Mr. Speaker, I have been sitting here since 10 o'clock this morning listening to the debate and there is an issue which has come forward which should be of serious concern to the House. It has to do with the integrity of information which has been put on the floor from time to time, particularly as it relates to tax matters.
The Leader of the Opposition, yesterday in question period and again today in his opening speech, used the statement that Canada's highest tax rate kicks in at approximately $60,000, whereas in the U.S. it kicks in at $270,000, making the point that somehow we should have parity. In fact what it means is it would provide tax breaks to 10% of the highest income earners in Canada, although his description was that it would help low and medium income Canadians. It is not correct.
The hon. member for Calgary—Nose Hill tabled in the House her views. She said the effect of the tax burden in Canada was 33% more than it is in the United States and that Americans can deduct the interest they pay on their mortgages. She did not mention that they also have to pay capital gains tax on principal residences, which we do not. She also did not mention that they do not have free health care, that they have to pay for it. She also did not mention that the same analysis went before the finance committee which noted that there is parity and equity between the effective Canada and U.S. rates. The information provided to this House was incorrect.
Finally, the hon. member for Crowfoot gave the example that a single mother making $15,000 a year would have to pay $1,300 in taxes.
That is not correct. A single mother getting the non-refundable tax credit of $6,456 also gets to claim the child as an equivalent to spouse exemption which means that the first $13,000 is in fact sheltered from tax. That leaves $2,000 on which only $500 of tax is paid. When we add on to that the fact that she is eligible for the child tax benefit of $1,800 and the GST credit of another $400, not only does she not pay $1,300, she gets back $1,300 on the $15,000.