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MP Cheryl Gallant says federal government profiting off inflation

By myFM News/Oldies 107.7 staff Nov 7, 2022 | 4:42 AM

Renfrew-Nipissing-Pembroke Member of Parliament (MP) Cheryl Gallant is sharing her thoughts on the fall economic outlook. Gallant says the federal government is profiting off inflation and has collected an extra $40.1-billion dollars that did not go towards paying off the deficit. Gallant says higher prices means more taxes collected.

The local MP says putting more money into the economy would be great, but notes the government is borrowing at a time when interest rates are climbing to the highest they’ve been in 40-years and generations to come will be paying for it.

Gallant has a hard time finding any positives in the fall economic outlook and says even the items that look good will cost us far more.

The fiscal update projects a $36.4-billion deficit for the current fiscal year but projects a surplus of $4.5-billion five years from now.

Ontario’s Finance Minister Peter Bethlenfalvy says while they welcome many of the initiatives included in the Fall Economic Statement, they can’t help but notice the absence of support to move transformational projects forward that are critical to Ontario and Canada’s economic success.

Unifor National President Lana Payne says there are several encouraging items in the statement, but adds solutions have to be introduced to permanently fix Employment Insurance.

HIGHLIGHTS

  • Tax credits for clean electricity and low-emitting hydrogen production.
  • Permanently eliminating student loan interest.
  • Doubling the GST credit for 6-months.
  • Canada Dental Benefit to cover dental expenses for their children under 12.
  • Quarterly Canada Workers Benefit.
  • New strategy to boost immigration to a record 500,000 new arrivals by 2025.
  • $500 top-up to the Canada Housing Benefit.
  • Lowering Credit Card Transaction Fees for Small Businesses.
  • Doubling the First-Time Home Buyers’ Tax Credit to provide up to $1,500 in direct support to home buyers.
  • Crack down on house flipping by ensuring that profits from properties held for less than 12 months are fully taxed.
  • Multigenerational Home Renovation Tax Credit to provide up to $7,500 in support for constructing a secondary suite.
  • Help first-time home buyers to save up to $40,000 tax-free toward the purchase of their first home.

(written by: Rudy Kadlec)