Category Archives: Federal

The HST and ‘Myths”

An anti-HST supporter was waving around the anti-HST ‘Top 7 HST Myths’ claiming it was absolute proof that extinguishing the HST was the only choice and that extinguishing the HST would have no negative consequences for BC.

Since he wouldn’t let anyone actually read this ‘proof’ it was necessary to hunt up a copy of a paper with the advertisement in its pages to see what ‘proof’ the ‘Top 7 HST Myths’ offered in support of it being worth accepting/suffering the consequences of extinguishing the HST and returning to the PST/GST.

You can find the information allowing you to reach an understanding of the HST, PST/GST, the issues and consequences of extinguishing the HST by going to http://www.hstinbc.ca/media/Its_Your_Decision_GSTPSTHST.pdf and reading the independent panels report yourself.

Because the Extinguish Yes/No decision will have a significant effect on healthcare and other services and the finances of BC it is imperative for voters to invest the time in getting the facts and not the nonsense both sides are vomiting forth.

What is to be found in the “Top 7 HST Myths?

From Myth 1 “…a total tax increase of $1.6 billion per year”; from Myth 2 “…increases taxes for British Columbians by $2.8 billion per year”; from Myth 7″ over $28 billion in new taxes in just 10 years” – $28 ¸10 = $2.8 per year and “the independent panel says the HST generated $850 million more than budgeted.” [the GST was implemented a year ago – July 1, 2010]

So is the tax increase $1.6 billion a year? $2.8 billion a year? or $850 million a year? DUH!

From Myth 7 “Ottawa collected $300 million more in corporate taxes under HST than under PST”

The HST is a sales tax – ‘corporate taxes’ are income taxes.

Prior to the HST Ottawa collected the 5% GST (Goods and Services Tax) in BC. When the HST was implemented by BC it was BC that made changes to what its sales tax was collected on; Ottawa made no changes to the rate (5%) nor on what goods and services that rate applied to.

Under the HST Ottawa collects exactly the same revenue it would have under the GST. DUH!

From Myth 7 “The independent panel says the HST generated $850 million more than budgeted.”

Where? A question readers can seek an answer to while reading the independent panel report “It’s Your Decision”. While reading the report one can read the biographic information on the panel members to form an opinion as to how much weight to give the reports information in making one’s decision.

The report does say that in budget years 2013/2014 and 2014/2015 the HST will generate addition GROSS sales taxes of $820 and $893 million which will NET out to $531 and $645 [NET = GROSS – the HST rebates and income tax breaks].

It would appear the anti-HST forces have so poor an understanding of this matter – GST/PST/HST – they fail to understand what “It’s Your Decision’ is actually saying. Reading “It’s Your Decision” makes it obvious that $1.6 billion or $2.8 billion or $850 million are all incorrect figures for the extra revenue the HST generates. DUH!

From Myth 5 “Bribes of $175 per child when your cost is closer to $400 a year each makes you wonder if they think all of us failed math as badly as they did.”

While reading “It’s Your Decision” you can find the information to take $400 per year and determine how much has to be spent per child to generate an extra HST cost of $400 an year. When you do the math – which is rather straight forward and simple – you find that in order to pay $400 more per year per child you need to be spending $33,613.00 per child. Might I suggest that anyone spending $33,613.00 per child per year can afford to pay the extra $400 per child per year in taxes?

Speaking of “…failing math…” – DUH!

From Myth 4 “A onetime rebate of $175…”; from Myth 5 “Bribes of $175 per child…”.

There is the possibility that what these statements reflect is that the anti-HST vote is so committed to ‘winning’ and/or ‘punishing the Liberal government’ they will lie by omission.

On the other hand, with the degree of ignorance and the lack of understanding demonstrated in “Top 7 HST Myths” by the anti-HST forces, the proponents of extinguishing the HST may be ignorant of the $232 million in HST rebates that will be paid out to British Columbians every year and the $200+ million dollars in yearly income tax breaks British Columbians will benefit from with the HST. DUH

From Myth 4 “Seniors and people on fixed incomes are some of the hardest hit by the HST”; from Myth 5 “Next to seniors working families are among the hardest hit by the HST…”

The HST is a sales tax, a consumption tax. The more you spend, the more you consume, the more things you purchase and the higher the cost of your purchases (designer clothes, Ferraris, etc) – the more HST you pay. Those hardest hit by the HST are the big spenders, the wealthy who can most afford to pay more.

