Canada
- Quebec won't claw back GST cut, but will look at
tariffs
Quebec's
finance minister says the government won't claw back the
1 per cent cut in the GST announced Tuesday by Ottawa,
but wants to draw up a new tarification policy.
Speaking before the tabling of Ottawa's economic
statement by finance minister Jim Flaherty, Monique
Jerome-Forget said she would welcome more money from
Ottawa for post-secondary education. But, the minister
says this tax cut was intended for taxpayers - and she
is a taxpayer too.
"I'm going to keep the money," she laughed
"and spent it myself."
But,
on the same day, Jerome-Forget announced she has
commissioned Universite de Montreal professor Claude
Montmarquette to take a look at what is the fairest, most
transparent way to pay for services.
"Services paid for by taxpayers aren't free,"
says the minister. "There are many ways we can
collect money."
But, does it mean more fees for Quebecers?
"Quebecers already pay many tariffs," says the
minister, "you would be surprised how many."
Because the province's sales tax is calculated on top of
the GST, the 1 per cent cut in the federal tax is also
expected to cost the province approximately $50 million.
Montmarquette will be assisted by business and political
strategist Lise Lachapelle, and Joseph Facal, a professor
at the Ecole des Hautes Etudes Commerciales and former
Parti Quebecois minister. Facal and Montmarquette were
also signatories to the 'Lucid Quebec' manifesto published
in 2005 which proposed solutions to the province's
economic and demographic challenges.
The minister also commissioned a second working group
chaired by Universite du Quebec a Montreal economist
Pierre Fortin which will look at ways to stimulate
economic investments in the province.
