Madam Speaker, again, I thank my colleague for his initiative. However, I would like to point out that it is this government that has made an historic investment to combat tax evasion.
My colleague is talking about Barbados, but I might point out that the Minister of National Revenue was clear on the subject of tax evasion. We are currently conducting audits on the Isle of Man. To put what my colleague said into perspective, in a 12-month period, $860 million was transferred to the Isle of Man. This is a global problem that requires international co-operation. It is historic investments like the one we have made that will help us work on eradicating tax evasion.
I appreciate the opportunity to discuss the issue raised in today's motion.
Addressing questions of tax fairness and integrity are a fundamental part of and a priority of this government, and that is because they are a matter of fundamental importance to Canadians.
Canadians work hard to build a better life for themselves, their families, and for their communities. Through their efforts, innovation, and integrity, they are building a strong economy for today and future generations. They deserve to fully share in the promise and potential that Canada has to offer.
We believe that Canada's tax system should reflect this fundamental principle of fairness. Our government is inspired by this vision in everything we hope to accomplish. It is based on the premise that everyone contributes their fair share and that everyone can benefit in return.
Unfortunately, tax evasion and avoidance undermine this basic social contract. It comprises our ability to collectively support some of our most vulnerable fellow Canadians. It shifts the financial burden on to Canada's middle class, while inappropriately benefiting some who may be more than capable of paying their own fair share.
This is why we have taken decisive action through budget 2016 to crack down on tax evasion and combat tax avoidance. Our budget will invest $444.4 million over five years to enhance the Canada Revenue Agency's assessment capabilities, through hiring additional auditors and specialists who will have the resources needed to undertake more comprehensive investigative work.
However, we also recognize that assessing tax revenues alone is not enough. Once we assess these tax revenues, we then need to collect the unpaid amount. That is why budget 2016 is investing an additional $351.6 million over five years to improve the CRA's ability to go after and collect these outstanding tax debts.
However, our efforts to support tax fairness do not stop at improved compliance and collection. Canada's tax system needs ongoing adjustment to ensure it is functioning as intended and contributing to the objective of an economy that works for everyone. Therefore, we will continue to take legislative and other actions to improve the integrity of Canada's tax system on both international and domestic fronts to ensure that.
For example, we are acting on a number of recommendations from a multilateral project to address international tax planning arrangements undertaken by multinational enterprises to inappropriately minimize their taxes. We are also in the process of implementing the automatic exchange of financial account information to better combat international tax evasion.
As well, budget 2016 takes action to address unintended tax advantages that businesses and wealthy individuals may be able to obtain through sophisticated tax planning techniques involving private corporations. I want to assure all Canadians that the government will continue to identify and address inappropriate tax planning schemes to ensure that the tax system operates as fairly and effectively as possible.
These actions are not just consistent with the basic principles of economic efficiency and responsible fiscal management. They are consistent with the basic principle of fairness that defines us as a nation. Tax evaders and avoiders would do well to take note of these initiatives.
By improving compliance both domestically and internationally and from the underground economy, we expect to recoup around $2.6 billion in fairly owed revenues over five years.
This is revenue that we will be investing in empowering all Canadians to build better lives for themselves. It will help strengthen and grow our middle class, and enable more Canadians to contribute to and share in the prosperity that our country has to offer.
A strong and reliable federal revenue base is essential to the well-being of Canadians. It helps pay for things like the Canada child benefit that was introduced in budget 2016. The Canada child benefit is the most significant social policy innovation in a generation.
A stronger revenue base will help support our new budget 2016 investment in education, infrastructure, training and other programs that will help to secure a better quality of life for Canada's indigenous people, building a stronger, more unified, and more prosperous Canada.
It will support our budget's new investment to modernize and upgrade public transit, improve water and waste water systems, expand affordable housing, and protect the infrastructure we depend on from the effect of climate change.
The billions of dollars we recoup in forgone tax revenues will also support our budget investments to help seniors in their retirement years, with increased benefits to ensure that Canadian seniors have a dignified, comfortable, and secure retirement.
It will support increased funding for innovation, collaboration, and partnerships to protect the integrity of our health care system.
In short, it will help us advance our plan to put people first, and deliver the help they need now, while investing for the years and decades to come. It will do so while helping to prevent underground economic activity, tax evasion, and the exploitation of tax loopholes.
These achievements are two sides of the same coin. On the one side, everyone contributes their fair share and on the other, everyone can benefit in return.
These are the principles that unite and inspire us as Canadians and as a government. I can assure the hon. member that these principles will continue to guide us in our efforts to clamp down on tax evasion and avoidance, to improve the integrity of Canada's tax system, and to invest in a Canada that is fair and prosperous for all.