Welcome

 

Canada - Carbon tax? Great! Let's scrap the GST

Logically, whenever Liberal Leader Stephane Dion gets around to announcing his carbon tax, he should simultaneously announce his intention to scrap the GST.



 

After all, the GST is a consumption tax -- a tax on goods and services -- and a carbon tax is the mother of all consumption taxes -- a tax on energy.

Since the use of energy is involved, directly or indirectly, in the manufacture, production and transportation of all goods and services in Canada, including some not covered by the GST, such as food, it would be absurd for Canadians to have to pay two, separate, regressive federal consumption taxes whenever they buy anything. (Make that three such taxes in provinces with a sales tax!)

Consider: The GST and Dion's carbon tax are so similar, that Dion promises his carbon tax will be "revenue neutral", just as Brian Mulroney's Conservatives promised their GST would be "revenue neutral" in 1991.

Plus, there are many other reasons for Dion to scrap the GST as part of his carbon tax proposal.

Why, for example, should taxpayers have to pay for a whole, new civil service bureaucracy to collect a carbon tax in addition to the one that already exists to collect the GST?

Instead, civil servants already collecting the GST could simply be redirected to collect the new carbon tax at no extra cost.

Finally, scrapping the GST would enable the Liberals to fulfil their 1993 election promise to ... uh ... scrap the GST.

And here's the best news!

Since Dion promises his new carbon tax will be "revenue neutral," Canadians are thus assured his proposed tax will not take any more money out of their wallets, in total, than would have been the case had the Liberals introduced a carbon tax separate from the GST.

Bottom line?

We lower carbon emissions (because that's what a carbon tax does, right?) and do our part to save the planet, all without having to pay one more cent in total taxes.

Source : Edmonton Sun - Alberta, Canada,  dated 16/06/2008

 

Privacy Policy|Disclaimer|Advertise|Sponsor

Copyright © 2001 Sriviven Software

Site Optimized for view with IE5+ 800 * 600