Tag Archives: tax cuts

MayDay 2011: Canada UnCut

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The YesLab in the US released a fake statement from GE claiming that GE will commit to donating their entire tax refund to offset job loss in the US.  Several media organizations actually fell for the stunt.

This was the Yes Lab’s latest foray into the world of shock journalism, something that the people in mainstream media will need to take seriously.

It was also part of a promotion of something much more important:  US Uncut, a project that is gaining steam in the US to protest the tax avoidance of most major US companies.  US Uncut is something that actually grew from UK Uncut.

I found myself wondering if Canada has an equivalent and we do:  Canada Uncut.  They lay out some important facts:

  • Canada will have lost $60 Billion in tax revenue between 2007 and 2013 from corporate tax cuts enacted since 2007
  • Canada will have lost a total of $220 Billion in total tax revenue from tax policies enacted since 2007
  • By 2007, the top 1% of the wealthiest Canadian families had less of a total tax burden than the poorest 10% of families
  • According to Statistics Canada, in 2004, foreign-controlled corporations accounted for 30% of the total operating revenues, while only accounting for 1% of the total corporations within Canada. Foreign-owned corporations are most of Canada’s largest employers and the largest companies by value
  • New cuts to corporate tax breaks will actually cost Canadians a whopping $13.7 Billion every year
  • The (Stephen Harper) government admits that corporate tax cuts are the least effective form of government ‘spending’ to spur economic growth
  • Cuts do NOT create jobs:  There are 640,000 more unemployed working-age Canadians now than in February 2008

These are important messages that Stephen Harper is lying about and that Canadians need to be made better aware of.

I want a Canada Uncut sign for my lawn.

I smell an election – Part II

In this article , I suggested that an election will most likely be held before November 4.

I had no idea the Prime Minister would come out swinging the way he has been, poking jabs at Dion and treating him like a school-yard nerd, playing the bully role oh so well.

Coming out of a major caucus meeting, Prime Minister challenged Dion to pull the plug and Dion is nowhere to be seen all of a sudden. Dion’s lack of experience is clearly showing every single time these two mix it up. It’s like he’s cowering under the swingset waiting for his mommy to pick him up.

And the Harper government is coming out strong in a number of ways. A broad range of announcements are keeping them front and centre and they’re doing a great job of being sunny-bright and rosy when the economy is tanking because of their inability to acknowledge that our economy is not all about black goo in northern Alberta.

For example, Flaherty announced a $6 billion spending package, focusing on the infrastructure situation in the Province of Ontario. How can he do this when the Federal government is running a deficit? Is this a vision of more to come as the Conservatives spend desparately in a bid to maintain control over the Hill?

This issue exemplifies a massive contradiction in philosophy. When Flaherty was dumping all over the Province of Ontario (mainly because it’s a Liberal stronghold), he was calling for huge tax cuts to make Ontario more competitive. If McGuinty’s people complied, this Province would be running a deficit as well.

Also, the spending on infrastructure is not wise. ‘Infrastructure’ spending is a throw-back to the 50s, where politicians think tossing some short-term cash at the unemployed will solve all problems.

What we need is a commitment to invest in and build new industries. We don’t need more roads. Those should be bought and paid for by developers and the big box retailers. We need solar power and investment in Lower Churchill to save us from nuclear. We need to take action against the rising dollar and we need to find different markets so that we’re not at the mercy of the US dollar.

With election talk in the air, we’re starting to really see the way the Conservatives work. They talk tough. They shove and they shout. They use our money to buy their way out of the recession that they’re in the process of creating. They blame everyone but themselves for Canada’s economic situation.

What Canada needs to start doing is what the school-yard nerd does when subjected to this kind of taunting: get smart and embarass the hell out of them.

With any luck, someone will have the stones to fight back before the fall and call an election.