Trudeau's Tax Binge
When listening to the rhetoric of Justin Trudeau's Liberals, I'm left wondering what happened to the old middle-of-the-road, business minded Liberals, like John Manley, who was the Deputy Prime Minister, Finance Minister between 2002 and 2003 and is now the chair of CIBC's board of directors. Why isn't a guy like this the leader of the Liberal Party instead of Justin Trudeau, a part-time drama teacher and lucky lecturer (with the Trudeau name)?
The Liberal mission, as per their website, is to represent Canadians in Parliament, to realize the Liberal vision and to have Liberal values and principles embodied in the governance of our country. This hardly sounds like Justin wants to represent all Canadians. In fact, it sounds like the Liberal way or the highway. Since Trudeau won't tell us his platform until the 2015 election, when Canadians have very little time to digest what he has to say, Canadian's could end up with a government they know nothing about.
We do have a few crumbs that Trudeau has thrown out to his undefined and so-called "middle class", like the promised CO2 tax (carbon tax), legalized marijuana, and his Obama-style stance on ISIS. As far as his stance on the west to east oil pipeline, it becomes a little more confusing. When speaking in Quebec, he's against it. When in Alberta, he's for it. You could get away with this double talk and trickery in the old days, but now, with the internet, he's been caught.
There are a few other Economic Policy tidbits, like creating jobs by granting Employment Insurance credits of $1300 for businesses to hire new workers. Under the Liberal plan, Trudeau thinks up to 175,000 new jobs could be created. The thing is, where is all this cash coming from? My guess is that it would come from you, the taxpayer. Since Canadians are already paying over 40% of their income to taxes, to all three level of government and climbing, I would think there could be just as many jobs lost when consumers cut back on their purchases due to high taxes and fees. But this is the Liberal Party's idea for everything. More tax, then spend.
Of course, the Liberals also posted on their website that they want to "work closely with the provinces to enhance the Canada Pension Plan to ensure retirement security for all Canadians". What Canadian wouldn't like this? More money from the government when they retire. Especially the baby boomers that are all starting to retire now. Unfortunately, or fortunately (depending how you look at it), changes to the CPP require the approval of at least 2/3 of Canadian provinces, representing at least 2/3 of the country's population. In addition, under section 94A of the Canadian Constitution, pensions are a provincial responsibility. My guess is that this will be another Trudeau tax grab from business, big and small. My second guess is that the younger generation doesn't realize they are going to foot a very large bill for the baby boomers, since they represent close to 1/3 of the population and are starting to retire now. Personally, I can't complain since I'm one of the baby boomers. So, thanks in advance to the next generation. By the way, Greece already tried this and look where they are today. Broke.
The fact is that the Liberal plans require increased taxes for all, instead of building up the tax base through helping business grow. A strong business community mean jobs and prosperity. This is why PM Harper has been busy traveling the globe signing new trade agreements, like the European trade agreement which gives Canadian businesses access to the very large European market.
Trudeau's tax and spend policies, like the Ontario Liberal policies, are wrong. In following Trudeau, Canada will end up in the same mess as Ontario and Greece: billions in debt with no way of paying it off. Unless, you may have guessed it, Trudeau becomes PM and increases your taxes to reduce Ontario’s debt.
Trudeau represents a new Liberal Party that believes the budget will balance itself, unlike the old Liberals like Manley. So, voters beware.