To the Editor: Any more corporate tax cuts are just plain dumb. Stephen Harper has cut $60 Billion in taxes to large corporations since in office. Only five per cent of the 2.2 million businesses in Canada qualify for the latest $6 Billion corporate tax cut- the biggest and the wealthiest.
WE have to pay for this annual $6 Billion gift by borrowing more money due to the Harper $56 Billion deficit. Large profitable corporations have already had their tax rate cut 35 per cent recently. Corporations already have the second lowest tax rate in the G7 and a 25 per cent rate advantage over their U.S. competitors.
The Conservatives say this is to stimulate jobs. This is not a valid argument. Even the federal Finance Department says corporate tax cuts are the least effective way to create immediate jobs. Their job creating value is trivial according to the Chief Economic Analyst for Statistics Canada. Small businesses create most new jobs, not large corporations- but they do not qualify for this tax cut.
There is no guarantee much of the $6 Billion gift to large corporations will result in new jobs. The gift may go to executive bonuses, shareholders, corporate consolidation or investment outside Canada as so many of our businesses are foreign owned. Corporations sit on a pile of money. The accumulated stock of ready cash (currency, deposits and short term paper) in the non-financial sector had grown to $489 Billion by 3rd quarter 2010. What is the sense in giving them more? Have you had a big raise lately?
What ALL businesses and employees do qualify for is a tax INCREASE amounting to $16.6 Billion over the next 4 years due to higher E.I. premiums.
Mr. Harper does want to spend $16 Billion plus operating costs on a non competitive contract for stealth fighter bombers that are of dubious value to our country's needs. Who do we plan to attack?
Mr. Harper wants to spend billions for more prisons while the crime rate continues to drop- as it has done for the last 20 years. At the same time, he is cutting anti gang programs. This nonsense has not worked in the U.S. and it will not work here.
Mr. Harper has decided that the long form census has to go. It is the basis for informed decisions on policy used by all levels of government. One can only conclude he does not want informed decision making.
Seventy-eight per cent of eligible voters did not vote Conservative. It is time for them to get some common sense back into our country's affairs by voting Stephen Harper out.
Mike Bray, Indian Head, SK.
