Mr. Speaker, it is with great pride that I rise to speak to the bill and I want to congratulate the Bloc member for Beauport—Montmorency—Côte-de-Beaupré—Île-d'Orléans.
The particular bill is one that I think can be described as being very straightforward and common sense in its approach to assisting a segment of our economy, mechanics specifically, that works extremely hard and is looking for a simple incentive, some signal on the part of the government that its contribution is valued and is recognized through tax relief. It is to permit mechanics to deduct the cost of providing tools for their employment if they are required to do so.
It is not as if mechanics have a choice in the matter in terms of getting by without tools. It is aimed specifically at mechanics who cannot benefit from either borrowed tools or tools that are owned by their employers and are required as a condition precedent to purchase tools.
Many tools of the trade are extremely expensive, which can be quite a deterrent to individuals trying to enter the particular trade. The bill is aimed specifically at offering those individuals who have made a career choice some relief to enter into this chosen profession. I commend the hon. member for bringing forward the matter.
Like many motions and bills in the House, this bill has been debated in the Chamber on numerous occasions, and quite ironically has seemingly received broad support. Yet my fear, and I am sure the hon. member's fear, is that when it comes to a vote the government will not support this bill. We got the inkling from the previous member's words that the government was not inclined to support this legislation.
On the other hand, our party has brought forward similar motions and will support this legislation. That comes as a result of having spoken to many individuals involved in the actual trade who are looking for such relief and are looking to parliament to show some leadership, vision and originality when it comes to offering tax relief to those who are most in need.
Specifically, I met with numerous mechanics in my constituency of Pictou—Antigonish—Guysborough. At their request, I brought this very issue to the attention of the current finance minister. Unfortunately, after doing so on their behalf, the Minister of Finance indicated that there was really little that could be done and little that he and his department were willing to offer as relief for those who found themselves in a position where in certain instances they were required to shell out anywhere in the range of $15,000 to $40,000 as a start-up cost to entering the trade of being a mechanic. This is at time when the average mechanic's salary, as I am told and the statistics seem to support, is in the range of $29,000.
Given the high level of technology that is involved now with mechanics, there are occasions where they will in essence be required to, somehow through a mortgage, or a loan or otherwise, shell out more money than they are actually taking in in their first year. This presents a significant hurdle as well as a disincentive for those who wish to enter into the profession.
It is difficult, as in many instances in many trades, to attract new persons who want to get involved in automotive repair and other types of repair. This industry has seen a decline in those who go to trade school and attend community colleges, like the very impressive and ever improving Nova Scotia Community College. Enrolment in some of these areas is actually down as a result of this outlay of capital required to get into the working field.
I would hasten to add that it also contributes to this increase in brain drain. We are seeing attractive, young, hardworking, talented, motivated individuals lured south of the border by the promise of better taxation and higher rates of salary.
We can talk endlessly about Canada's quality of life, and I would be the first to praise what we have, but if a person's salary and their tax rates result in a greater return on their investment in their future, that quality of life can be purchased. That is the basic reality and choice that many young people decide to face which eventually leads them to go to the United States.
The bill before us has been assailed by the government in some instances as it would focus on only one segment of society. Clearly, there are others who in our current Revenue Canada tax scheme have been afforded the same type of option, for example, and I believe previous members have alluded to them, those individuals who work in the forestry industry and operate chainsaws. They are afforded a tax break on their equipment.
Similarly, musicians and others who are reliant upon a specific tool or instrument are afforded a break, a recognition that they are required, by virtue of that chosen profession, to use a certain instrument or a certain tool.
All that mechanics in this instance are looking for is a recognition in legislation that would allow them to write-off some of the expense involved in using this type of equipment. Again, it bears repeating that it is pricey equipment. Mechanics' tools are extremely expensive and this presents a considerable obstacle for those who want to enter into that type of work.
Because this type of change was so specific, our party initially had concerns because it would perhaps complicate an already overly cumbersome tax code. However, in many ways it simplifies the tax code because it is a straightforward recognition and encompasses what we should always look for in this place, and that is parity and equal treatment for all under the tax code. As I mentioned, other industries can claim tax deductibility on equipment which is necessary to complete a job. Therefore, it is about parity and fairness in treating mechanics.
In 1996 and 1997 the House of Commons finance committee recommended that we move toward ensuring the tax deductibility of equipment and tools necessary for mechanics. If that had happened, we would not have had the necessity of this legislation before us now. It would be a small step forward but an important step nonetheless, and one that all members of the House should support at this time.
The legislation would benefit Canadians and provide them with a fairer, more progressive and innovative tax system which would create a culture of opportunity. This is essentially the motivation behind this and should be the motivation for much of the legislation that we see in this place. We need to ask ourselves how can we improve the quality of life and opportunities for those who are making significant contributions to the workplace.
I very much support the bill. I have a similar motion that encompasses the same spirit that we see in this bill. I would request that all members give close attention to this issue and support this member, as our party will do.