Lobb, Liberal candidate Thompson differ on whether federal budget helps Huron-Bruce

By: Liz Dadson  May 3, 2015  1703

The federal Progressive Conservative (PC) government has balanced the budget and fulfilled its promise to Canadians, says Huron-Bruce MP Ben Lobb. But Allan Thompson, Liberal candidate for this riding, has a different perspective.

In a press release, Lobb said the government's recently-introduced new tax relief and benefits will help make life more affordable for Canadian families, including:
 

• Increasing the Universal Child Care Benefit (UCCB) for children under age six; parents will receive a benefit of $160 per month for each child under the age of six, up from $100 per month
• Expanding the UCCB to children ages six through 17; under the expanded UCCB, parents will receive a benefit of $60 per month for children aged six through 17; in a year, parents will receive up to $720 per child
• Introducing the Family Tax Cut, a federal tax credit that allows a higher-income spouse to effectively transfer up to $50,000 of taxable income to a spouse in a lower tax bracket, providing up to $2,000 in tax relief
• Increasing the Child Care Expense Deduction dollar limits by $1,000
• Doubling the Children’s Fitness Tax Credit up to $1,000 and making it refundable

Lobb said the budget supports seniors by reducing the minimum withdrawal requirements for Registered Retirement Income Funds and providing more flexibility for seniors to preserve more of their retirement savings. The budget also proposes to introduce a new, permanent, non-refundable Home Accessibility Tax Credit for seniors and people with disabilities to help with renovation costs so that they can live independently and remain in their homes, claiming up to $10,000 for the renovations costs to receive a 15% non-refundable tax credit.
 

The budget extends compassionate care benefits through the Employment Insurance program, to six months from six weeks; to help those who need to take time away from work to care for a loved one. 
 

The government has increased the Tax-Free Savings Account (TFSA) annual contribution limit to $10,000, effective for 2015 and subsequent years. Today, nearly 11-million Canadians are using their TFSA account. Research shows that people of all ages and income levels max out their TFSA contribution limits –the vast majority are low- to middle-income earners, with a large proportion being seniors. 

Of the 11-million Canadian using TSFAs:

• 71 per cent are over the age of 55
• Just under half (46 per cent) are seniors
• 59.4 per cent of TFSA max contributors make less than $60,000
• 91 per cent make less than $150,000

The budget cuts tax for small business, reducing the small business tax rate down to nine per cent by 2019.

It increases transfers to Ontario: the province will receive almost $20.4-billion in federal transfers this year – an increase of $9.6-billion or 88 per cent since 2006, including:
 

• More than $2.4-billion through Equalization, an increase of $2.3-billion since 2006
• $13.1-billion through the Canada Health Transfer, an increase of $5.3-billion or 70 per cent since 2006
• Nearly $5-billion through the Canada Social Transfer, an increase of nearly $1.8-billion or 58 per cent since 2006

This support helps ensure Ontario has the resources to provide essential public services, including health care, post-secondary education, and other social services. The government is also protecting transfer support to provinces as health and social transfers continue to grow.

The budget provides up to $100-million over five years to support product development and technology demonstration by Canadian automotive parts suppliers through the new Automotive Supplier Innovation Program.

There is infrastructure funding for municipalities: the Federal Gas Tax fund provides close to $7-million to upper- and lower-tier municipalities in Huron-Bruce.

The budget will help the agriculture industry by Increasing funds for agri-marketing and the market access secretariat to continue to grow and maintain worldwide agriculture markets, as well as increasing the Lifetime Capital Gains exemption to $1-million for owner of farm and fishing businesses.
 

Meanwhile, in a press release, Huron-Bruce federal Liberal candidate Allan Thompson said the 2015 federal budget gives the most to Canadians who need the least, and fails to present a plan for jobs and growth that will benefit the residents of Huron-Bruce.

"Canadians deserve a better plan built around the middle class and those working hard to join it," he said. "I listen to the concerns of my neighbours every day; they want a real and fair chance at success, and that means growing incomes and more job opportunities.

"Unfortunately, prime minister Stephen Harper's priority is a $2-million tax-break for the rich, and a doubling of the Tax Free Savings Account (TFSA) limit which will be paid for by taking away tens of thousands of dollars in Old Age Security for seniors. Instead of strengthening those at the heart of our economy - middle-class Canadians - the Conservatives have introduced unfair proposals that will benefit the rich on the backs of the middle class."

Thompson said that under Harper, Canadians have faced stagnant incomes, deficits and rising debt. Unemployment last year - including youth unemployment - was still higher than before the recession, he said, and according to CIBC, job quality in Canada is at its lowest in a quarter-century. Despite promising balance in 2013, Canadians have now learned that Harper has still not balanced the budget.

"After months of delay, Stephen Harper has failed to present a credible budget, or a credible plan to grow incomes and create quality job opportunities for the residents of Huron-Bruce," said Thompson. "What this riding needs - and what families want - are investments in infrastructure, post-secondary education, and skills and innovation that will produce real growth.

"Under the leadership of Justin Trudeau, the Liberals have a better plan focused on helping those Canadians who need it the most."

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Liz Dadson

Liz Dadson is the founder and editor of the Kincardine Record and has been in the news business since 1986.

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