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Tax hike likely unavoidable, Liberal leader says

Federal Liberal leader Michael Ignatieff speaks at the Cambridge Chamber of Commerce.

ROBERT WILSON, Record staff

Federal Liberal leader Michael Ignatieff speaks at the Cambridge Chamber of Commerce.

CAMBRIDGE -- Federal taxes must go up to pay off Canada’s increasing debt, Liberal leader Michael Ignatieff said today.

The challenge, he said, is to ensure the economic recovery is not hurt by raising the taxes, Ignatieff told about 100 people at a Cambridge Chamber of Commerce breakfast meeting.

http://news.therecord.com/News/BreakingNews/article/520203

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So its impossible to decease spending?

Does this mean a return of the carbon tax in liberal policy, a policy authored by the Ignaieff?

In Canada, it is almost impossible to decrease spending. It seems to be in most countries. And no, it could mean that the GST goes back up....or income taxes.

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In Canada, it is almost impossible to decrease spending. It seems to be in most countries. And no, it could mean that the GST goes back up....or income taxes.

I would like to see the liberals campaign on this again.....

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So its impossible to decease spending?

When has Harper dramatically taken on spending cuts?

You are saying that you will quit the Tory party and go to another party if Harper ever raises taxes?

Does this mean a return of the carbon tax in liberal policy, a policy authored by the Ignaieff?

Ignatieff has already said he won't be introducing it.

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If Harper raises one tax, I will remind you of your stance now.

We aren't talking about ifs.... Harper isn't talking about raising taxes it would your leader who wants to get further in Canadians wallets.

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We aren't talking about ifs.... Harper isn't talking about raising taxes it would your leader who wants to get further in Canadians wallets.

Well, if your leader isn't going to cut service or spending, where is going to get the revenue to end the deficit? We aren't talking about ifs. Harper's record is major cuts on spending.

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Which civil servants? Do you know? Do you have some inside knowledge on who is and isn't needed, or is this just opinion?

Any civil servant who's job is duplicated because of the federal government infringing on provincial jursidiction. Not to mention those who look after the federal long gun registry and a whole host of others.

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Well, if your leader isn't going to cut service or spending, where is going to get the revenue to end the deficit? We aren't talking about ifs. Harper's record is major cuts on spending.

The normal way is to borrow.

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Well, if your leader isn't going to cut service or spending, where is going to get the revenue to end the deficit? We aren't talking about ifs. Harper's record is major cuts on spending.

What happens to tax revenue when economic activity picks up? His increased spending ins't long term programs. They are done when this budget is done.

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Any civil servant who's job is duplicated because of the federal government infringing on provincial jurisdiction.

This isn't the United States. We don't have a 10th Amendment. Almost any time in the past that the provinces have had their toes stepped on, they have gone to court and won. If you are talking about transfer payments, those are constitutionally mandated, and there is nothing that says there can't be strings attached.

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We aren't talking about ifs.... Harper isn't talking about raising taxes it would your leader who wants to get further in Canadians wallets.

Harper was clear that he sees no reason to raise taxes.

Ottawa won't need to raise taxes when the recession is over in order to bring the federal government's books back into surplus, Prime Minister Stephen Harper says.

---

"The concern is that these deficits will become permanent, and that will demand higher taxes. As you know, we aim to avoid that," Mr. Harper told CTV's Question Period in an interview taped on Saturday that aired Sunday. "We've been very clear. Spending will be limited. The government will not raise taxes, and we've been very clear on that."

http://www.theglobeandmail.com/servlet/sto...y/politics/home

From what I have read, we are not in a structural deficit. Although David Dodge and Kevin Page are troubled by the deficit, they are not saying that Canada is in a structural deficit.

Some economists, including the former governor of the Bank of Canada, David Dodge, and the parliamentary budget watchdog Kevin Page, have argued that Ottawa is treading perilously close to a "structural deficit" position. In other words, even if the recession hadn't driven down corporate and personal income tax revenues and prompted the government to jack up spending to stimulate demand, Ottawa would still be substantially in the red.

A structural deficit would imply that Ottawa would find it next to impossible to move back into surplus position within five years as promised in the last Conservative budget — unless the government raised taxes to bring in more revenue.

http://www.theglobeandmail.com/servlet/sto...y/politics/home

What Page acknowledged was that there is a $6B structural surplus which the government must not negate in any future budgetary action.

Surely, Ignatieff must be aware of the structural surplus and that, although there are concerns about the present deficit, we are not in a structural deficit. He is also aware of the government's fiscal plan to pay off the deficit.

First he said:

“I am not going to load a deficit onto your children or mine,” Mr. Ignatieff said after a speech that centred on the need for the federal government to unite people rather than divide them during these trying economic times.

---

Michael O'Shaughnessy, Mr. Ignatieff's press secretary, said later that the party has “no plan and no desire to raise taxes” in a recession.

http://www.theglobeandmail.com/servlet/sto...y/politics/home

(Does that mean that the Liberal party might raise taxes when we exit the recession?}

Aware that he had stirred up a hornet's nest, Ignatieff offered a clarification the very next day:

"No one in their right mind wants to shut off the recovery by raising taxes in any form," he said, adding he's troubled by the $80-billion deficit run up by the Conservatives.

"No responsible politician looking at that number can excuse, forever and a day, raising additional revenue ... No Canadian is going to believe you.

"Once recovery is underway and we are still stuck in a structural deficit, then we would need expenditure review, cutting back government expenditure," he said.

http://www.ottawasun.com/News/National/200...116736-sun.html

Ignatieff's supporters say it is a rare sign of honesty from a politician. Ignatieff's candor aside, taxpayers don't relish sending the government more money. He can't take his words back nor the resulting confusion of his attempt at clarification. Taxpayers are not about to forget that he is open to raising taxes and the Conservatives will make sure of that.

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What happens to tax revenue when economic activity picks up? His increased spending ins't long term programs. They are done when this budget is done.

I'm sure revenue will pick up. However, even the Parliamentary Budget Officer says that is going to be a deficit for some time to come. Harper has not cut spending so if he raises taxes, I guess that means you will quit the party.

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Ignatieff's supporters say it is a rare sign of honesty from a politician. Ignatieff's candor aside, taxpayers don't relish sending the government more money. He can't take his words back nor the resulting confusion of his attempt at clarification. Taxpayers are not about to forget that he is open to raising taxes and the Conservatives will make sure of that.

And if Harper raises taxes I'll be sure to remind you of this conversation.

Canadians don't want deficits from here to eternity. So, unless revenue shoots up to surplus numbers through exuberant growth, we will see deficits for some time to come.

Now, you can argue that he has a plan for cutting spending but if he has, he certainly hasn't made it public.

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Now, you can argue that he has a plan for cutting spending but if he has, he certainly hasn't made it public.

I will argue nothing about Harper this is about the liberal leader said.

This thread is about Ignatieff wanting to raise taxes.

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I will argue nothing about Harper this is about the liberal leader said.

And I will argue what Harper has said in the past. He said no deficits and we have a deficit. He has said no new taxes and that is a promise he can't make.

This thread is about Ignatieff wanting to raise taxes.

This thread is about anything we want to talk about that is on the subject of taxes.

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