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Stephen





Joined: 02 Sep 2006
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Location: Ontario

PostPosted: Sun Oct 29, 2006 1:49 pm    Post subject: Harper says no sales tax cut in 2007 Reply with quote

... although he didn't say he would cut it in 2007 either ...

Reuters

Quote:
OAKVILLE, Ontario (Reuters) - Prime Minister Stephen Harper on Friday ruled out the possibility of cutting the federal sales tax for a second time next year .

The minority Conservative government campaigned on a promise to gradually cut the sales tax to 5 percent from 7 percent. The tax was cut to 6 percent last July.

"Our plan has never been to cut the GST (goods and services tax) a second point next year," Harper told reporters after a speech in the Toronto suburb of Oakville. "We said we would do the first point immediately, which is what we did, and the second point within the next five years."


I think that the promise was to drop the second point by the end of a majority mandate (4-5 years)
cbasu





Joined: 03 Sep 2006
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PostPosted: Sun Oct 29, 2006 3:39 pm    Post subject: GST cut Reply with quote

He'll probably cut it by 0.25%, so it is not much of a story.

It may also be moot, because I have difficulty seeing the opposition parties allowing Harper &c 1-2 months before and after a budget to launch their election platform.

If the polling does not improve in the next month or so, the government could fall on one of the money bills.

The opposition is already moving one "concurrence" motion after another to block pretty much all traffic in the House. Look at the Notice Paper - they have about half a dozen lined up for next week already.
Evilgenius





Joined: 07 Sep 2006
Posts: 62
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Location: Toronto

PostPosted: Sun Oct 29, 2006 4:08 pm    Post subject: Reply with quote

I'm sure that there are lots of people holding off on buying big-ticket items, thinking that there may be another cut coming in the GST. I'm almost certain that Harper's statement was designed to get them off the fence, and remove the future GST cut as a factor in their decisions. He may still cut the GST next year, although there will almost certainly be a political calculation as to whether an income-tax cut might be a better alternative before an election.
Stephen





Joined: 02 Sep 2006
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votes: 5
Location: Ontario

PostPosted: Sun Oct 29, 2006 4:24 pm    Post subject: Re: GST cut Reply with quote

cbasu wrote:
He'll probably cut it by 0.25%, so it is not much of a story.

It may also be moot, because I have difficulty seeing the opposition parties allowing Harper &c 1-2 months before and after a budget to launch their election platform.

If the polling does not improve in the next month or so, the government could fall on one of the money bills.

The opposition is already moving one "concurrence" motion after another to block pretty much all traffic in the House. Look at the Notice Paper - they have about half a dozen lined up for next week already.


I doubt he'd cut it by so little. Remember all of the complaining in the face of a sales tax cut of 1%? The argument was that all machines would have to be reconfigured. The promise was 1% more and I expect this to be all at once.
biggie





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PostPosted: Sun Oct 29, 2006 4:39 pm    Post subject: Reply with quote

I'd like to see an income tax cut - as a purely political move. The Liberals wouldn't be able to talk down on it, because they proposed the same style of cut. Plus, the cut wouldn't hurt. We'll have to see how the budget looks - ie. surplus, etc..

Its definitely coming to election time, you can almost smell it in the air. I have high hopes of another election though - I think the swing voters will be pretty annoyed by another election forced because the opposition refuses to cooperate on initiatives most canadians agree with. I think the opposition could very well be shooting themselves in the foot.

If only more people would smarten up about Afghanistan... but what can you expect from pacifist ontario and quebec?
Stephen





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PostPosted: Sun Oct 29, 2006 5:27 pm    Post subject: Reply with quote

I'd count on a raft of small targeted tax cuts from the Tories during the next election.
KPK





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Location: Toronto

PostPosted: Sun Oct 29, 2006 7:38 pm    Post subject: Reply with quote

I bet you he is going to forgoe the 1% cut and use the money to correct the fiscal imbalance instead.
Craig
Site Admin




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PostPosted: Mon Oct 30, 2006 1:12 am    Post subject: Reply with quote

KPK wrote:
I bet you he is going to forgoe the 1% cut and use the money to correct the fiscal imbalance instead.


I've long advocate transfering the GST to the provinces. Make it a provincial tax. They need it way more than the federal government does. It would handcuff the spending powers of the federal government for decades to come.
cosmostein





Joined: 04 Oct 2006
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PostPosted: Mon Oct 30, 2006 9:46 am    Post subject: Reply with quote

Was anyone really expecting 2% in roughly 14 months?

I know I wasn't. The 1% instantly and the other 1% before the end of his term was a comment that I don't believe was intended to mean before the end of a minority mandate which could come apart at any second.

I would not expect it any sooner then during the conservatives next elected term.
palomino_pony





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PostPosted: Tue Oct 31, 2006 2:06 am    Post subject: Reply with quote

I thought the CPC was pretty clear on the time-lines for the GST cuts - 1% right away and the next in one 5 years if/when they win a second term. This point was made during the campaign and when they made the first cut.

If Harper put out this story, perhaps he did so as a gentle reminder of how he cut the GST. This way he gets mileage for something already that he already accomplished.

I think it was a slow news day. [Edit] or maybe it was some on trying to stir the pot and make it look like a broken promise. Either way, not a big item.


Last edited by palomino_pony on Wed Nov 01, 2006 1:45 am; edited 1 time in total
PostPosted: Tue Oct 31, 2006 3:28 am    Post subject: Re: Harper says no sales tax cut in 2007 Reply with quote

Stephen wrote:
... although he didn't say he would cut it in 2007 either ...

Reuters

Quote:
OAKVILLE, Ontario (Reuters) - Prime Minister Stephen Harper on Friday ruled out the possibility of cutting the federal sales tax for a second time next year .

The minority Conservative government campaigned on a promise to gradually cut the sales tax to 5 percent from 7 percent. The tax was cut to 6 percent last July.

"Our plan has never been to cut the GST (goods and services tax) a second point next year," Harper told reporters after a speech in the Toronto suburb of Oakville. "We said we would do the first point immediately, which is what we did, and the second point within the next five years."


I think that the promise was to drop the second point by the end of a majority mandate (4-5 years)


Freaking al-Reuters is at it again...

PM Harper said he will do it by next 5 years.
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Harper says no sales tax cut in 2007

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