"What Dalton Giveth, Dalton Taketh Away"

A part of interim Progressive Conservative Leader Bob Runciman's reaction to the Ontario Budget. In what I've read while researching an article it's an appropriate reaction. "What Dalton giveth": increased child tax benefit (from $600-1100). More infrastructure money at $27.5 billion in the hopes it will create jobs, money for Ontarians to deal with the tax harmonization ($1000 for families, $300 for single people). More money in the form of tax cuts for 93% of Ontarians, including a cut of 10% for those making under $80,000. Corporate tax income tax cuts to be cut from 14-10% by 2013, with small business taxes to be reduced to 4.5%.

"Dalton Taketh Away:" If you ask me, any illusion Ontarians can actually save money by harmonizing the sales taxes without cutting the PST. I kind of understand the corporate tax cuts- it's been shown those do help create jobs. There's going to be a 13% charge on a lot more things than we're paying for now like: haircuts, houses over $400 thousand, certain food items and that morning coffee from Tim Hortons. The policy is going to be in effect as of July 1st, 2010, so as of around 16 months from now the cost of living will have increased- thank you very much Mr. McGuinty.

Runciman admitted his party favours tax harmonization. But I think the way the PC's would have done it would be to have cut the PST to 5%, then harmonized it with the GST. A much more sensible thing that would have in effect lowered the sales tax to 10%.

Dalton taketh away money for transit. The provincial government set up a transit agency Metrolinx, designed to improve public transit throughout the Greater Toronto Area (GTA). That agency was hoping for $500 million in the budget, but got nothing. That contradicts the idea of a 'green economy.' It's sort of hard to be green when there's little to no public transit.

Dalton taketh away the minimum wage increase for next year? That one's only been hinted at. Less than 24 hours after presenting the budget he already wanted to break a promise. He said Friday that increasing the minimum wage would depend on the province's economy. Raise the cost of living via the sales tax, while freezing the minimum wage... brilliant, sounds like good economics to me. And on the backs of those who need jobs the most- wow just what we need. You can't raise the cost of living, and then not minimum wage!

Ontario is forecast to run a $14.1 billion deficit- higher than Bob Rae. It's reasonable to have a deficit- bad economic times often call for one. But there comes a point where instead of a deficit that a government can dig themselves out of, it becomes a case of throwing good money after bad. My fear is we're approaching that point.

To read more about the Ontario Budget, and Tax Harmonization see:
Ontario's Duncan Presents Budget
Ontario Moves Forward With Tax Harmonization