House of Commons Hansard #261 of the 41st Parliament, 1st Session. (The original version is on Parliament's site.) The word of the day was c-60.

Topics

Tax Conventions Implementation Act, 2013Government Orders

June 4th, 12:30 a.m.

Conservative

Tax Conventions Implementation Act, 2013Government Orders

June 4th, 12:30 a.m.

Conservative

Corneliu Chisu Conservative Pickering—Scarborough East, ON

Mr. Speaker, I am delighted and pleased to rise in the House to kick off the debate on a rather technical and routine piece of legislation, Bill S-17, the tax conventions implementation act, 2013.

Before I begin, I would like to take this opportunity to thank the Senate for its initial work on this bill. I especially want to thank the members of the Senate banking, trade and commerce committee for its thorough review of Bill S-17 earlier this year. I would also like to extend thanks to all the witnesses who appeared at that Senate committee, for their appearance and their high-quality testimony on a subject that can often be technical. For those wondering why this bill started in the Senate first, I should note that, going back to 1976, the convention has been to bring tax convention legislation to the Senate first. In fact, there have been 30 different pieces of tax convention legislation in front of Parliament since 1976.

As members are aware, Bill S-17 proposes to implement tax conventions or tax treaties, either new or updated, with Canada and the following countries: Namibia, Serbia, Poland, Hong Kong, Luxembourg and Switzerland. These new and updated treaties would augment Canada's strong network of tax treaties. Indeed, currently Canada has comprehensive tax treaties in place with 90 countries, one of the world's largest networks of bilateral tax treaties. This is an important feature of Canada's international tax system, a feature that is key to promoting our ability to compete.

What is more, we continue to work on agreements with other jurisdictions, as demonstrated in today's legislation. As part of Canada's ongoing effort to update and modernize our network of income tax treaties, Bill S-17 would achieve two important objectives. First, it would help combat tax evasion by ensuring Canada works with other countries to stop tax cheats. Second, it would help encourage global trade by preventing double taxation. Clearly, I would hope that all parliamentarians and all Canadians would agree that everyone should pay their fair share of taxes.

I think we are all agreed that it is not appropriate that some corporations would take advantage of Canada's tax rules to avoid paying their fair share, or that some wealthy individuals would use an offshore account to hide income tax or evade tax. We are against tax cheats because those tax cheats are essentially hiking taxes on honest Canadians. Honest, hard-working Canadians and small-business owners are left having to pay more taxes when cheats do not pay their fair share, and that is simply not fair.

However, to detect and deter those tax cheats, the Canada Revenue Agency needs to work with and share information with foreign tax agencies around the world. To this end, Canada supports the international consensus to work through the Organisation for Economic Co-operation and Development, or OECD, to set an international tax information exchange standard. That standard is implemented under bilateral tax treaties and tax information exchange agreements like those new and updated treaties included in Bill S-17.

The second objective I mentioned referenced encouraging global trade by preventing double taxation. Here at home, our government has worked hard to cut taxes. In fact, we have done it 150 times, in every way government collects taxes, from the GST to personal tax to business tax and much more. We firmly believe that a more competitive tax system helps create an environment that enables Canada's entrepreneurs to excel, not a tax system that punishes entrepreneurs and stands in the way of their success, both here in Canada and abroad.

After all, if we want higher wages, more jobs and a higher standard of living, we need entrepreneurs to succeed and grow. That creates investment, jobs and helps make our--

Tax Conventions Implementation Act, 2013Government Orders

June 4th, 12:35 a.m.

Conservative

The Acting Speaker Conservative Bruce Stanton

Order, please. The hon. member for Pickering will have 15 minutes remaining.

A motion to adjourn the House under Standing Order 38 deemed to have been moved.

Employment InsuranceAdjournment Proceedings

June 4th, 12:35 a.m.

