NDP try to scrap corporate tax cuts
Mukluk @ Mon Apr 25, 2005 12:26 pm
Here we go with the NDP trying to tell the Liberals how to attract corporations to Canada. They figure the first course of action is to get rid of the proposed corporate tax cuts.
That's a GREAT idea! With ideas like this, we will all be like Saskatchewan in no time flat: A ton of resources, with no companies wanting to come and play.
If people wanted NDP policies in place in Canada, we'd have voted for them...
No?
m
cbc.ca
Robair @ Mon Apr 25, 2005 1:28 pm
Canada is already the cheapest place in north America to do business. (That's before Martins tax break) Companies aren't investing in Canada, they are purchasing Canadian companies and moving abroad. Martin says he's helping small business, but as soon as a small business starts doing well here, it is purchased by an American or overseas compeditor and absorbed or shut down. There has not been any protection for the canadian industry since Molroney.
The NDP are too left for me... but they are right on the money with this one. Only, I wouldn't use the money saved on social programs...
Agitator @ Mon Apr 25, 2005 4:29 pm
Robair Robair:
Canada is already the cheapest place in north America to do business. (That's before Martins tax break) Companies aren't investing in Canada, they are purchasing Canadian companies and moving abroad. Martin says he's helping small business, but as soon as a small business starts doing well here, it is purchased by an American or overseas compeditor and absorbed or shut down. There has not been any protection for the canadian industry since Molroney.
The NDP are too left for me... but they are right on the money with this one. Only, I wouldn't use the money saved on social programs...
The NDP are too left for me... but they are right on the money with this one. Only, I wouldn't use the money saved on social programs...
So you’re saying the way to prevent this is to keep tax rates where they are? Isn't what you’re saying above the whole point of the tax breaks?
Robair @ Mon Apr 25, 2005 5:24 pm
Can someone translate Agitators post?
Canada is already the cheapest place to do business among all industrialized nations. That is a fact. So if you are doing business in Canada, you already have a kick ass advantage... so what are the tax breaks for? A bigger advantage?
Canada also has by far more foriegn owned businesses than any other nation on earth. I mean, it is getting rediculouse. Not only is Canada being sold out from under us, but canadian banks are financing the buyouts! That's right, our companys are leaving the country with no exchange of foriegn capital coming in... it's our own money!! How f*cked up is that?!
Canadian companys, large or small, don't need tax breaks to be compedative. What they need is protection.
Every other industrialized nation on earth protects its industry from forieng takeover. Canada used to have this protection as well but Brian Mulroney abolished the Foreign Investment Review Agency, and replaced it with Industry Canada’s Investment Review Division. This Investment Review Division has never turned down one takeover. NEVER since it was instated.
We need the Foreign Investment Review Agency back. Take the money that was going to this tax break and put it (at least some of it) into this review agency. Anything left over should go to the millitary, those guys are living in condemed housing.
If there is an election called, I would like to see the canidates peppered with questions regarding this topic. I don't think most Canucks know enough about it, if they did, we would be screaming bloody murder.
Agitator @ Mon Apr 25, 2005 6:49 pm
Robair Robair:
Can someone translate Agitators post?
Sorry I’ll try to clarify.
Robair Robair:
Companies aren't investing in Canada, they are purchasing Canadian companies and moving abroad. Martin says he's helping small business, but as soon as a small business starts doing well here, it is purchased by an American or overseas compeditor and absorbed or shut down.
What I’m suggesting is the tax breaks are an attempt to stop purchasing of companies and moving them abroad.
I read the link you provided interesting read.
Robair @ Mon Apr 25, 2005 7:10 pm
Agitator Agitator:
What I’m suggesting is the tax breaks are an attempt to stop purchasing of companies and moving them abroad.
Oh. I don't think that is what Martins crew is up to at all. Mulroney may have got the ball rolling, but the liberals have been doing everything they can to speed the ball up ever since. I don't think the NDP has ever been afraid of pissing off big business... they may be the esiest ones to convince that this is an important issue. Or maybe the Bloc would, I have no idea, been to their website but it's all in French, no english version. 
Anyway, unless their is a huge stink raised, I know the Liberals and Conservatives will not stop selling Canada off at a very rapid pase.
Most Canucks, when told about the amount of US ownership in Canada say "Yea but what can you do?" I think we can do what we were doing before Mulroney... why not?
Agitator Agitator:
I read the link you provided interesting read.
I'm halfway through his book, every time I read it I get pissed off 
and have to put it down. So I've been reading it for awhile.
Robair @ Tue Apr 26, 2005 5:48 am
Avro Avro:
At least we don't give tax breaks to companies who outsource jobs to other countries like W does. This as we have seen does wonders for your trade deficit.
