Path: utzoo!utgpu!watmath!isishq!f71.n221.z1.FIDONET.ORG!Steve.Kannon From: Steve.Kannon@f71.n221.z1.FIDONET.ORG (Steve Kannon) Newsgroups: can.general Subject: Re: Tax Revolt Now!! Message-ID: <2713.24E6443D@isishq.FIDONET.ORG> Date: 13 Aug 89 11:19:30 GMT Sender: ufgate@isishq.FIDONET.ORG (newsout1.25) Organization: FidoNet node 1:221/71 - SKAN Communications, Kitchener ON Lines: 125 HS> EID:7383 320d130d HS> UFGATE newsin 1.27 HS>From: henry@utzoo.uucp (Henry Spencer) HS>Date: 13 Aug 89 00:04:59 GMT HS>Organization: U of Toronto Zoology HS>Message-ID: <1989Aug13.000459.27775@utzoo.uucp> HS>Newsgroups: can.general HS> HS>In article <28307@watmath.waterloo.edu> rwwetmore@grand.waterloo.edu HS>(Ross Wetmore) writes: HS>>... Under a regime in which the people have HS>>no say in their government, it might be justifiable to blame HS>government HS>>greed for excessive taxation. But in Canada, government policy HS>is a reflection HS>>of the will of the people, at least as portrayed by the pollsters, HS>pressure HS>>groups and media which are trying to mould it into their own HS>shape. HS> HS>That's a big "at least". The fact is, the government does not HS>hesitate to HS>ignore the will of the people on issues like capital punishment, HS>where HS>it considers the will of the people misguided. Ignoring the "will" of the people is precisely what every government does. Because the general public is a diverse group with no possibility of cohesive action, the political agenda is set by high-powered lobby groups, most notably the big business community. The wealthy and powerful elites always get their way; they are well organized and have the funds and the clout necessary to get chummy with government types and to scare government types when such tactics are called for. If the government was really interested in tackling the deficit, it could easily do so by adjusting its spending priorities slightly (ie. without cutting back basic social services) and by taxing business and the rich to the same extent they tax the average Canadian. In fact, if the government collected even those taxes which have been "deferred" (read "no intention of ever paying") by business, the public coffers would be richer by some $50 billion (yes BILLION). Of course, the feds have no intention of doing things logically. Their aim is to make life easier for the very wealthy (whose taxes have actually decreased dramatically since BM the PM came to Ottawa) and for large corporations. The powerful elite have said "we don't want to pay taxes and we don't want to pay for social services which make us uncompetitive at the business level" (can you say "harmonization" in preparation for Free Trade). To this Brian and Michael, who both belong to this class of people, have told their friends, "don't worry, you won't have to pay a cent; the other slobs [read you and me] will pay to keep things the way we want them to be." For example, during their first term in office, the Tories' tax "reform" saw the following increases (figures are approx from memory): Income tax: up 180% (on low income earners) Fed sales tax: up 140% Corporate tax: up 4.5% As you can see, the government was quick to jump all over the lower ranks, but spared the "poor, hard-pressed" business community, with most of the breaks going to the wealthiest companies (eg. a $500 million tax concession to the Reichmanns -- one of the world's wealthiest families -- to help them buy Gulf in 1985). With the proposed GST, the Tories are hoping to use their favorite tax weapon: sales tax, which hits the low and middle class the hardest. While they publicly decry the current manufacturers' sales tax as harmful to business, they didn't hesitate to raise it dramatically. Sales taxes are, of course, the most regressive forms of taxes. Using the word "reform" to describe what Wilson is doing would make Orwell spin in his grave. The inane prattling about job creation and fairness in the system would be laughable if it wasn't coming from a majority government with a history of screwing over the bulk of its citizens. As things stand, the situation is simply scary. From a purely economic standpoint, the GST is stupid, as even the most passing knowledge of economics will reveal. Wilson's plans, however, have little to do with economics and much to do with power politics; fairness, equity and public interest have nothing to do with his measures, he only wishes us to believe such is the case. The deficit must be cut, that much is certain. However, the way to achieve that is to cut extraneous government services, and, more importantly, to eliminate holes in the tax system that allow the powerful to pay little or no taxes at the rest of the population's expense. If the tax system ever became truly equitable -- where everybody and every corporation was subject to the same rules of the game without preference -- then the budget would be balanced. A vibrant economy under real tax reform would provide greater employment, lower inflation, and less government bureaucracy. The hard-pressed middle class would actually see a reduction in income tax and a marked increase in disposable income (which in turn keeps the economy growing and the tax revenues rolling in). Instead, we get Mike Wilson espousing the glories of doing just the opposite. He hopes to invoke a regressive system which even his business allies say will slow down an already slowing economy, boost inflation, increase unemployment rates, create a nightmare of red tape, and put 4,000 more paper pushers on the government payroll. Yes, it is revolting. These proposed measures are not what the people of Canada want, nor what they voted for. -- Steve -- Steve Kannon - via FidoNet node 1:221/162 UUCP: ...!watmath!isishq!71!Steve.Kannon Internet: Steve.Kannon@f71.n221.z1.FIDONET.ORG