NDP

Anne-Marie Day NDP Charlesbourg—Haute-Saint-Charles, QC

Mr. Speaker, I am pleased that you have adjourned the debates.

A few weeks ago, while workers in seasonal industries were deep in the black hole, the Conservatives tirelessly continued their disrespectful treatment of unemployed workers.

That was when we found out about a pilot project involving Service Canada inspectors conducting targeted, unannounced home visits to hunt down employment insurance fraudsters.

I immediately questioned the minister, not about the fact that we need to minimize fraud in the system as much as possible, but about how the Conservatives went about doing it and the means they used to achieve their ends.

The witch hunt that lasted all winter long, the duration of the pilot project, was reprehensible. It stigmatized unemployed workers by treating them like criminals and spread the Conservatives' ideological message that unemployed workers are gaming the system.

I have seen some parts of the document that ended up in the media. It was used by Service Canada investigators who are supposed to follow the government's directives. This document very clearly shows that, rather than a simple check, the questions more closely resemble an interrogation in which EI claimants are presumed guilty of fraud and must prove their innocence. Even our justice system does not work like that.

Furthermore, the document clearly encourages bureaucrats to assume the worst about unemployed Canadians and find fraud at every turn. This kind of investigation, which borders on bullying, places additional pressure on families that are already struggling and that are doing their best to find a work. They are trying to continue working in fundamental economic sectors and often live in our regions.

Everyone agrees that if we want to protect the fund and make the money available to those who need it most, we need to detect fraud. However, the Conservatives must find a better way to balance protecting our social safety net with respecting an individual's privacy.

This intimidating pressure only adds fuel to the fire. In addition to being unemployed and in an economically precarious situation, people are angry. When it was announced that inspectors would come by, demonstrations erupted in the Magdalen Islands to make the government understand that the inspectors were not welcome.

How can the government ensure the safety of federal agents when it sends them to work in such conditions? Can the government guarantee that the pilot project will not be renewed, and will it instead address the problems caused by its EI reform?

Employment InsuranceAdjournment Proceedings

June 4th, 12:40 a.m.

Simcoe—Grey Ontario

Conservative

Kellie Leitch ConservativeParliamentary Secretary to the Minister of Human Resources and Skills Development and to the Minister of Labour

Mr. Speaker, there is nothing secretive about our intent to prevent fraud and the abuse of taxpayers' money.

Part of the mandate of Service Canada's integrity services branch is to enforce the Employment Insurance Act and its regulations.

A number of provisions in the act refer to administrative penalties and restitutions. These provisions can be found under sections 38, 39, 65.1, 135, 136, 137 and 141.

The purpose of EI is to support those who have lost their job through no fault of their own.

Last year, Service Canada intercepted and stopped nearly half a billion dollars in ineligible payments. Public servants have a fundamental role to play in service to Canadians and their communities and in the public interest, in accordance with the law.

They have a responsibility to maintain the integrity of the programs and uphold the public trust. In all activities related to their professional duties, public servants must adhere to the values and ethics code of the public service.

We have an integrity function built into the system. Service Canada's integrity services branch is responsible for investigating client error, fraud and abuse. It ensures that clients receive the right benefits, at the right time, for the right purpose.

We have mechanisms to detect overpayments and stop any further incorrect payments. In short, when we find errors or abuses in the system, we put a stop to them, and less money is erroneously paid out.

As the member well knows, this is the money that has been entrusted to the government by workers and employers for the administration of the employment insurance system. It is our responsibility to ensure it is used correctly. The techniques we use to detect anomalies remain protected government information. We take any breach of information very seriously, and we act to prevent it from recurring.

Service Canada has a responsibility to find and stop inappropriate claims so that Canadians who have paid into the system can access these benefits when they need them.

Employment InsuranceAdjournment Proceedings

June 4th, 12:40 a.m.

