Mr. Speaker, the transition funding provided to Atlantic Canada does not represent a cut in the federal sales tax rate. That rate remains at 7 per cent from coast to coast.
This a cost sharing with the Atlantic provinces. They pick up the first 5 per cent loss on their own provincial sales tax revenue. But it a cost sharing over four years. In other words, this is transition funding. It ends at the end of four years. It is not permanent.
The kind of rate cut that the member is talking about would be a permanent rate cut. Obviously he is comparing an apple and orange. I am sorry but it is not on.