Evidence of meeting #4 for Human Resources, Skills and Social Development and the Status of Persons with Disabilities in the 42nd Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was unions.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Anthony Giles  Assistant Deputy Minister, Policy, Dispute Resolution and International Affairs, Labour Program, Department of Employment and Social Development
Blaine Langdon  Chief, Charities, Personal Income Tax Division, Tax Policy Branch, Department of Finance
Costa Dimitrakopoulos  Director General, Legislative Policy Directorate, Legislative Policy and Regulatory Affairs Branch, Canada Revenue Agency

5:05 p.m.

Chief, Charities, Personal Income Tax Division, Tax Policy Branch, Department of Finance

Blaine Langdon

I would agree with that.

There are a number of different deductions that businesses are entitled to take. Just to give a very basic comparison, labour organization union dues are deductible. If you paid to be a member of a professional organization, that would also be deductible. Currently, only for labour organizations and registered charities is the information publicly displayed.

5:05 p.m.

NDP

Sheri Benson NDP Saskatoon West, SK

Right, and there was another look at doing that same thing around first nations government, around sort of making an increase.... There's the assumption that somehow they're not accountable. Being part of the charity movement, I'd say that does come out when you start to do that, and I feel that part of this piece was there to say that they're not accountable and that's why we're doing more. That is the impression the public gets. I think some of that is being shared around here, which is that somehow union members don't have enough brain cells to be part of the union and be part of a convention, but they get financial information, they get to set the direction of their organization, and they get to set the policies and all that kind of stuff.

I guess I'm making more of a comment.

Are there any other comments about the constitutionality of either one of the bills and the problems they would cause both the government and unions as far as that goes?

5:10 p.m.

Liberal

The Chair Liberal Bryan May

Incredibly briefly, please.

5:10 p.m.

Chief, Charities, Personal Income Tax Division, Tax Policy Branch, Department of Finance

Blaine Langdon

I won't comment extensively on constitutionality. I know that it was raised during the Senate hearings, and I think before the House, but that's really up to the courts to decide.

5:10 p.m.

Liberal

The Chair Liberal Bryan May

Thank you.

Mr. Long.

5:10 p.m.

Liberal

Wayne Long Liberal Saint John—Rothesay, NB

Thank you, Mr. Chair.

Welcome, everybody.

I want to drill down on a question that I actually asked the minister.

I think I'll direct it to you, Mr. Dimitrakopoulos. Was my pronunciation close there?

5:10 p.m.

Costa Dimitrakopoulos Director General, Legislative Policy Directorate, Legislative Policy and Regulatory Affairs Branch, Canada Revenue Agency

That was perfect.

5:10 p.m.

Liberal

Wayne Long Liberal Saint John—Rothesay, NB

I'll get your comment or your opinion on this.

In 2012, the CRA was asked to provide the same information on its employees that Bill C-377would require of labour unions. The CRA's response was that they could not provide the information because the Privacy Act precludes the CRA from disclosing personal information about its employees.

Again—obviously, I wasn't in politics at that time—I found it hypocritical that the Conservative Party was asking unions to provide private information that their own agency, the CRA, refused to provide because of privacy concerns. I want to get your comments and opinion on that.

5:10 p.m.

Director General, Legislative Policy Directorate, Legislative Policy and Regulatory Affairs Branch, Canada Revenue Agency

Costa Dimitrakopoulos

With Bill C-377, once it became law, it was the power of Parliament and the will of Parliament that that information be shared. The information that was requested of the CRA in terms of the employees of the CRA was not something that was the will of Parliament.

5:10 p.m.

Liberal

Wayne Long Liberal Saint John—Rothesay, NB

In your opinion, will Bill C-4 have any financial implications for the Canada Revenue Agency?

5:10 p.m.

Director General, Legislative Policy Directorate, Legislative Policy and Regulatory Affairs Branch, Canada Revenue Agency

Costa Dimitrakopoulos

Bill C-4 would not have implications for the Canada Revenue Agency. The Bill C-377 aspect would have had a financial burden of about $2 million annually. That would be the cost.

5:10 p.m.

Liberal

Wayne Long Liberal Saint John—Rothesay, NB

With respect to the requirements of reporting for Bill C-377, could you share with us what areas beyond what is asked of charities now, what additional requirements would unions have had to comply with?

5:10 p.m.

Chief, Charities, Personal Income Tax Division, Tax Policy Branch, Department of Finance

Blaine Langdon

I will take that question.

There are similarities in the categorization of reporting, but generally speaking, registered charities report on expenditures in the aggregate. The major difference between registered charity reporting and the reporting required of labour organizations and labour trusts is that they would be required to report specific transactions over $5,000, itemized with the name of the payer and the payee. That's one major difference, and if you actually go through the schedules, there are a number of different categories that don't apply to charities, but I would say the major difference is the amount of information in terms of itemization.

5:10 p.m.

Liberal

Wayne Long Liberal Saint John—Rothesay, NB

Thank you, Mr. Chair.

5:10 p.m.

Liberal

The Chair Liberal Bryan May

You're very welcome.

Thank you very much to the panel.

I do have to cut it off there. We have some committee business we need to attend to.

Thank you again to our panel.

[Proceedings continue in camera]