Comparing our problems to those of Americas doesn't improve our situation any.
We need the Foreign Investment Review Agency back. Go tell your MP. Now. Do it.
Scape is very well versed on this topic, I'm suprised he hasn't chimed in yet. Hey Scape! Come edumacate us.
Scape @ Tue Apr 26, 2005 11:27 am
Actually, Robair your doing a fine job, thanks for the heads up BTW. I think that the topic focus was that we didn't vote for the NDP ergo we are in favor of tax cuts. As I recall we didn't vote for the GST either and well...
Lower taxes means less social spending: higher pressure to lower minimum wage laws and child labor laws. It undermines labor unions concept of collective bargaining, environmental regulations, standards for public education, civil rights legislation and public broadcasting. Anyone who is in support of cheap labour loves this as it means that they can make more wage slaves while making more money. This is not enriching the country but making us all poorer to make a select few rich. Lower taxes to get more business is the call of the Robber Baron.
There has to be a balance at some point. We need to keep Canadian business in Canada and protected by unfair trade practices of other nations until they are able to compete. I am against the idea of a Bombardier type business that gets contracts from the government but in the same token we need to keep intuitions like the Canadian Wheat Board. Lowering taxes is a quick fix but it is attacking the symptom not the cause. We need to encourage Canadian industry but not at the expense of the country as a whole.
DrCaleb @ Tue Apr 26, 2005 12:00 pm
Scape Scape:
We need to encourage Canadian industry but not at the expense of the country as a whole.
Exactally Scape. Corporations don't 'pay' taxes anyhow. Those costs are passed to the consumer. Reduce the consumer's taxes (we do have a surplus budget, after all!) and reduce taxes for the largest employers (small, medium business) and let the multiantionals pay their fair share.
Businesses aren't going to leave while we have such a skilled workforce and overabundance of natural resources.
Strange though, the government was the #1 leader in employment growth last month. If they want to increase funding to social programs, perhaps they aught to reduce their costs and decrease the government payroll.
PluggyRug @ Tue Apr 26, 2005 1:18 pm
Does anyone think that the rise in government employment (to show good employment figures) is maybe a Liberal election campaign?
Scape @ Tue Apr 26, 2005 1:36 pm
The best way to reduce taxes is by keeping a balanced budget and paying down the debt. We have been doing that 8 years in a row now and forecasts for the next five is more of the same.
The dividend will be increased investment as our net worth swells and less money wasted on interest paying down the debt. Tax cuts are like fad diets, they just don't work in the long run.
harrod @ Tue Apr 26, 2005 6:15 pm
$1:
Typical right wing rehtoric that is becoming sooooo tiring. Canada already does plenty to attract big buisness. One good example of this is our national health care program.
I will say however that I do support lowering taxes of small to medium size buisness which is included in the corperate tax cut that is in the budget. This is where Mr. Layton drops the ball and misses an opportunity to send some sort of possitive message to those that own their own buisness, believe it or not Jack these people work too.
You appear to suffer a massive case of indecisiveness known also as having your cake... What is it with you that you decry those who crave tax cuts yet criticize the person who would take them away.
I will say however that I do support lowering taxes of small to medium size buisness which is included in the corperate tax cut that is in the budget. This is where Mr. Layton drops the ball and misses an opportunity to send some sort of possitive message to those that own their own buisness, believe it or not Jack these people work too.
Try to make up your mind, if you can.
Robair @ Tue Apr 26, 2005 6:39 pm
DrCaleb DrCaleb:
Reduce the consumer's taxes (we do have a surplus budget, after all!) and reduce taxes for the largest employers (small, medium business) and let the multiantionals pay their fair share.
Businesses aren't going to leave while we have such a skilled workforce and overabundance of natural resources.
No tax breaks, I don't care how small the business is. The reason for corperate tax breaks is to make Canada more business friendly, right? But Canada is already the cheapest industrialized nation in which to conduct busines!! Why throw more money into the incentive pit?Businesses aren't going to leave while we have such a skilled workforce and overabundance of natural resources.
Here's that article:
$1:
Canada is the least costly place to conduct business compared with its major industrialized counterparts, despite the tempering impact of a sharply higher Canadian dollar, a new study said Wednesday.
Even with the 20-per-cent appreciation of the Canadian dollar against its U.S. counterpart last year, this country came in first in the professional services firm's ranking of 11 industrialized nations from North America and Europe as well as the Asia-Pacific region.
Australia ranked second.
Canada's business costs were about 9 per cent below those seen in the United States, although that lead was lower than the 14.5-per-cent lead reported in KPMG's 2002 study.
