Categories: BusinessPolitics

8 Liberal MPs and 3 NDP MPs now against Proposed Tax Changes

8 Liberal MPs Now Against Proposed Small Business Changes

8 Liberal MPs, five from Atlantic Canada, two from Ontario and one from British Columbia, have now publicly spoken out against the Trudeau governments most recent tax policy proposal.

Amongst the eight is the Chair of the House of Commons Finance Committee, MP Easter.

-Julie Dabrusin, MP Toronto-Danforth, Ontario

-Darrell Samson, MP Sackville-Preston-Chezzetcook, Nova Scotia

-Andy Fillmore, MP Halifax, Nova Scotia

-Wayne Easter, MP Malpeque, Prince Edward Island

-Wayne Long, MP Saint John-Rothesay, New Brunswick

-Ellis of Bay of Quinte, Ontario,

-Stephen Fuhr, MP Kelowna-LakeCountry, British Columbia

-Serge Cormier, MP Acadie-Bathurst, New Brunswick

Andy Fillmore commented “I think there are some modifications that are required in order to be supportable and in order to achieve the goals of what the proposal is,” Filmore said in an interview on Friday with global news.

The Policy

Finance Minister Bill Morneau launched a 75-day consultation period for three proposed changes:

  • The curtailment of “income sprinkling,”
  • The curbing of “passive investment income,” which the government describes as the investment of money left in a corporation, for purposes other than to invest directly in growth.
  • The conversion of a corporation’s regular income into capital gains, which typically attract a lower tax rate.

These three changes have received criticism from mom and pop shops, doctors, and large business’, with most criticism being aimed at the first two aspects of the plan. Small business owners say that the proposed tax changes will affect them, even though they’re not among the country’s wealthiest, while doctors argue that their practices will be in peril.

Government Response

In an interview with the National Post, Morneau argued that criticism against the tax platform was largely due to misinformation.

“I’m going to be out over the course of the next month giving people greater clarity on exactly what we’re trying to achieve,” he said. “Other members of our government will be trying to do the same thing. We’re going to continue to listen to issues of clarification required by business people, by professionals, by wealthy Canadians.

“Anything we actually move forward on will include much more information because we will have accumulated the concerns and issues and complex requirements through the course of consultations. People should expect to see more once we’ve finished the consultations, once we’ve heard from them, and once we’ve decided what to move forward on.”

Campaign Dejavu

The Prime Minister argued during the 2015 election that “a large percentage of small businesses are actually just ways for wealthy Canadians to save on taxes”.

And it seems like he is now taking action against this set of “perceived” wealthy Canadians through these proposed changes. This issue will undoubtedly become a key discussion point in Canadian politics moving forward, as the small business begin to mount opposition, and as Canadians start to look at their pocketbooks.

“Impact on Agriculture”

Liberal MP Neil Ellis of Bay of Quinte, Ontario, became the 8th MP to publically oppose the proposed changes, posting a public letter.

Cross Party Opposition

The bill received further opposition from three members of the New Democrat Party.

MPs Brian Masse, Cheryl Hardcastle and Tracey Ramsey,  wrote a letter to the finance minister urging him to “heed the voices” of doctors, dentists, orthopedists and others who are vehemently opposed to the proposed tax changes


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