NDP

Anne-Marie Day NDP Charlesbourg—Haute-Saint-Charles, QC

Mr. Speaker, allow me to point out how ironic it is of the Conservative government to use extremely severe and discriminatory methods against honest Canadians who are looking for work when the Prime Minister is prepared to defend his unelected senators, tooth and nail, until they are caught red-handed. Again, those senators are not even required to step down; yet, workers are subjected to very rigorous investigations and practically found guilty from the start. That is what we call a double standard.

Another thing: workers and employers pay their premiums. The government has not been contributing to the employment insurance fund since the 1990s.

Canadians are fed up with these policies that favour cronies and go after honest workers. Honest workers are the ones who drive the economy. They are the ones who want good jobs. They are the ones who are the pride of our regions. They are the ones that run the seasonal sectors.

Canadians deserve better.

Employment InsuranceAdjournment Proceedings

June 4th, 12:40 a.m.

Conservative

Kellie Leitch Conservative Simcoe—Grey, ON

Mr. Speaker, as I already mentioned, last year nearly half a billion dollars in ineligible payments were detected and stopped by Service Canada.

The purpose of EI is to support those who have lost their job due to no fault of their own.

Service Canada has been clear that it does not have quotas, as there are no consequences for not meeting service delivery targets.

Since 1993, officials have used targets to find and stop inappropriate claims, so that Canadians who have paid into the system can access these benefits when they need them.

We are committed to maintaining a fair and equitable EI system.

Science and TechnologyAdjournment Proceedings

June 4th, 12:45 a.m.

NDP

Laurin Liu NDP Rivière-des-Mille-Îles, QC

Mr. Speaker, at this late hour I am pleased to have the opportunity to return to a question that I raised on March 21, when my colleague from Burnaby—Douglas and I condemned the Conservatives' war against science. The previous day, the entire Conservative caucus had voted against an NDP motion to defend publicly funded, basic scientific research.

I think it is worthwhile for me to read the motion in order to show that the Conservatives acted in bad faith when they voted against science. The motion stated:

That, in the opinion of the House: (a) public science, basic research and the free and open exchange of scientific information are essential to evidence-based policy-making; (b) federal government scientists must be enabled to discuss openly their findings with their colleagues and the public; and (c) the federal government should maintain support for its basic scientific capacity across Canada, including immediately extending funding, until a new operator is found, to the world-renowned Experimental Lakes Area Research Facility to pursue its unique research program.

As you can see, it was not a bad motion. Yet, the Conservatives voted against it.

Several things have changed since we debated this motion two months ago. For example, I am pleased to note that the Experimental Lakes Area research station has resumed its activities following an eleventh-hour intervention by the International Institute for Sustainable Development.

Also, in May, the Conservative government confirmed that it wanted the NRC to orient its priorities toward the needs of private companies. No more basic research at the NRC. No more magnetic resonance research.

I should note that the Conservative government's decision to change tack and direct its investments toward commercial applications is contrary to the strategy adopted by champions of innovation.

I went to Washington last April to meet with senior American science policy officials. I found that they want to achieve a balanced approach. They believe that basic research and the social sciences are no less important than applied sciences. I read an interesting speech by President Obama on the subject. I would like to quote from that speech.

One of the things I have tried to do over the past four years and will continue to do over the next four years is to make sure that we are promoting the integrity of our scientific process, that not just in the physical and life sciences, but also in fields like psychology and anthropology and economics and political science—all of which are sciences because scholars develop and test hypotheses and subject them to peer review—but in all the sciences, we have got to make sure that we are supporting the idea that they are not subject to politics, that they're not skewed by an agenda, that, as I said before, we make sure that we go where evidence leads us. That's why we've got to keep investing in these sciences.

Since science exists in a world without borders, and since the Americans are our primary partners in science and innovation, I hope that the Conservative government will heed this call for wisdom and adopt a more balanced approach. The Science, Technology and Innovation Council released a report stating that, even though Canada ranked 16th in investment and research in 2005, it had fallen to 23rd place by 2011. That is the Conservatives' record on science and technology.

