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Axe the tax – The insatiable appetite for “revenue tools”

March 2018

Newly elected Ontario Progressive Conservative leader Doug Ford has stated he will axe the carbon tax currently in the party platform written for former leader Patrick Brown for the upcoming election, along with axing the existing carbon tax that Kathleen Wynne enacted earlier this year once elected as Premier.

Some political commentators are questioning what the PCs will do to fill the hole in their financial figures that the carbon tax would have provided. My question is why do we need that money in the first place? Isn’t the whole idea of a carbon tax to “save the planet” (sarcasm alert), not as a new revenue stream for the government?

Let’s face it everyone:  we’re taxed to death already and many of us will never get ahead if we have to pay any more taxes.

The average Canadian pays 42.5 % of their incomes in overall taxes and for most of us, our paycheques just aren’t keeping up with what the government expects us to pay.

That said, along with the waste that occurs at every government level, maybe we have to accept that the government simply can provide everything to everyone for our entire lives.

Does the government need an ever increasing amount of money to run its operations or can it get by on less, just like everyone who else who doesn’t have the force of law behind them to extract more and more money out of the pockets of others?

If you’re not making enough money to buy the essentials (forget about the things you simply want, not need), you either ask your boss for a raise, get a second job or a better paying primary job.

However, if you are unable to find additional revenue sources, your choices are either to go into debt, which can lead to other problems if you aren’t able to pay off those debts, cut back on any expenses you can to save money, or you simply don’t buy those things.

Of course there are social service agencies that can assist you with some things, but if they’re government run, we still have the problem of can the taxpayers really afford it?

Many left-wing politicians and political commentators are constantly going on about making rich people and rich corporations “pay their fair share,” but they fail to specify exactly what that means.  What exactly do they consider a “fair share”?  Is a tax rate of 60% of total income enough or should it be 70%.  Is 85% enough or should the rich just hand over every penny they make and then get in line at the nearest soup kitchen?

Does that example sound ridiculous?  Just as ridiculous as the fact that Canadians pay over 2,000% more in taxes since 1961; an increase that has far outpaced the normal rate of inflation and certainly corresponding increases in household incomes.

As many political commentators have said, governments generally don’t have revenue problems; they have spending problems.  We have all been living beyond our means for too long and one day we are going to have to reconcile with the fact that our governments are going to have to cut back on their expenses and start paying down their debts.  If most people ran their finances the way governments do, they would have declared insolvency a long time ago.

I still shake my head that it was a socialist, the “father of socialized medicine” Tommy Douglas, who believed that government debt was bad because the interest that must be paid on those debts uses up money that could be used to pay for the social programs that we all love.  It’s money that is literally shoveled into a blast furnace.  In Ontario, if debt was a ministry, it would have the third highest budget of any ministry, behind health and education.

It’s debatable whether the financial decisions Mike Harris made in the 1990s were effective or detrimental, but at least he recognized we had to do something.

Bottom line, Ontarians are going to have to accept the idea that eventually cuts are going to have to be made in provincial (and federal) government spending, whether it’s cuts to services or public service jobs, if we are ever going to return to a balanced budget and start paying off the accumulated debt.

It should be noted that cuts can easily be made by not filling job positions vacated by voluntary retirements or resignations, cutting programs and services that are “nice-to-have,” not needed or ones that are better left to the private sector like employee benefits, or simply getting better value for money spent, like not paying $650, 000 designing a logo for the new Ontario Cannabis Store that my daughter could have done with her crayons for $1.25 from the Dollar Store.

There is lots and lots of waste in government and that should be tackled first before anyone even considers raising taxes.

 

Sources:  https://globalnews.ca/news/3691159/canada-taxes-incomes-fraser-institute

**********************************************************************************************************************

Submitted to The Burlington Post

Re:  “Ontario voters are facing stark choices” (March 29):  We certainly do have a big choice in the next provincial election.  Do we continue down the free-spending ways of the last 15 years or do we at least try to live within our means.

Sure, it’s great to receive “free” services from all levels of government and some of them are definitely needed and not frills like road maintenance, schools and basic health care but remember, there is no such thing as “free” when it comes to government services.  Everything must be paid for somewhere along the line by taxpayers.

