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tax

Government debt, social progress: working out the balance

in Going Deeper by

Why individual and government debts are different in a very important way

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NDP’s oil surtax raising eyebrows nationally

in Daily Indygestion/Email Indygestion/Journalism/NL Election 2011 by

Lorraine Michael and her NDP are making national headlines this week not just for their historical chance at coming in second place for the first time – but for their idea of charging a new tax on oil companies. The NDP Leader plans to pay for about half of the $142 million needed for the party’s health and social spending platform by charging oil companies a three-per-cent surtax on offshore royalties. CTV reports that “she concedes that such a move could require rewriting offshore deals that were months or years in the making”. Michael said the party will seek a legal opinion on the matter. Asked why she did not do that before releasing her platform, she said the surtax is only an issue if she becomes premier. So the leaders only have to rationalize their platforms if they actually had a shot at becoming Premier? Source: CTV

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NDP leader pressed on plans to go after oil industry for more money

in Daily Indygestion/Email Indygestion/Journalism/NL Election 2011 by

“I think any agreement can be opened,” NDP Lorraine Michael said on CBC television over the weekend. Michael was responding to questions about her campaign promise to add a new 3% surtax on the Hebron partnership. Michael re-iterated that she was not afraid to throw out the Hebron contract to deliver on her promise. “I think we can ask for more money, and I intend to go after it.” Michael admitted that she is not sure how an NDP government would accomplish this, even though the Hebron agreement with the government specifically says the contract cannot be changed. Source: CBC

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City of St. John’s pushes harder for new tax deal

in Daily Indygestion/Email Indygestion/Journalism by

The City of St. John’s is doing its best to bring what it sees as a major problem to the forefront. The capital city is complaining that it cannot collect any taxes from the province for its properties — such as Confederation Building, or provincially funded institutions like the Health Sciences Centre — but must provide municipal services. The province does provide operating grants to the city worth about $3 million, but Mayor Dennis O’Keefe says that the city pays $11.5 in provincial taxes, including the HST and payroll taxes. Without an increase in provincial government tax, O’Keefe said, property taxes paid by homeowners and businesses will have to rise sharply

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