That, in the opinion of the House, in relation to the proposed tax on distributions from publicly traded income trusts or publicly traded partnerships, other than those that only hold passive real estate investments, the government should repeal its planned 31.5 per cent tax regime and replace it with an immediate 10 per cent tax to be paid by such entities with the revenue to be shared equitably with provincial governments provided that the tax would be refundable to investors who are Canadian residents in order to: ( a) minimize the loss of savings to Canadians who invested in income trusts; (b) preserve the strengths of the income trust sector; (c) create tax fairness by eliminating any tax leakage caused by the income trust sector; and (d) create neutrality by eliminating any incentive to convert from a corporation to an income trust purely for tax purposes.
