Debates of April 16th, 2013

Food Safety

[Gerry Ritz, Conservative, Minister of Agriculture and Agri-Food and Minister for the Canadian Wheat Board]

There is absolutely nothing hidden, Mr. Speaker. These are public documents that go up on websites, that are tabled in the House of Commons. Anybody who wants to read them can. I will have someone read them to the member for Welland should he so desire.

At the end of the day, we continue to build the capacity at CFIA. We constantly increase its budgetary ability to move forward. We constantly hire front-line food inspectors. We will continue to do that, despite their voting down every one of those initiatives.

[Ruth Ellen Brosseau, NDP, Berthier—Maskinongé, QC]

Mr. Speaker, that is not true.

He should read his report on plans and priorities before voting in favour of this budget because it includes $38 million in cuts—$38 million.

It is not just the administration that will be affected. Food inspection services will also be affected, and inspectors who are actually doing the work are the ones who will lose their jobs.

The health of Canadians is in jeopardy, and the industry is concerned about declining health standards.

Will the minister come back and explain to the parliamentary committee how overworked CFIA employees will cope when 300 positions are cut?

[Gerry Ritz, Conservative, Minister of Agriculture and Agri-Food and Minister for the Canadian Wheat Board]

It would come as no surprise, Mr. Speaker, that I completely reject the premise of that question. There have been no cuts to food safety at CFIA. Certainly, we are looking for efficiencies at CFIA and every other agency and department of this government. We have found those and we are moving forward.

I will be happy to come back to Parliament when we have the supplementary estimates (A), the supplementary estimates (B) and the supplementary estimates (C) that continue to build the capacity of CFIA to do the great job it does. I would be hopeful at that time that the NDP would actually see fit to vote for those increases.

Canada Revenue Agency

[Guy Caron, NDP, Rimouski-Neigette—Témiscouata—Les Basques, QC]

Mr. Speaker, rather than blindly cutting food inspection services and increasing taxes on practically all consumer goods, the Conservatives could be acquiring effective tools to combat tax evasion and thereby recover up to $8 billion a year, according to independent studies. However, that is not what they are doing.

Their report on plans and priorities for the Canada Revenue Agency contains many cuts that have a direct impact on investigative services, such as closing the voluntary disclosure centre in Montreal. The government has transferred the centre's responsibilities to Shawinigan without providing that office with any additional resources.

Why is the government cutting thousands of jobs at the CRA when it should be redoubling its efforts to combat tax evasion?

[Gail Shea, Conservative, Minister of National Revenue and Minister for the Atlantic Canada Opportunities Agency]

Mr. Speaker, we are keeping tax rates low by closing tax loopholes and by making the system fairer.

All the efficiencies identified in budget 2013 apply only to internal operations and will not affect CRA's audit or enforcement capabilities. As a matter of fact, we have increased our resources to international tax evasion by over 40%.

[Murray Rankin, NDP, Victoria, BC]

Mr. Speaker, the facts just do not support the minister's claims. The fact is that Conservatives are taking $68 million from the returns compliance section of the CRA, which is responsible for enforcing “compliance with Canada's tax laws”. They are also cutting $120 million and over 250 full-time staff from the reporting compliance section, whose job is detecting non-compliance “through risk assessment, audit, investigation”.

Will the minister now stand up and acknowledge she is cutting the very CRA sections responsible for going after tax cheats?

[Gail Shea, Conservative, Minister of National Revenue and Minister for the Atlantic Canada Opportunities Agency]

Mr. Speaker, as I have previously informed the member in the House, efficiencies identified in the budget apply only to internal operations. They will not in any way affect CRA's audit or enforcement capabilities.

As a matter of fact, since 2006, we have increased resources on the international tax evasion file by 40% and we have identified more than $4.5 billion in unpaid taxes. This compares to just $174 million in the last year of the Liberal government.

Taxation

[Glenn Thibeault, NDP, Sudbury, ON]

Mr. Speaker, hidden tax hikes on everyday consumer products like bicycles, iPods and even coffee have been introduced in the government's budget. The Conservatives can try to deny it, but it is right there on page 331 of their budget document.

With the slowing economy and families being squeezed, how can the Conservatives justify raising prices on so many everyday consumer products? How can they justify taking more money out of the pockets of Canadians?

[Ted Menzies, Conservative, Minister of State (Finance)]

Mr. Speaker, that is pretty incredible coming from the NDP that wants to, first of all, put a carbon tax on every item that Canadians purchase. We have totalled it up. It is somewhere in the neighbourhood of $56 billion worth of promises. There is only one place where that party will go to get that money and that is the Canadian taxpayer. We will have none of that.

[Annick Papillon, NDP, Québec, QC]

Mr. Speaker, it really seems that the parliamentary secretary is going to vote in favour of his budget without even reading it. Yet all the tax hikes are written in black and white on pages 331 and 332. We are talking about hidden tax increases and money that the Conservatives will take directly out of people's pockets. The Conservatives wash their hands of this every day in the House and deny that there are new taxes like the tax on iPods, even though credible business leaders, from Sony Canada among other companies, confirm that they have already started to pay those taxes.

Why are they trying to stick Canadian families with the bill for their bad decisions?

[Ted Menzies, Conservative, Minister of State (Finance)]

Mr. Speaker, I would like to clarify for the hon. member. I am quite sure that the parliamentary secretary is actually going to support the budget. I would encourage those hon. members to do that too.