Newly elected Ontario Progressive Conservative leader Doug Ford has stated he will axe the carbon tax currently in the party platform written for former leader Patrick Brown for the upcoming election, along with axing the existing carbon tax that Kathleen Wynne enacted earlier this year once elected as Premier.

Some political commentators are questioning what the PCs will do to fill the hole in their financial figures that the carbon tax would have provided. My question is why do we need that money in the first place? Isn’t the whole idea of a carbon tax to “save the planet” (sarcasm alert), not as a new revenue stream for the government?

Let’s face it everyone:  we’re taxed to death already and many of us will never get ahead if we have to pay any more taxes.

The average Canadian pays 42.5 % of their incomes in overall taxes and for most of us, our paycheques just aren’t keeping up with what the government expects us to pay.

That said, along with the waste that occurs at every government level, maybe we have to accept that the government simply can provide everything to everyone for our entire lives.

Does the government need an ever increasing amount of money to run its operations or can it get by on less, just like everyone who else who doesn’t have the force of law behind them to extract more and more money out of the pockets of others?

If you’re not making enough money to buy the essentials (forget about the things you simply want, not need), you either ask your boss for a raise, get a second job or a better paying primary job.

However, if you are unable to find additional revenue sources, your choices are either to go into debt, which can lead to other problems if you aren’t able to pay off those debts, cut back on any expenses you can to save money, or you simply don’t buy those things.

Of course there are social service agencies that can assist you with some things, but if they’re government run, we still have the problem of can the taxpayers really afford it?

Many left-wing politicians and political commentators are constantly going on about making rich people and rich corporations “pay their fair share,” but they fail to specify exactly what that means.  What exactly do they consider a “fair share”?  Is a tax rate of 60% of total income enough or should it be 70%.  Is 85% enough or should the rich just hand over every penny they make and then get in line at the nearest soup kitchen?

Does that example sound ridiculous?  Just as ridiculous as the fact that Canadians pay over 2,000% more in taxes since 1961; an increase that has far outpaced the normal rate of inflation and certainly corresponding increases in household incomes.

As many political commentators have said, governments generally don’t have revenue problems; they have spending problems.  We have all been living beyond our means for too long and one day we are going to have to reconcile with the fact that our governments are going to have to cut back on their expenses and start paying down their debts.  If most people ran their finances the way governments do, they would have declared insolvency a long time ago.

I still shake my head that it was a socialist, the “father of socialized medicine” Tommy Douglas, who believed that government debt was bad because the interest that must be paid on those debts uses up money that could be used to pay for the social programs that we all love.  It’s money that is literally shoveled into a blast furnace.  In Ontario, if debt was a ministry, it would have the third highest budget of any ministry, behind health and education.

It’s debatable whether the financial decisions Mike Harris made in the 1990s were effective or detrimental, but at least he recognized we had to do something.

Bottom line, Ontarians are going to have to accept the idea that eventually cuts are going to have to be made in provincial (and federal) government spending, whether it’s cuts to services or public service jobs, if we are ever going to return to a balanced budget and start paying off the accumulated debt.

It should be noted that cuts can easily be made by not filling job positions vacated by voluntary retirements or resignations, cutting programs and services that are “nice-to-have,” not needed or ones that are better left to the private sector like employee benefits, or simply getting better value for money spent, like not paying $650, 000 designing a logo for the new Ontario Cannabis Store that my daughter could have done with her crayons for $1.25 from the Dollar Store.

There is lots and lots of waste in government and that should be tackled first before anyone even considers raising taxes.

 

About the author

Bruce Forsyth

Bruce Forsyth served in the Royal Canadian Navy Reserve for 13 years (1987-2000). He served with units in Toronto, Hamilton & Windsor and worked or trained at CFB Esquimalt, CFB Halifax, CFB Petawawa, CFB Kingston, CFB Toronto, Camp Borden, The Burwash Training Area and LFCA Training Centre Meaford.

Permanent link to this article: http://militarybruce.com/axe-the-tax-the-insatiable-appetite-for-revenue-tools/

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