Mr. Speaker, I rise today to speak in favour of budget 2016, and specifically Bill C-15.
At the outset, I want to let this House now how proud I am of this budget, and how proud I am to be part of a government that believes in Canada, believes in Canadians, and believes in restoring hope and rewarding hard work.
This government is taking on what the past government could not, which is giving Canadians relief where it is needed most and removing measures that provided little to no help to many Canadians.
Investment is desperately needed, and it is needed now. Canada has the lowest debt-to-GDP ratio of any G7 country, and interest rates are at historic lows. Now is the ideal time for Canada to invest in its future success.
The strategic and smart investments in budget 2016 will strengthen and expand the middle class, reduce inequality among Canadians, and what I think is especially important, position Canada for sustained economic growth for years to come.
There are five important points that I would like to make in the House today about Bill C-15. One is the elimination of the boutique tax credits. Second is the Canada child tax benefit, which will help more people, tax free. Third, I will talk a little about much-needed help for seniors. Fourth, I will talk about connecting people with their tax benefits more efficiently and, last but not least, support for veterans.
We speak a lot about fairness in this House: fairness in our marketplace, for our constituents, and fairness throughout this great country. However, in the past, this fairness was hindered by promises that were just an illusion for many Canadian families.
The past government created a series of boutique tax credits. These were many small, seemingly significant benefits that were designed to help Canadians, but frankly were simply smoke and mirrors. There were tax credits, like the children's fitness tax credit and the children's art tax credit, which appear at first glance to help all families. However, families quickly realized that they only provided a 15% tax credit on the first $500 for families who could already afford these activities. It did nothing for those families who could not afford the activities in the first place.
For many Canadian families, the reality is that after food, shelter, and all other necessities, little is left over to help their children become more involved in the community through extracurricular activities. This means that those who needed it most were unable to garner that support.
Bill C-15 is one of the first steps this government is taking to better distribute benefits and programs more fairly to those who need it the most. That means removing the boutique tax credits and ensuring that support does go to those who need it, the low and medium-income families of Canada.
I think we can all agree that it is essential that Canada invest in its children. This government is also working hard to distribute money to those who need it most through the new Canada child benefit.
Canada's existing child benefit system is complicated, and it is not tax free nor income tested. The system set forth by the previous government is flawed and ultimately inadequate in meeting the demands of so many Canadian families. Once again, it does not target those who need it the most.
Our government will focus on giving Canadian families more money to help with the high cost of raising their children by replacing the current complicated system with the new CCB. This new system will provide a maximum annual benefit of up to $6,400 per child under the age of six, and up to $5,400 per child for those aged six through 17. Families with less than $30,000 in net income will receive the maximum benefit.
With the introduction of this much better targeted Canada child benefit, about 300,000 fewer children will be living in poverty by 2017. There will be 300,000 young Canadians with greater opportunity and greater hope for their future.
This government has also made a clear commitment to improving the lives of seniors. A key element of this commitment is improving the quality of life for seniors through strengthening public pensions and increasing social infrastructure funding for seniors living.
The government would make significant new investments to support seniors in their retirement years. These increased benefits would ensure that Canadian seniors have a dignified, comfortable, and secure retirement. While Canada's retirement income system has been successful in reducing the incidence of poverty among Canadian seniors, many seniors continue to be at risk of living in poverty.
Budget 2016 has committed to increasing the guaranteed income supplement top-up benefit to $947 annually for the most vulnerable single seniors, which would support those seniors who rely almost exclusively on old age security and the guaranteed income supplement. Our senior population is growing, and this government understands that every individual deserves a retirement that is safe, affordable, and ultimately, sustainable for years to come.
Not only would these benefits be available to those who need it most, but this government has also made it clear that it wants all Canadians to be aware of tax benefits for which they qualify. While the tax system seems overwhelming and daunting to so many Canadians, this government would increase accessibility through outreach and simplified tax return processes. Through proactive outreach, Canadians are more likely to know of and collect the benefits they deserve.
With fewer slips and credits to claim, Canadians' tax returns would be simpler. This reflects a new approach for government, one that offers immediate help for those who need it most and helps to set the course for growth for all Canadians.
Budget 2016 is an ambitious long-term plan to strengthen the heart of Canada's economy, but I also want to highlight the commitment to veterans that is found in this implementation bill. I think we can all agree in the House that the government has a sacred obligation to veterans, an obligation we must meet with respect, gratitude, and appreciation. Our brave veterans have dedicated their lives to the defence of our great nation, and they are worthy of our unwavering support. We will give back to our veterans, who have given so much in service to all Canadians. The budget would restore critical access to services for veterans and ensure the long-term financial success of disabled veterans.
Once again, I am proud to support this budget and encourage all members of the House to vote in favour of Bill C-15. By investing in those who need it most, we will make vast improvements in the lives of so many Canadians. Support for our children, support for our seniors, and support for our veterans are important to all Canadians.
Further, budget 2016 is a clear step toward a prosperous future. It offers immediate help to those who need it most and lays the groundwork for sustained, inclusive economic growth that will benefit Canadian families for years to come. When Canadians have more money to save, more money to invest, and more money to grow our economy, everyone benefits.
Making investments in these critical areas will be great for all Canadians. I urge all members in the House to support Bill C-15.