March 1st, 2017

Liberals must address tax fairness now: NDP

NDP announces opposition motion to tackle tax havens, loopholes and giveaways that benefit the wealthy

OTTAWA – New Democrat Finance Critic Alexandre Boulerice announced this morning that the NDP will use their Opposition day to force a debate and vote to push the government to recoup tens of billions of dollars lost annually to tax loopholes, deductions, and exemptions that mostly benefit the wealthy.

“Our economy should work for everyone, not just for the few at the top,” said Boulerice. “By failing to fix over 60 loopholes in the tax code that are often abused by Canada’s richest and failing to crack down on tax havens, the Liberals are putting the interests of the wealthy and well-connected first.”

The NDP motion calls on the Liberal government to keep their promise to close the stock option deduction loophole for CEOs and fix tax measures that primarily benefit the wealthy.

“The Liberals campaigned on a promise to close the CEO stock option loophole, but backtracked after being lobbied by powerful insiders,” said Boulerice. “Again and again, this government lets the private interests of wealthy insiders set the government’s agenda. It’s time to put everyday Canadians first.”

The motion also includes tackling tax havens, tightening rules for shell companies and ending the current practice of penalty-free amnesty deals for individuals suspected of tax evasion.

“This is about tax fairness on the most basic level, multi-millionaire tax cheats are let off the hook without penalties while hardworking people foot the bill,” said Boulerice. “It’s time for everyone to pay their fair share so we can invest in health care, job-creating infrastructure, and a more sustainable economy.”

Text of the NDP Motion:

That, given the government loses tens of billions of dollars annually to tax loopholes, deductions, and exemptions that mostly benefit the wealthy and estimates suggest that tax evasion through the use of offshore tax havens costs the government more than $7 billion dollars annually, the House call on the government to: (a) address tax measures that primarily benefit the wealthy, including keeping its promise to cap the stock option deduction loophole; and (b) take aggressive action to tackle tax havens including (i) tightening rules for shell companies, (ii) renegotiating tax treaties that let companies repatriate profits from tax havens to Canada tax-free, (iii) ending penalty-free amnesty deals for individuals suspected of tax evasion.