Tax Cuts

Stephen Harper, Jim Flaherty & Co. have recently announced that they plan on making some fairly dramatic tax cuts.

Highlighting the cuts is a reduction of the corporate tax rates from 22% to 15%.

and another 1% cut to the GST moving the general tax from 6% to 5%.

I've never been a huge fan of this Conservative government, but this news gives me a little faith that Canada may end up as a competative economic country. That is good news for all of us.

What are your thoughts on the cuts?


Here is a link to a speech by the Finance Minister himself that outlines in more detail the proposed cuts.

http://www.canada.com/nationalpost/financialpost/story.html?id=81c3d87b-6865-498c-9442-6a20ca0c60c9

 

Cutting GST is simply a tax cut for those with money.

The poorest sector of society spend the majority of their money on rent, food, clothes, etc; you already don't pay GST on these.

Also, cutting GST tends to encourage more consumption; whereas statistically simple income tax reductions would be more likely to result in savings/investment. Which is good for the economy.

This tax cut is sound politically, but not economically.

 

You didn't read the article, eh?

 

Sounds like what that dead prick,Reagen,started here.It was the beginning of the end for this country.

 

Really that bad, eh?

I was under the impression that the monetary policy under Regan was fairly sound. Perhaps you'd care to explain a little more your opines.

 

I think it has something to do with our soaring dollar.

 

Eh, I did. I still think GST cuts are a bad way to go about things.

 

GST cuts > Income tax cuts

Good job Harper.