Mr. Speaker, this is the time of year when Canadians are going to have to start thinking about completing their income tax returns. It is not something Canadians necessarily enjoy doing, but whether we like it or not, it is a tradition. Sharing wealth is also one of Canada's traditions. Doing so enables us to have social programs so that when people fall ill, they can seek the help of a doctor, go to the hospital, and receive universal health care that is both free and accessible.
Our taxes also provide us with programs such as employment insurance. This program ensures that if a person is unfortunate enough to lose his or her job or get laid off during a plant closure—as we have seen occur over recent years—the family will still have an income. Single people will still have a roof over their heads and be able to purchase essential items, such as groceries.
Our taxes and laws also make it possible to have shared programs with the provinces for infrastructure and public transport. All of this contributes to the common good.
I am very pleased, therefore, to rise to speak about C-48, An Act to amend the Income Tax Act, the Excise Tax Act, the Federal-Provincial Fiscal Arrangements Act, the First Nations Goods and Services Tax Act and related legislation.
This bill is large and contains over 1000 pages. I have often risen in this House to denounce large bills, including the omnibus bills that the government has introduced as so-called budget implementation bills. The NDP has taken a strong stand against this type of legislation because many of the measures are not necessarily related to the budget. They contain any number of amendments to various pieces of legislation, and there is not sufficient time to review the measures in committee. In any event, we have been denied the opportunity to study these omnibus bills in specific committees. We have voiced our opposition to this and we shall continue to do so as much as possible in the House.
The difference in this case is that the bill amends acts that are similar and that deal with related issues. The reason it is so bulky is that over the years—in fact, since 2001—previous governments dragged their feet. They did not follow the sound advice of the Auditor General to correct things. They should have acted, they should have amended acts, but they waited and let the years go by. That is why we now have such a bulky bill. Such changes should be done on an ad hoc basis, but we did not do our homework. We did not do what should have been done.
The NDP supports Bill C-48 because it is important that this legislation continues to focus on compliance to guarantee the integrity of the tax system.
We say that tax loopholes must be eliminated in a timely fashion. This bill is very important to protect the integrity of our tax system and to have all the winning conditions.
I want to underline three points. We must fight tax avoidance and tax evasion while preserving the integrity of our tax system. This bill is a step in the right direction.
We support the changes proposed in this bill, including those that seek to reduce tax avoidance.
Again, this is a bulky bill. I explained why earlier. I believe we can do better, and Canadians deserve better. Over the years, it will be important to conduct regular and ad hoc reviews of the tax system.
Unlike the previous omnibus bill that brought major changes to all sorts of acts, this legislation proposes technical amendments to a number of acts that are closely related. We will have to ensure that ad hoc reviews are conducted.
In 2009, the Auditor General of Canada was concerned about the fact that at least 400 technical amendments had not been enacted through legislation.
Bill C-48 enacts more than 200 of these changes. There is still work to be done. It can be done, but we need to ensure that our tax system is fair and that all of the loopholes have been eliminated.
The bill has a number of parts. I would like to speak specifically about part 5 of the bill, which would implement various technical amendments, some from as far back as 2002.
I am not going to go into the history of these changes, but part 5 includes anti-avoidance measures for specified leasing property, measures to ensure that income trusts and partnerships are subject to the same loss utilization restrictions as transactions between corporations, measures to limit the use of foreign tax credit generators for the purpose of avoiding foreign tax, and measures to clarify rules on taxable Canadian property for non-residents and migrants. It also provides an information regime for tax avoidance.
Any tax avoidance transaction, that is, any transaction that is intended to obtain a tax advantage, must now be reported, even if it is not abusive. Additional reporting will be required in cases where the transaction raises red flags about its legitimacy.
According to experts, the majority of these changes were already in place and should have been even earlier. We hope that this bill will provide effective measures for fighting tax evasion. A review mechanism should also be put in place so that we do not find ourselves with another bill of this size in 10 years.
Canadians will appreciate it and it will make our work as parliamentarians easier.