I might add to the minister's statement by giving some instances of the reductions as applied to certain companies. I have here a schedule which has been worked out for me by a reliable accountant, and I submit it as being approximately correct. The schedule covers thirty companies and shows a reduction from the old tax of 33 per cent on the shares of such companies as Noranda and International Nickel, increasing in the case of the penny stocks up to as high as 98 per cent reduction of the old tax. For instance, in Thomson-Cadillac the old tax has been reduced 96 per cent. The so-called penny stocks are reduced from 64 to 99 per cent. The average reduction might be said to be 75 per cent. In the higher priced stocks the reduction is from 33 per cent up to 50 per cent. The tax on Hollinger, for instance, selling at the present market price of $6.55, is reduced by one-half, while on Teck-Hughes selling at about the same price, $6.75, there is a similar reduction. I think that is a fair statement of the general application of this new schedule.
There is another matter that I would bring to the attention of the committee. It has to do with the question of the share tax in Canada as compared with the share tax in the United States. In that connection, exclusive of provincial tax I find that a stock such as Hollinger, selling at a price of $6.55 per share, carries a tax on a sale of one thousand shares in New York of $2, while the tax in Canada under this new schedule is $10.
Topic: WAYS AND MEANS
Subtopic: SPECIAL WAE REVENUE ACT