OTTAWA— Finance Minister Jim Flaherty has finally admitted what the experts have told him all along – it is not possible for the Conservative government to eliminate the deficit in the current mandate while maintaining costly and ideologically-driven strategies like massive spending on prison expansion and untendered aircraft procurement.
The Conservatives refusal to moderate their wasteful and expensive crime and defence strategies, mean that regular families will have to bear the brunt. In the Conservatives’ 2011 Election Platform, most of the commitments made in the “Hard-Working Families” section were explicitly conditional on the budget being balanced first.
Mr. Flaherty’s new economic plan makes it clear that Conservative ideology will come ahead of the struggles of average families. By admitting that there will still be a multi-billion deficit even after then next fixed election date in 2015 – and that therefore the families platform will not be implemented – Mr. Flaherty has turned the Conservative platform into one long list of broken promises:
- Family Tax Cuts – income splitting: “We will soon be in a position to take an historic step forward to achieve greater fairness for families. We will establish the Family Tax Cut income sharing for couples with dependent children under 18 years of age. This will give spouses the choice to share up to $50,000 of the household income, for federal income-tax purposes. This important new measure will be implemented when the federal budget is balanced within our next full term of office.” (p. 26)
- Enhanced Children’s Fitness Tax Credit : “Stephen Harper’s Government established the Children’s Fitness Tax Credit …we will double the value of the tax credit, and make it refundable – up to $1,000 to help cover the costs of registration fees for children’s physical activities. This measure will be implemented when the federal budget is balanced within our next full term of office.” (p.27)
- Adult Fitness Tax Credit:“To support Canadians in choosing a healthy, active lifestyle, we will establish an Adult Fitness Tax Credit, to cover up to $500 in registration fees for fitness activities for adults. This measure will be implemented when the federal budget is balanced within our next full term of office.” (p. 27)
- Expanded Tax-Free Savings Accounts: “To help Canadians save more for the future, in 2008 our Government established the Tax-Free Savings Account (TFSA). … We will build on this success, by doubling the amount Canadians can save each year, to $10,000. This measure will be implemented whenthe federal budget is balanced within our next full term of office.” (p. 29)
Of course, this means one additional platform promise will be broken: “Stephen Harper’s Government will eliminate the deficit and return to balanced budgets. We will achieve this without raising taxes.” (p. 22). Mr. Flaherty’s determination to hike payroll taxes, despite the negative impact that will have on job creation means the Conservative commitment to not raise taxes has already hit the scrap heap of a growing list of broken promises.