International Trade Minister Jim Peterson called the report's finds a source of “great pride” for Canadians.
“Canada should be at the top of the list looking to establish or expand their operations in North America,” he said.
In terms of city rankings, all of Canada's major centres placed ahead of their U.S. counterparts, the study said. Costs in Canadian centres were between 4 per cent and 15 per cent below those seen in U.S. cities.
Of the world's major international cities -- with metropolitan populations of more than two million -- Montreal topped the list as the least expensive in terms of business costs, followed by Melbourne and Toronto.
At the other end of the spectrum, Yokohama ranked as the most expensive, followed by Frankfurt. London and New York ranked third and fifth, respectively.
“The good news for Canada is that even if the Canadian dollar were to rise in value to more than 90 cents (U.S.), Canadian cities will continue to enjoy a significant cost advantage over their U.S. counterparts,” Rob Brouwer, managing partner with KPMG in Toronto, said.
According to the report's details, salary and wage costs in Canada ranked second after Italy. Britain and France followed in third and fourth, respectively.
As well, Canada offered the lowest electricity costs among all countries. The costs for statutory holidays -- as a percentage of payroll -- was the lowest in Canada.
The 2004 study measured 27 costs -- including labour, taxes and utilities -- applied to business operations in 11 counties. The research included an analysis of those costs in 98 cities around the globe.
The basis for comparison in the study was the after-tax cost of start-up and operation for 12 types of business, over a 10-year period.
In the overall ranking, the United States placed seventh, but also experienced the greatest improvement in cost competitiveness compared with the previous year's study. The gain were largely the result of a weaker U.S. dollar against world currencies. Wednesday's report called the weaker U.S. dollar the most important factor affecting international business competitiveness during the study period.
Japan and Germany were the most expensive countries to do business in of the 11 nations surveyed. As the most expensive, Japan's business costs were 24 per cent higher than those in the United States, which was used as the baseline comparison.
As you can see, even after the sharp increase in the Canadian dollar and before Martins proposed tax cuts, Canada comes out on top, much further ahead than our compeditors to the south.
Even with the 20-per-cent appreciation of the Canadian dollar against its U.S. counterpart last year, this country came in first in the professional services firm's ranking of 11 industrialized nations from North America and Europe as well as the Asia-Pacific region.
Australia ranked second.
Canada's business costs were about 9 per cent below those seen in the United States, although that lead was lower than the 14.5-per-cent lead reported in KPMG's 2002 study.
International Trade Minister Jim Peterson called the report's finds a source of “great pride” for Canadians.
“Canada should be at the top of the list looking to establish or expand their operations in North America,” he said.
In terms of city rankings, all of Canada's major centres placed ahead of their U.S. counterparts, the study said. Costs in Canadian centres were between 4 per cent and 15 per cent below those seen in U.S. cities.
Of the world's major international cities -- with metropolitan populations of more than two million -- Montreal topped the list as the least expensive in terms of business costs, followed by Melbourne and Toronto.
At the other end of the spectrum, Yokohama ranked as the most expensive, followed by Frankfurt. London and New York ranked third and fifth, respectively.
“The good news for Canada is that even if the Canadian dollar were to rise in value to more than 90 cents (U.S.), Canadian cities will continue to enjoy a significant cost advantage over their U.S. counterparts,” Rob Brouwer, managing partner with KPMG in Toronto, said.
According to the report's details, salary and wage costs in Canada ranked second after Italy. Britain and France followed in third and fourth, respectively.
As well, Canada offered the lowest electricity costs among all countries. The costs for statutory holidays -- as a percentage of payroll -- was the lowest in Canada.
The 2004 study measured 27 costs -- including labour, taxes and utilities -- applied to business operations in 11 counties. The research included an analysis of those costs in 98 cities around the globe.
The basis for comparison in the study was the after-tax cost of start-up and operation for 12 types of business, over a 10-year period.
In the overall ranking, the United States placed seventh, but also experienced the greatest improvement in cost competitiveness compared with the previous year's study. The gain were largely the result of a weaker U.S. dollar against world currencies. Wednesday's report called the weaker U.S. dollar the most important factor affecting international business competitiveness during the study period.
Japan and Germany were the most expensive countries to do business in of the 11 nations surveyed. As the most expensive, Japan's business costs were 24 per cent higher than those in the United States, which was used as the baseline comparison.
Take that money and use it to protect Canadian industry if anything. If you haven't already read my previouse link, read it! Canadian industry is in trouble but it isn't because of the high cost of conducting business here so it is not the kind of trouble a tax break would fix. Actually, it might speed up the problem...
I totally agree with Mr. Layton on the flat out dropping of the corperate tax break, I just don't agree with him on where that money should be spent instead.