Canada Needs Tax Cuts Now

No Carbon Tax!

The United States is moving closer and closer to huge tax cuts with each passing day.

Added to that is the upcoming NAFTA renegotiation and a potential US border tax.

As a result, Canada’s economic vulnerability is rising dramatically.

That is why it’s time for tax cuts in Canada.

We need to take two measures specifically:

  • Cancel the carbon tax (not technically a tax cut, but cancelling it would be a huge boost to Canadian business confidence).
  • Give the middle class a huge tax cut.

The carbon tax would substantially reduce consumer spending and make our businesses less competitive. That is economic suicide when the United States is planning to reduce their business tax rate from 35% down to 20%.

If the US delivers on that tax cut – and all signs say they will – Canada will lose a big competitive advantage. If we add the burden of a carbon tax to all our businesses, we will fall even further behind, and lost jobs will be the consequences.

That’s why Canada needs to scrap the carbon tax.

The middle class also needs a big tax cut, at least $5 to $10 billion. The reason it needs to be big is to get more spending into our domestic economy. If Canadian consumers (of which the middle class makes up the biggest percentage) have more money in their pockets, our entire domestic economy will benefit.

That domestic growth is essential in an increasingly unstable world.

The idea is really quite clear: A stronger and more secure Canadian consumer means a stronger and more secure Canada.

Our government must stop wasting time and wasting money. We’ve already seen that the current approach of big government spending and increased taxes is failing miserably. It’s time to try a new approach, an approach that respects taxpayers by trusting the people with their own money. As we cut taxes, we should also cut government, freeing up our economy from the overbearing and ineffective bureaucracy.

As competition from our southern neighbour heats up, Canada will need every advantage we can get.

Spencer Fernando

Photo – Twitter