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CTF agenda on display in 2003 election

Author: Adrienne Batra 2003/05/07
"In a democracy, people get the kind of government they deserve."
- Adlai Stevenson (1900-1965)


Since the election was called nearly a week ago, there have been some good ideas put forth by all three major political parties, most notably they are all talking about tax cuts. The PC's were quickly out of the gates with their sites set squarely on eliminating school taxes on all residential properties. The Liberals followed with a promise to reduce income taxes by 26% over the next four years, and the NDP, well they are going to lower the middle tax bracket by 6% in 2004, but we already knew that (no doubt there will be more to follow from the NDP).

For the past few years the CTF has been calling for the elimination of school taxes on farmland and we applaud the PC's for taking it one step further. There is little doubt that property taxes are an extremely regressive tax. They are applied regardless of one's consumption of public services or ability to pay. In a perfect world, property taxes would be completely replaced by taxes that do consider these factors. In the interim, however, tax cuts grease the economic pump by removing a formidable obstacle to economic growth and development.

The Liberals' plan to reduce the middle tax bracket from 14% to 10.3% over the next four years will put Manitoba well ahead of Saskatchewan and within spitting distance of BC, Alberta and Ontario. Now everyone except the diehard tax-and-spend crowd (read: Mary Ann Mihychuk) thinks taxes on Canadians are too high and need to be reduced.

Those who argue tax cuts make no difference to an economy are ignoring common sense. Would the person who earns $15,000 not benefit if he did not have to pay any taxes next year Would someone who pays 50% of their income in taxes not spend and invest differently if they only paid 30% every year Would that not benefit the economy

Tax cuts are the seed of long-term economic growth. Tax cuts will also expand the economic pie and ensure surpluses to continue paying down debt.

One thing that has been lacking from this campaign are some real democratic reforms, such as set election dates and extending the scope of the Taxpayer Protection Act to municipalities and school boards. Certainly elections give us an opportunity to hold politicians accountable unfortunately all we get is a watered down form of democracy.

As citizens, we elect those who govern us. As taxpayers, we are their bosses. If we feel the system needs to be changed, it's up to each of us to get up out of that cushy armchair and get involved! Over the next few weeks the CTF will be watching this election with great interest, but perhaps most importantly, we will be examining how much of our tax dollars politicians are willing to commit to win this election.

A Note for our Readers:

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Franco Terrazzano
Federal Director at
Canadian Taxpayers
Federation

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