Explore idea of guaranteed minimum income, parliamentary committee says
Posted on March 13, 2016 in Social Security Debates
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TheStar.com – News/Canada – The report was presented before Finance Minister Bill Morneau unveils the Liberals’ budget on March 22. But it is unclear whether the suggestions will find their way into Morneau’s fiscal plan.
Mar 11 2016. By: Andy Blatchford The Canadian Press
OTTAWA—A Liberal-dominated parliamentary committee is calling on the federal government to explore the concept of guaranteeing people a minimum income.
The finance committee tabled a pre-budget report Friday that pushes for a study and pilot project on basic income, which is seen as a way to lift people out of poverty.
The idea, which was not in the Liberal election platform, was among 56 recommendations in a document that encouraged the federal government to act on a broad range of subjects — from aboriginal issues to labour mobility to a national transit strategy.
The report was presented before Finance Minister Bill Morneau unveils the Liberals’ maiden budget on March 22. But it is unclear whether the suggestions will find their way into Morneau’s final fiscal plan.
The committee also urged the Liberals to refrain from making any changes to the existing federal taxation regime and other rules for small businesses. Those include professional businesses, the documents noted.
The recommendation appears to be at odds with the prime minister’s controversial position on the issue.
During last year’s election campaign, Justin Trudeau said the small business tax system needed tweaking to ensure it benefits small businesses that actually create jobs and is not used by wealthy individuals to dodge taxes.
Trudeau was criticized by lobby groups and political opponents for suggesting that some of the wealthiest Canadians, such as doctors and lawyers, used small business tax rates to lower their own tax bills.
The report also recommended Ottawa examine the feasibility of a universal, national, prescription drug program and provide targeted support for regional economies hit particularly hard by the weak dollar and low commodity prices.
The House of Commons finance committee heard pre-budget suggestions from 92 witnesses last month and received another 175 written submissions from individuals and groups.
The report highlighted arguments made by two individuals as well as the Canadian Association of Social Workers on the issue of basic income.
The idea of introducing a guaranteed minimum income has been attracting more and more attention.
Two years ago, the federal Liberals passed a non-binding resolution at its policy convention to work with provinces and territories to design and implement basic annual income.
Last month, Independent Liberal Sen. Art Eggleton tabled a motion asking the federal government to sponsor a pilot project to evaluate the cost and impact of introducing a national basic income program.
Eggleton said efforts to address poverty have failed and argues that existing programs have only entrapped people.
On Friday, opposition parties also voiced their pre-budget opinions and recommendations in supplementary letters that accompanied the report.
The Conservatives pointed to the government’s recent acknowledgment it would no longer live up to its vow to cap annual deficits at $10 billion — and that shortfalls could reach as high as $30 billion. Ottawa has also cast doubt on its ability to fulfil its pledge to balance the books in four years.
< http://www.thestar.com/news/canada/2016/03/11/explore-idea-of-guaranteed-minimum-income-parliamentary-committee-says.html >
Tags: featured, ideology, jurisdiction, participation, poverty, standard of living
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