Mr. Speaker, I heard the comment of the leader of the Conservative Party that any increase in the rates of the Canada pension plan system would have to be offset by tax breaks. The leader of the Conservative Party did not articulate exactly what taxes he was talking about and how much. It is an important question which has been raised.
If we consider that the Canada pension plan premiums are contributed by those who are working, that is a defined set of people. We should then also look at who is affected by tax breaks. For example if there was a tax break on personal income taxes, there are people who do not work but have a lot of income because of investment income or other sources which are not insurable earnings. There are retirees as well who are paying on their corporate pension plan entitlements, CPP et cetera. Tax breaks would apply to a different set of people than those who are paying the rates.
Could the member clearly explain to the House how we can match tax breaks specifically to cover the rate increases without creating a significant charge against expenditures or increase the deficit?