If you are a low income earner, poor, living in poverty, living on a (low) fixed income you get HST rebates and/or income tax breaks.

The lower your income, the better off you are financially under the HST. DUH!

From Myth 7 “We’ll owe $1.6 billion if we cancel the HST – False”; BC has received only $1 Billion”.

BC has received two payments from Ottawa, one received when the HST legislation was introduced in the BC legislature and one received July 1. 2011 when the HST went into effect totalling $1.124 billion. The final $475 payment was due July 1, 2011 but with the scheduled referendum on the HST has not been paid and will not be paid until the HST is approved in the referendum. The $1.6 billion represents the total compensation BC was to receive for the HST.

While it is true BC will only need to repay $1.124 billion to Ottawa, it will have to ‘repay’ $475 million to the 2011/2012 BC budget to replace the $475 million it was to have received on July 1, 2011.

No matter how you slice it, BC and BC taxpayers will be out of pocket the $1.6 billion it was to receive from Ottawa for implementing the HST. DUH!

From Myth 7 “the HST generated $850 million more than budgeted……government already has $850 million to repay Ottawa. BC has only received $1 billion and Ottawa collected $300 million more in corporate taxes under the HST than the PST. So it’s a wash.”

As noted earlier 1) the HST has not generated $850 million more than budgeted; 2) BC has received $1.124 million and will have to forgo the final $475 million dollar payment; 3) Ottawa collected the same revenue under the HST as it would have under the GST – there was NO ‘extra’ $300 million collected.

It is not ‘wash’. If the HST is extinguished the BC budget will be out $1.6 billion, and that $1.6 billion will have to be replaced. Either taxes will need to be raised $1.6 billion OR healthcare, other government services and expenditures will have to be reduced $1.6 billion. In other words voting to extinguish the HST is voting for less healthcare (more beds in the hallways, longer waits for services at hospitals and so on) DUH!

Myth 7 “”keeping the HST would cost British Columbians – over $28 billion in new taxes in just 10 years’

If you use the 2013/2014 and 2014/2015 numbers from “It’s your decision”, accepting the 25% year-to-year increase in revenue and do the math you get an estimated $10,875 billion which is a far cry from $28 billion (“failed math”?). Duh!

Top 7 HST Myths – the fallacies and WTF are they thinking.

Why would you ever assume that, given our current economy and the demands taxpayers have been making on government, that any HST dollars collected above the budgeted amount remain available to repay Ottawa?

The sluggish economy means that other revenue sources have brought in less dollars that budgeted. The demands taxpayers have been making for more government spending (services) means spending is over budget. Less revenue, more expenses where is the money to cover the budget shortfall to come from? That’s right – the extra revenue generated from the HST. Leaving no mythical big pool of money lying around to repay Ottawa the $1.124 billion and replace the forgone/lost $475 million – $1,599 billion that will have to come from the pockets of British Columbians. DUH!

Declining/returning the $1.6 billion from Ottawa.

Most of the $1.6 billion that BC was to receive from Ottawa came out of the pockets of Canadians other than BC residents. Personally I favour letting Canadians living outside of BC pick up the tab for most of the $1.6 billion. For some unfathomable reason the anti-HST forces want to return this money to other Canadians and have British Columbians pay extra taxes to cover the $1.6 billion.DUH!

That there is and will be no need for new taxes to pay for services provided to citizens by the BC government; that if the HST is extinguished the extra funds the HST would have raised will not have to be raised by other taxes/fees.

While the statement “the ‘independent panel’ says…” would seem to imply the anti-HST forces have read “It’s Your Decision” their own words in “Top 7 HST Myths” make it abundantly clear that if they did read “It’s Your Decision” they failed, or lacked the capacity, to understand the budgetary and financial realities of the Province of BC.

