Harper won't move on Corporate Tax Cuts

Prime Minister Harper won't budge on offering Corporations a lower tax rate on profits at the expense of Canadian taxpayers.

"Despite warnings that it could topple the minority Conservative government, Harper has not blinked in his determination to go ahead with a program of phased-in corporate income tax cuts that will cost Ottawa another $6 billion in foregone revenue next year.
In keeping with the government’s vision of making Canada a low-tax jurisdiction, the Conservatives have been gradually cutting taxes on corporate profits since 2007.
By 2015 under this plan, the share of federal government programs paid for by corporate income taxes will have shrunk to 12.3 per cent from 20.8 per cent in 2000.
Pollsters say selling corporate tax cuts to the public is an iffy proposition, particularly after years of work by Harper to position himself as a creature of Main Street, not Bay Street."

With Canada facing a 56 billion deficit, the Conservatives want to put us deeper in the whole by offering another 6 billion in lost revenue to some of Canada's leading corporations like the banks, insurance, and oil companies. Don't get me wrong I'm all for tax cuts but not when the country is in a major deficit position. During the days of budget surplus, a growing economy, and a low unemployment rate it's wise to cut both corporate and personal income taxes, but not now. With rising energy costs, and 1.4 million canadians out of work, government should not take measures that reduce it's own level of income until the economy improves.

I know my Conservative friends are all for corporate tax cuts, and will put up a great fight on this issue, but I just can't justify cutting revenue when we are faced with a massive deficit. Canada can get a big influx of businesses setting up shop, and while it will create jobs which is the key, these businesses won't show a profit for years to come due to their capital investments on new plants and equipment. Remember if your company makes money you get a corporate tax break under Harper, but with most companies not making money they don't pay any corporate taxes. So our banks, insurance and oil companies who post quarter after quarter millions in profits, pay less to the government which results in an increase in our deficit postion.

Does not make much sense to me in cutting the corprate tax rate now, and if it does make sense to you please explain to me how it does make sense.

So with the Federal budget coming down in the next few weeks, will the Liberals, NDP and Bloc defeat the minority Conservative government on this one issue? Stay tuned everyone!

Until next time!