May 8, 1918

L LIB

Samuel William Jacobs

Laurier Liberal

Mr. JACOBS:

That may be, hut we start from $2,000 instead of $3,000, so we really only have raised the tax $12.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
Permalink
UNION

Alexander Kenneth Maclean (Minister Without Portfolio)

Unionist

Mr. A. K. MACLEAN:

No, $32.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
Permalink
L LIB

Samuel William Jacobs

Laurier Liberal

Mr. JACOBS:

Very well then, $32, but we have started from $2,000.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
Permalink
UNION

Alexander Kenneth Maclean (Minister Without Portfolio)

Unionist

Mr. A. K. MACLEAN:

It does not matter where we have started from.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
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L LIB
UNION

Alexander Kenneth Maclean (Minister Without Portfolio)

Unionist

Mr. A. K. MACLEAN:

I am' not imputing motives.

Mr. MoMASTEE: Yes, you are.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
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UNION

Alexander Kenneth Maclean (Minister Without Portfolio)

Unionist

Mr. A. K. MACLEAN:

I am not imputing motives at all. My hon. friend says that our income tax in Canada is not as large as it is in England. That is a well-known, fact, but there are many reasons why that should be so. In the first place, there is no taxation upon consumption in England, as there is in this country. My hon. friend knows, further, that the customs tax upon practically everything coming into this country is very high indeed. The hon. member for Brome ('Mr. McMaster) very naturally bows assent to that statement, and we are not at variance upon that point. Well, that must be taken into consideration. To suggest that the income tax of Canada should he the same as that of England would, be rather preposterous.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
Permalink
L LIB
UNION

Alexander Kenneth Maclean (Minister Without Portfolio)

Unionist

Mr. A. K. MACLEAN:

good canon of taxation, well recognized by students and writers, that any new tax should grow gradually, and it should not be at its highest point when the machinery is being formed for its collection. My hon. friend may be quite right in saying that the tax upon an income of $10,000 is too small. It rather has that appearance to me,

I admit. But the- difficulty is, that if you apply a certain rate on the income of $10,000 you must carry that rate right through all the higher incomes, and if you did that the disparity with the United States Income Tax would be very much greater than it is at present. However, I am not arguing that our tax should remain fixed at the present rates forever. Circumstances and conditions in the future may make it absolutely necessary that we increase the present rates. '

iMr. JOSEPH READ: I want to draw the minister's attention to a fallacy he has been making use of with regard to the question of our people going over to the United States if we increase the income tax. If the income tax is increased and money is collected from our people it goes towards paying the debt. If we have a tremendous debt, much larger in proportion than that of the United States, won't our people go into the United States to the same extent by reason of the debt as by reason of the taxes?

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
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UNION

Alexander Kenneth Maclean (Minister Without Portfolio)

Unionist

Mr. A. K. MACLEAN:

I think people in all communities fear taxes more than they fear debt.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
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L LIB

Jacques Bureau

Laurier Liberal

Mr. BUREAU:

I would like to remind the Acting Minister of Finance that by the new time, and by the sun, it is now Ascension Day.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
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UNION

Robert Laird Borden (Prime Minister; Secretary of State for External Affairs)

Unionist

Sir ROBERT BORDEN:

My hon. friend is quite mistaken so far as the House is concerned. It has been the practice for twenty-five years that if the House should meet on Monday and should sit continuously until Saturday it still remains Monday.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
Permalink
L LIB

Jacques Bureau

Laurier Liberal

Mr. BUREAU:

I appeal to the Prime Minister's sense of respect for all creeds, and he knows the position we are in. Of course, we can remain if necessary.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
Permalink
UNION

Robert Laird Borden (Prime Minister; Secretary of State for External Affairs)

Unionist

Sir ROBERT BORDEN:

We will be

through in a moment. I discussed this matter with the leader of the Opposition (Sir Wilfrid Laurier), and it is important to get these Bills .introduced if possible. It will take us only a few minutes. All the in-

formation that is being asked for now could just as well be asked for when we are in committee on the Bill, so there is really no great advantage in delaying now.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
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UNION

Herbert Brown Ames

Unionist

Sir HERBERT AMES:

I would like to ask the Acting Finance Minister whether any consideration has been given to certain representations made to him recently.by the trust companies. I know that while we have the income ta-l under consideration other amendments that are desirable can be considered, and while this resolution is being considered seems the proper time to make suggestions: One of the suggestions made is that the date, February 28, is too early, and-that March 31 would be preferable. Did that suggestion receive consideration?

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
Permalink
UNION

Alexander Kenneth Maclean (Minister Without Portfolio)

Unionist

Mr. A. K. MACLEAN:

It is not proposed to change the date.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
Permalink
UNION

Herbert Brown Ames

Unionist

Sir HERBERT AMES:

The second suggestion was with respect to exacting what is callled for in Clause 6 from fiduciary companies. They find that clause extremely onerous. Has that suggestion -been considered? '

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
Permalink
UNION

Alexander Kenneth Maclean (Minister Without Portfolio)

Unionist

Mr. A. K. MACLEAN:

It is proposed to repeal Clause 6. [DOT]

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
Permalink
L LIB

Rodolphe Lemieux

Laurier Liberal

Mr. LEMIEUX:

The acting minister has not answered my question.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
Permalink
UNION

Alexander Kenneth Maclean (Minister Without Portfolio)

Unionist

Mr. A. K. MACLEAN:

Will the hon.

gentleman renew his question on the Bill.

Topic:   COMMITTEE OF WAYS AND MEANS.
Subtopic:   INCOME TAX.
Permalink

May 8, 1918