times the question has been asked previously. Is there anything contemplated out there?
I understand that these are political decisions for the minister, but for any of the departmental officials who are here, can they shed any light on this or give any sense of this? For a business that spent perhaps all of 2019 building a plant, building a restaurant or building premises and draining all of their capital, with a March 1, 2020, opening date, say, is there any aid measure available or any program that has criteria a business like that could apply for?
Liberal
The Chair Liberal Wayne Easter
Does anybody want to take that one?
I would throw in here. I'll give an example. I think all of us on the finance committee—and maybe most members—have had this same concern about new businesses that don't qualify. As Pat said, we're going back to the considerable time spent developing the business. They don't qualify. I had one this week or two weeks ago. It's the exact same business, but a son and dad incorporated in December 2019 and don't qualify because now they have a new business number.
Those are concerns that as members of Parliament we're all getting. I would ask officials to think about it.
Do you have anything else, Pat?
Conservative
Pat Kelly Conservative Calgary Rocky Ridge, AB
No. I'm happy to go to the next speaker so that we can get to Bill C-208, but that's an important consideration for officials who advise our policy-makers.