The hon. member has been giving speeches in the House and meeting with her constituents and explaining to them that this is a continuation of a low-tax plan. We have started on this plan and we will continue on it because it is working. It has helped businesses grow. Businesses have hired nearly 900,000 new Canadians. That is important. That is what they care about.

[Lysane Blanchette-Lamothe, NDP, Pierrefonds—Dollard, QC]

Mr. Speaker, not only are they in denial, but they are living in a fantasy world. In their fantasy world, taxes are not taxes if the Conservatives are the ones imposing them. That is in stark contrast to the reality of seniors, who will have to pay more for everyday items, whether at the pharmacy or the grocery store. This tax increase that will affect seniors comes only one year after the Conservatives targeted the old age security program.

Why not help seniors instead of cutting their income and increasing their expenses?

[Ted Menzies, Conservative, Minister of State (Finance)]

As a matter of fact, Mr. Speaker, we continue to reduce the taxes that seniors pay. We have taken one million Canadians completely off the tax roll. If the NDP were ever allowed to impose taxes on Canadians, and God forbid, I am not sure where seniors would be other than in the poor house, because that party would increase the costs that every senior deals with on a day-to-day basis. We will continue on our low-tax plan.

The Economy

[Peggy Nash, NDP, Parkdale—High Park, ON]

Mr. Speaker, that is nonsense. In addition to hiking taxes, the Conservatives are cutting the budgets of all the departments. These austerity measures have been condemned by the IMF, which has downgraded its forecast of Canada's GDP growth. The IMF report indicates that the unemployment rate will remain high and that we will continue to post a huge current account deficit.

Will the Conservatives stand by their partisan austerity measures and twiddle their thumbs while the economy flounders?

[Ted Menzies, Conservative, Minister of State (Finance)]

Mr. Speaker, the hon. member must have been reading a different IMF report from the one I was reading.

The IMF today reaffirmed the fact that Canada continues to lead the G7 countries in economic growth. We have the best financial record in all of the G7. It is not just the IMF that has said that. All three of the credit rating agencies continue to rate Canada as AAA. Our bonds are sought after from all over the world. The NDP does not recognize any of that.

[Peggy Nash, NDP, Parkdale—High Park, ON]

Mr. Speaker, living in an upside down world will not make the bad news go away.

Today we learned that in February foreign investors sold off $6.3 billion in Canadian securities. That is the largest sell-off since October 2007. Who can be surprised when we have a government that refuses to acknowledge the fiscal reality, that is raising tariffs, that still has not clarified what the net benefit test is for foreign investment?

Just where is the government's plan to improve the investment climate?

[Ted Menzies, Conservative, Minister of State (Finance)]

Mr. Speaker, there is a plan. It is the economic action plan, and the NDP has voted against it every single time. That plan has put us in an enviable position.

Rather than listening to the opposition, let me quote what the IMF actually said today: “Canada is in an enviable position.... At this stage, the policies that are being deployed are, in our minds, broadly appropriate”.

I would rather listen to the IMF, Mr. Speaker.

Taxation

[Judy Sgro, Liberal, York West, ON]

Mr. Speaker, while seniors and the disabled were ignored in the 2013 budget, many touched by the so-called Conservative plan were clearly left reeling. Middle-class families now face increased taxation on essentials like electric household heaters, baby carriages and school supplies. Even blankets will now bear an extra 5% tax. Conservatives have lowered the price for yachts, but are clearly raising the price for daily essentials for families. The Liberals know that middle-class families need a break. Will the Minister of Finance finally admit that this is nothing short of a new tax on Canadians and agree to cancel it?

[Ted Menzies, Conservative, Minister of State (Finance)]

Mr. Speaker, I will repeat that our low-tax plan continues. We started it in 2009 after the recession and we continue with it now. We are one of the few countries that has been able to reduce taxes as our economy continues to grow and as the number of jobs in this country continues to grow.

That is important to Canadians. We will continue on that path, and it would be very nice if the opposition would actually read the good things in the budget to get Canadians back to work and keep the economy growing.

[Denis Coderre, Liberal, Bourassa, QC]

Mr. Speaker, if the member does not want to lose his credibility, then he should call a spade a spade.

An increase in import tariffs is an increase in taxes. The worst thing is that the middle class will have to pay. Montrealers are going to have to pay more, whether they are buying a coffee maker, a bicycle or children's shoes. It is as simple as that.

Can the government be honest here? Will the government admit that this is a new tax and agree to cancel it in order to prevent the cost of living from going up?

[Ted Menzies, Conservative, Minister of State (Finance)]

Mr. Speaker—

[Some hon. members]

Oh, oh!

[The Speaker, Conservative, Andrew Scheer]

Order. The hon. Minister of State for Finance.

[Ted Menzies, Conservative, Macleod, AB]

Mr. Speaker, I see the new leader of the Liberal Party is working on his heckling.

I do want to say that what we put forward in the economic action plan, in budget 2013, continues on our low-tax plan. We are proud of the fact that during the recession we have been able to continue. We have actually reduced 150 different taxes to businesses and to individuals. The average family of four gets to keep $3,200 more in their own pockets. That is where we think it should be.

[Ralph Goodale, Liberal, Wascana, SK]

Mr. Speaker, the Conservatives are increasing tariff taxes by $333 million every year. It is just like increasing the GST: a money grab to concoct the illusion of a balanced budget by 2015. To feed that fiction, Canadians will be forced to pay more for everything from tricycles at 4.5% more, baby carriages at 3% more and cosmetic wigs for cancer patients at 15% more.

The government should cancel these new Conservative taxes and stop ripping off the middle class. Why will it not do it?