Science and TechnologyAdjournment Proceedings

June 4th, 12:45 a.m.

Simcoe—Grey Ontario

Conservative

Kellie Leitch ConservativeParliamentary Secretary to the Minister of Human Resources and Skills Development and to the Minister of Labour

Mr. Speaker, I am happy to respond to the comments made earlier by the hon. member.

Since the Prime Minister launched our country's science and technology strategy in 2007, we have made substantial investments to strengthen Canada's research advantage. Since 2006, our government has provided more than $9 billion in new resources to support science, technology and growth in innovative businesses. We have helped Canada attract and retain research talent and create a highly skilled workforce that is required for a more prosperous economy. In fact, over the past decade, we have seen a net migration of researchers into the country because of the tremendous opportunities available in Canada.

Guided by our strategy, Canada has reached the top of the OECD's G7 rankings for higher education expenditures on R and D expressed as a percentage of GDP. Our government will continue to support freshwater research across the country. Since 2006, we have invested significantly to support science that is crucial to the long-term sustainability of Canada's oceans and resources. These investments have included the refurbishment of over a dozen labs, the construction of three science vessels, the completion of ocean mapping, support to commercial fishing in the Arctic, the establishment of an Asian carp initiative and the development of adaptive strategies to climate change.

We have also supported excellent freshwater research performed by our post-secondary institutions. The knowledge infrastructure program invested $2 billion in more than 500 post-secondary infrastructure projects across the country, including projects related to freshwater research. This significant investment provides economic stimulus, creates jobs and helps generate the advanced technology infrastructure needed to keep Canada's institutions at the forefront of scientific advancement.

We are proud of the work of our scientists. Guided by our science and technology strategy, we will continue to support them in their undertaking of world-class research that builds on the knowledge of our oceans, waterways and fisheries resources.

Science and TechnologyAdjournment Proceedings

June 4th, 12:50 a.m.

NDP

Laurin Liu NDP Rivière-des-Mille-Îles, QC

Mr. Speaker, I am always surprised by this government's arrogance when it brags about supporting science. On the contrary, no government since Confederation has been so hard on scientists. The government is notorious for showing distrust of and disdain for science and fact-based policies. I can provide some examples.

This government sent layoff notices to 11% of its 17,000 scientists. This government also muzzled scientists, librarians and even government archivists. This Conservative government cut funding allocated to fundamental research and prioritized private-sector research over public scientific research. This government also cut funding to research that could embarrass them politically, particularly in the area of climate change. It stacked boards of directors and it made changes to the priorities of granting councils. Finally, this government redirected funding to benefit star researchers at the expense of young researchers.

I could go on and on, but I do not have the time. I will conclude with a hope that in 2015, Canadians will vote for a government that believes in the freedom of science and that will govern on the basis of facts instead of ideological biases.

Science and TechnologyAdjournment Proceedings

June 4th, 12:50 a.m.

Conservative

Kellie Leitch Conservative Simcoe—Grey, ON

Mr. Speaker, this government is extremely proud of its scientists and its record for supporting science and research in the country. Since the Prime Minister launched our country's science and technology strategy in 2007, we have made substantial investments to strengthen Canada's research advantages. As I mentioned before, since 2006, our government has provided more than $9 billion in new resources to support science, technology and growth in innovative businesses.

Guided by our science and technology strategy, our government will continue to support federal scientists and researchers who undertake world-class research in these areas that benefit all Canadians.

Science and TechnologyAdjournment Proceedings

June 4th, 12:50 a.m.

Conservative

The Acting Speaker Conservative Bruce Stanton

Pursuant to an order made on Wednesday, May 22, 2013, the motion to adjourn the House is now deemed to have been adopted. Accordingly, this House stands adjourned until later this day at 10 a.m., pursuant to Standing Order 24(1).

(The House adjourned at 12:53 a.m.)