The report, in plain language, sets out the reality that BC, without extra funds (taxes) from somewhere, is facing the need for significant cutbacks of budget expenditures (services such as healthcare).

Indeed the report specifically cites the way healthcare costs are ballooning and the reality that even with the hundreds of millions of extra tax dollars generated by the HST healthcare costs will outstrip the ability of the province to fund healthcare.

So, whether it be from the HST or some other combination of taxes/fees the province of BC either needs significant increases in revenue or to make significant reductions in healthcare, education and other services.

The real question that needs to be addressed isn’t as to whether the HST is raising more money – it is – the question is what are those funds being used for and what are the consequences if those funds are lost.

Finally, the true falsehood revealed by “Top & HST Myths” is the myth that the anti-HST forces understand the issues and consequences involved in extinguishing the HST.

The ‘proof’ contained in “Top 7HST Myths”, set out in the anti-HST forces own words, is that the anti-HST forces lack an understanding (lack the mental acuity to understand?) of the financial and budgetary realties facing the Province of BC or of the nature and workings of the HST.

Disturbingly, if the anti-HST forces cannot comprehend the issues surrounding the provincial budget and the HST – they cannot understand or appreciate the far reaching negative consequences of extinguishing the HST.

Which is at least a more acceptable reason than self-aggrandizement or malice for why the anti-HST forces are working so hard to lead British Columbians off a cliff and int0 self-destruction of the provinces finances, healthcare and other services that would be brought about by extinguishing the HST.

I will be voting NO to the question of extinguishing the HST because of the far reaching consequences.

I urge you to go to http://www.hstinbc.ca/media/Its_Your_Decision_GSTPSTHST.pdf and read “It’s Your Decision” – the independent panels report – for yourself. Read carefully, give it careful thought and make up your mind based on facts not ‘myths’ or hyperbole.

Unpalatable perhaps – but REALITY none the less.

Reality does not care what you want to be fact, reality does not care what you believe to be fact, Reality simply is what IS fact. Tao of James

I wanted to speak of a reality I have no doubt many will Howl about, deny or want to argue about. Which is fine with me – as long as you read the entire comment and think about why I made the statement of Reality IS in fact – as defined by our actions – not our words but our actions.

It is a source of pride for many of Abbotsford’s citizens that Abbotsford has a reputation as the Bible Belt, a very Christian city. False pride as a recent event and the reaction and behaviour of Abbotsford citizens to that event have compellingly proven.

Despite its diverse multicultural and multi-faith nature British Columbia also considers itself a predominantly Christian province. Here also the reaction and behaviour of the citizens of BC to that recent event prove compellingly that British Columbians are clearly deluding themselves as to any relationship between BC and Christianity.

Many Canadians think of Canada as being a Christian nation, a nation of Christian values. Again the reaction and behaviour of Canadians to that recent event have compellingly proven that Canada is demonstrably neither Christian nor does it honour Christian values.

Mr Harper and his Conservatives like to wrap themselves in their moral superiority as Christians. However the depravity of Mr Harper and his Conservatives recent spiritually corrupt behaviour makes clear that the ‘christianity’ of Mr Harper and his Conservatives is merely “sheep’s clothing’ to make them more electable and has nothing to do with Christ’s teachings.

What was this singular event?

It was Mr Harper stating he and his Conservatives are comfortable exporting death because it is profitable (and undoubtedly helpful in gaining seats in the House in the region of Quebec mining and exporting the asbestos).

Remember you cannot use asbestos in any form in Canada; should you disturb asbestos in a building you must call in specialists to remove the asbestos – wearing full environmental suits, using airlocks and special air filtration units to remove the asbestos from the air, showering off the suits and washing all surfaces down to prevent any asbestos from spreading or being left; and asbestos must be properly packaged up and disposed of in an approved disposal site.

All of this because asbestos is a highly hazardous and toxic material that causes asbestosis, cancer and death.

Yet Canada is exporting asbestos, along with its travelling companions – asbestosis, cancer and death because it is profitable – and opens a political opportunity for Mr Harper and his Conservatives.

