The federal government is letting large foreign corporations such as Google, Netflix, Amazon, Facebook, Uber and others off the hook on paying taxes on the digital products and services they sell to Canadians. Meanwhile the Canadian companies in the business have to pay the Canadian sales and corporate income taxes.
Tell Prime Minister Justin Trudeau, Finance Minister Bill Morneau and his colleagues that they should immediately eliminate this unfair competition against Canadian businesses,workers and creators in the coming budget.
"Canada needs to create a publicly accessible, centralized, registry of true (e.g., beneficial) owners of companies in an open, searchable format", Canadians for Tax Fairness Executive Director, Dennis Howlett told the House of Commons Finance Committee this week.. "This is key to stopping snow washing as it would serve as a deterrent to criminals and would facilitate access to information for law enforcement, tax authorities, financial institutions, civil society, and journalists", he said.
The government is touting its Budget 2018 as setting a new standard in 'gender budgeting' as a core pillar of budget-making.
It is commendable that the government has committed to examining the gender impacts of the budget in terms of education and skills development, economic participation, leadership, access to justice, poverty reduction and health, and gender equality around the world. However they seem to have forgotten about examining the gender impacts of tax policies.
The government's fall fiscal update has some good news for those living in poverty or who are struggling to get ahead. The Child Tax Benefit will be indexed to inflation and the Working Income Tax Benefit will be increased by $500 million, both moves the Canadians for Tax Fairness and other social justice groups have been calling for. However, while these are important poverty reduction measures, they only address growing inequality at the bottom.
Inequality needs to be tackled at both the top and bottom end of the income divide.