Income splitting idea regressive, unfair to provinces, Ontario says

A controversial Conservative plan to allow some Canadian families to reduce their income taxes is under fire again — this time over what it could end up costing the provinces.

OTTAWA — A controversial Conservative plan to allow some Canadian families to reduce their income taxes is under fire again — this time over what it could end up costing the provinces.

Ontario is calling the government’s proposed income splitting scheme regressive and a threat to public services after a new report concluded it could cost provincial coffers at least $1.7 billion a year.

A spokesperson for Ontario’s minister of finance says it’s another example of Ottawa balancing the books on the backs of the provinces.

The Conservatives, meanwhile, say it’s premature to talk about the provincial implications, since the program has not been formally introduced.

During question period today in the House of Commons, the government defended the policy against opposition claims it would be costly and unfair, benefiting only a small percentage of Canadian taxpayers.

Criticism of the plan has come from across the political spectrum, including from the late former finance minister Jim Flaherty, who expressed misgivings about it after his last federal budget.

Just Posted

Child’s play at Westerner Days

Balloons bring out the child in everyone

‘Do Indians have property rights?’ Former Alberta chief’s land dispute in court

STANDOFF, Alta. — A dispute between two families over land on Canada’s… Continue reading

Missing female found near Sundre

Local rancher finds missing female

Buyers turn to letters to snag homes in Canada’s hot real estate markets

TORONTO — Monica Martins and her husband had been looking for a… Continue reading

WATCH: Gazebo groundbreaking in Waskasoo

Fifty per cent of the $100,000 project is funded by a provincial government grant

Second World War Two-era B-29 Superfortress named ‘Fifi’ lands for first-ever Canadian tour

MONTREAL — A rare Second World War-era bomber named “Fifi” has touched… Continue reading

Magnus Cort Nielsen wins Stage 15 of Tour de France

CARCASSONNE, France — Magnus Cort Nielsen of Denmark sprinted away from two… Continue reading

Ryan Reynolds teases ‘Deadpool 2’ extended cut at Comic-Con

SAN DIEGO — Ryan Reynolds has made a triumphant return to San… Continue reading

‘Wonder Woman,’ ‘Aquaman’ and ‘Shazam!” thrill Comic-Con

SAN DIEGO — Warner Bros. brought out all the stops Saturday at… Continue reading

All shell, no shock: Lobster prices strong, season picks up

PORTLAND, Maine — New England’s lobster industry faces big new challenges in… Continue reading

Woman killed in collision near Olds

A woman is dead after a collision west of Olds Saturday afternoon.… Continue reading

Evacuation numbers remain at nearly 1,000 as B.C. wildfires rage on

SUMMERLAND, B.C. — Officials in British Columbia’s Okanagan region hope that fire… Continue reading

Survivors recount deadly Missouri duck boat sinking

BRANSON, Mo. — “Grab the baby!” Those were the last words Tia… Continue reading

Most Read


Five-day delivery plus unlimited digital access for $185 for 260 issues (must live in delivery area to qualify) Unlimited Digital Access 99 cents for the first four weeks and then only $15 per month Five-day delivery plus unlimited digital access for $15 a month