What makes Mr Harper and his Conservative’s demonstrated distain for human life even more abhorrent, is the fact that Chrysotile asbestos will not be listed as a hazardous industrial chemical that can be banned from import after Canada helped block consensus, despite the fact that the scientific review body of the Rotterdam Convention recommended the inclusion of “white” asbestos on health grounds..

For Christians the question is what Christ would do and say about this export of death for profit and political advantage?

Christ would undoubtedly speak of the need to forgive and love those who engage or allow this trade in death; to pray that those dealing in death or permitting this trading in death find their way out of the darkness and into the light – putting an end to the exporting of death.

But would a Being who preached and lived not just loving your neighbour as yourself, but to love your enemies; to do unto others as you would have them do unto you; spoke not of vengeance, harming or killing others but of forgiveness and love find exporting death for money tolerable?

No.

This export of death is behaviour that is abhorrent to anyone, any being or Being, with honour, integrity and ethics – and to any true Christian.

The actions of Mr Harper and his Conservatives since they first formed the Government of Canada have demonstrated that while Mr Harper and his Conservatives may speak of morals or integrity or ethics, they will not let anything stand in the way of political power for them. Thus it is no real surprise that with a political advantage to be had Mr Harper and his Conservatives will not only support the export of the suffering and death that goes with asbestos, but bloc international attempts to protect people around the world from this export of death that may interfere with their political power and goals.

Mr Harper’s statements were made on the day the riot in Vancouver occurred. The airwaves were filled with hours of broadcasting on what was and had occurred on the streets of Vancouver; with righteous indignation, condemnation, outrage……..

For what was, when all is said and done, damage to property, ego and a black eye for Vancouver’s self-image, image and reputation.

And about Canada exporting asbestosis, cancer and death – Silence.

The people of Abbotsford were not lined up outside Ed Fast’s office to demand an end to this trading in death; they were not jamming his phone lines nor stuffing his email to demand an end to this trading in death; they were not demanding that city council pass a motion condemning the export of death and demanding an end to this trading in death.

The so called ‘christian’ leadership in Abbotsford (BC and across Canada) were silent, apparently undisturbed by the blood of innocents that stains the hands of all Canadians with this exporting of death.

Neither the people of BC nor Canadians were demanding their municipal or provincial governments condemn and demand an end to the export of death; there were NO demonstrations demanding an end to the export of death.

On the question of Christianity in Abbotsford, British Columbia and Canada we have arrived at a syllogism:

To those who practice the teachings and behaviours of Christ, Canada’s export of death is abhorrent, corrupt and depraved and must be strongly, loudly, continually opposed until Canada’s export of death is ended.

Outside of a very few, the reaction in Abbotsford, British Columbia and Canada was/is quiet acceptance of the continued trade in death.

Outside of a very few, the silence in Abbotsford, British Columbia and Canada evidences the lack of those who practice the teachings and behaviours of Christ and are Christian in deeds, not hollow words.

Canada’s Trade in Death

Concordat:

I hereby attest and aver that as a Canadian of honour, integrity and ethics it is depraved, and therefore categorically unacceptable, for Canada to be exporting death (slow, painful death) and industrial disease – in any form and for reasons as perverted as jobs, profits and electoral advantage. I demand that the federal government make this trading in death illegal – immediately.

I call upon all Canadians of integrity and ethics to join in condemning this depraved export of death and industrial disease and demand the federal government make this trading in death illegal – immediately.

I call upon all Provincial, Territorial and Municipal politicians and governments of integrity and ethics to pass motions condemning this depraved export of death and industrial disease and demand the federal government make this trading in death illegal – immediately.

I call upon all Members of Parliament of integrity and ethics to come together, regardless of political affiliation, and make it a priority to immediately introduce and adopt legislation making the export of death and industrial disease illegal – immediately.

In stating that he won’t allow cancer causing asbestos to be reintroduced in Canadian homes or schools but he’s firmly behind allowing Quebec’s asbestos industry to export the death and disease that its product causes to willing buyers abroad, hoping that it will enable the Tories to win a seat in the area; in ignoring the fact Conservative MP Chuck Strahl did not seek re-election because he has been diagnosed with incurable lung cancer – mesothelioma – believed to be triggered by breathing asbestos when he was younger; Mr Harper has demonstrated a level of ethical and spiritual corruption and turpitude such that he is unfit to be involved in any manner with the governing of Canada and such that his presence in Ottawa defiles Parliament, the Government of Canada and the Citizens of Canada.

Mr Harper and any members of his caucus, indeed any Members of Parliament, Provincial, Territorial or Municipal politicians supporting this trade in death on the grounds of profit, jobs and/or political advantage are unfit to be associated in any manner with the Government of Canada, any Province, Territory or Municipality and must resign.

Should Mr Harper refuse to resign, a high probability outcome given the level of depravity his statements, actions and non-actions on the prostitution of Canada by trading in death, it is the moral duty of the Conservative caucus to remove Mr Harper from the caucus and any association with the Conservative Party.

Should the Conservative caucus choose to join Mr Harper and descend to his level of ethical and spiritual corruption and turpitude, any members of the Conservative caucus with integrity and ethics must resign the caucus and serve Canadian citizens by sitting as independents and working with other Members of Parliament possessing integrity and ethics to stop Canada and Canadian business from exporting death.

All Members of Parliament with integrity and ethics must not only wrest control of Parliament from those so depraved as to see nothing wrong with trading in death and put an end to this trading in death, but must also do all within their power to end any connection between Parliament and any members of parliament with a level of ethical and spiritual corruption and turpitude as to refuse to ban the export of a cancer causing death material.

Failure to act on ending this trade in cancer death and disease by Parliament and Provincial, Territorial or Municipal governments demonstrates they are unfit to govern and any government or level of government that demonstrates its’ unfitness to govern should be treated as non-existent.

Unfit governments should be shunned until they demonstrate they are at least minimally fit to be a government.

Whatever government Canadians deserve or are, for the most part willing to accept, no Canadian of any integrity or ethics can accept a government or governments so depraved as to be willing to export asbestos materials that cause cancer and death.

The only course for Canadians of integrity and ethics is to call for the resignation of all those who support or refuse to end the Death Trade and to focus on civil disobedience until at least minimal ethical behaviour is restored to governments in Canada.

We can starve the monstrous beast by refusing to feed it what it must have to exist – citizens financial support.

Forcing the federal or other levels of government to cease to sully all Canadians with their corruption and turpitude will not be easy, but it can be done.

The question every Canadian must ask themselves is what value they place upon their own integrity, ethics, spirit and souls?

G8 Musings

It may be showing my age but I can remember when a get together like the recent G8 summit was about accomplishing something.

These days a G8 summit is a ‘success’ if the nations attending can cobble together a closing statement that does not offend any head of state’s delicate sensibilities, allowing them to issue a closing statement (hopefully a statement that avoids the embarrassment of having any of the heads of state immediately disown the closing statement) that gives the appearance that something has been accomplished, thus seeming to justify the expense.

I use the term ‘heads of state’ because, as the G8 underscores, it is clear that what nations around the globe are lacking is leaders and leadership. The world is in tough shape, a state of affairs that continues to worsen. It is not that we cannot address the issues the world faces; it is that we choose not to. That situation cannot be solely laid at the feet of the heads of state. Mush of the responsibility of the failure to address the most dangerous or pressing issues belongs to citizens who just do not want to hear it and choose to embrace wilful denial.

It was not that long ago (pre 2006) that Canada was known and recognized as a positive influence among the G8 nations and around the world. These days, should you be the Prime Minister of Israel like Benjamin Netanya and you need a negative result or outcome, ‘who you gonna call’? Stephen Harper of course.

Stephen Harper hustling to Greece after the summit to give Prime Minister George Papandreou economic and financial management advice on how to deal with the disaster that is Greece’s economy is like the Captain of the Titanic offering the Captain of the Exxon Valdez advice on sailing his ship.

Unfortunately, Mr Harper’s recent throne speech makes abundantly clear the reality Canadians must face and deal with is that with Harper as the Captain the Canadian economy is the Titanic. After all, the opposition parties were forced into defeating the government on their Budget as a result of the numerous and obvious ‘icebergs’ contained in the Budget the Conservatives introduced. Mr Harper, his finance minister and the Conservative caucus have ignored these icebergs, mostly I fear because they do not exist or are of no importance in their ideology (which puts understanding of the economic, financial and social realities of Canada beyond their grasp), setting the ship of state speeding full steam ahead into waters heavily infested with icebergs.

I did find it very interesting (and somewhat amusing) that after hustling Mr Harper on his way to ‘advise’ Greece the remaining heads of state remained behind to talk to each other.

Financial Reality Check

The report on the state of the hospital on Haida Gwaii contained two important reality checks.

The NDP continue to need a major reality check on financial reality. There the NDP were, once again, demanding the BC government spend millions ($60 million) on health care (new Haida Gwaii hospital) while the NDP continue to advocate the repeal of the HST.

The 2011/12 budget is already facing a revenue shortage of $475 million, the amount that was due July 1, 2011 for implementing the HST. Given that BC’s referendum on repealing the HST violates the agreement with the federal government, the feds are not going to be paying that $475 million. Unless of course reality and sanity prevail and the Voters vote to keep the HST.

So, the NDP are working to cut $475 million out of BC’s 2011/12 budget and calling for added spending of $60 million for a new hospital on Haida Gwaii.

As a public service to the citizens of BC I am willing to make the sacrifice and accept $1 million from the NDP in order to provide a salient lesson on the effect of a significant revenue reduction . I am willing to accept any additional millions from the NDP that may be necessary in order for the NDP to learn about the effects a significant reduction in revenue has on a budget and what that reduction means for spending.

Further I will accept $130,000 from the NDP to model the effect of adding a large expenditure to a budget dealing with a large revenue reduction. (13% was arrived at by dividing $60 million demanded expenditure by the $475 million revenue reduction demanded by the NDP).

I also extend this offer to Mr Vander Zalm (adjusted to remove the additional $130,000 representing the NDP’s demanded expenditure as Mr Vander Zalm has only advocated reducing revenue by the $475 million this year, hundreds of millions per year in subsequent years and by the $1.2 billion that will need to be repaid to Ottawa).

Neither the NDP or Mr Vander Zalm should have any objection to accepting this offer as this is exactly what they are advocating the citizens of BC do with their money. There is no reason to object to acting on a personal financial level in the same manner they are advocating the province of BC act, is there?

The second reality check (and of far more concern) was the statement that, while the government was committed to getting the people on Haida Gwaii a new hospital, they did not have the $60 million needed and did not know where they could find it.

Hardly surprising in light of the Finance Minister’s statement that the government did not have any extra millions to increase spending on the missing woman’s inquiry. Or in light of the report on the same newscast that the most vulnerable of our citizens, those facing mental and physical challenges are facing cutbacks because the government simply does not have the money to meet all its obligations and demands for services. This situation is not the only cannibalizing of services here to provide services there. The government has been, over time, more and more often robbing Peter to pay Paul.

 

And that is the reality before revenue is reduced by $475 million or by the hundreds of millions (year after year) that will result from a repeal of the HST.

Why do I say this is of far more concern?

Consider this scenario: the province finds the $60 million but the people of Surrey say “Wait a minute, we need more hospital beds, the money should be spent building more hospital beds in Surrey (or Vancouver). There are only 2,500 people in Haida Gwaii and hundreds of thousands in Surrey.”

We are in that scenario. If the government manages to scrape up the $60 million by (robbing it from) further reductions in support to the challenged and other programs and if the money is spent on a new hospital on Haida Gwaii there will be no money for new hospital beds in the rest of BC.

We are just beginning resource and service wars pitting Haida Gwaii against Surrey, premies against the old; those in need of heart surgery or transplants against those in need of elective surgery……

We cannot have everything, have it now and not need to pay for it.

Reality is about to give British Columbians and our government, indeed Canada as a whole, a rude awakening with a reality hip-check.

As it says in the Tao of James: ‘Realty doesn’t much care what you believe or what you want to be true, it just IS.”