CHAPTER 2: STRONG FEDERAL FINANCES

The federal government continue to implement the Next Phase of Canada’s Economic Action Plan to support jobs and economic growth.

The federal government continue to promote financial literacy.

The federal government limit new spending commitments in the upcoming federal budget. In the context of the current fiscal realities, massive new spending would be fiscally irresponsible. However, the government should continue to closely monitor the global and domestic economic situation and, if the Canadian economy weakens significantly, respond as necessary in a flexible and measured manner to support Canadian jobs and economic growth.

The federal government continue in its plan to return to balanced budgets in the medium term, including following through on its deficit reduction action plan in order to achieve at least $4 billion in ongoing annual savings by 2014–2015.

The federal government continually review spending to eliminate waste and inefficiencies to optimize value for taxpayers’ money, including auditing every department on a rotating basis to ensure ongoing efficiency.

In meeting its commitment to return to budgetary balance, the federal government not raise taxes or cut transfers to persons, including those for seniors, children and the unemployed, or transfers to other levels of government in support of health care and social services, equalization, and the gas tax transfer to municipalities.

CHAPTER 3: STRONG BUSINESSES

The federal government continue to ensure a competitive tax system to attract investments and jobs – including implement all planned corporate tax rate reductions as scheduled to 2012.

The federal government explore further ways to enhance the international competitiveness of Canada’s business tax structure, including: continuing to consult on potential new rules for the taxation of corporate groups, examining the impact of sections 105 and 102 of the Income Tax Regulations on access to skilled service in Canada by non-residents, and continued implementation of the recommendations of the Advisory Panel on Canada's System of International Taxation.

To combat tax evasion, the federal government explore requiring all firms and individuals in the construction industry to register for a business number and increasing the number of auditors.

The federal government continue to provide strong support to protect, sustain, and promote Canada’s traditional industries — like mining, forestry, and manufacturing — by maintaining support and tax incentives to assist them.

The federal government study the issue of intergenerational transfers of family businesses, including farms, to ensure tax fairness.

The federal government continue to review and reduce unnecessary regulations, especially through the Red Tape Reduction Commission.

The federal government continue its work in the development of a national securities regulator in order to better protect Canadians.

The federal government continue to take all necessary actions to ensure the resilience of banking systems and financial markets at home and abroad, including implementing Basel III reforms.

The federal government convene an expert panel to review, modernize and simplify the federal corporate tax system.

The federal government continue to open up new markets to Canadian goods and services by working toward the completion of trading agreements with foreign governments, and also working to eliminate trade barriers involving the US-Canada border.

The federal government continue to recognize the need to promote the trade and export of Canadian goods and services abroad, such as in natural resources and financial and educational services.

The federal government encourage the provinces and territories to review and remove internal barriers to trade, including support for amendments to allow for a personal exemption for winery-to-consumer sales and shipments from province to province.

The federal government review the aviation cost structure to ensure Canada is competitive with its international competitors.

The federal government continue its strong support of research and development in Canada, especially such successful programs as the Vanier Canada Graduate Scholarships, Banting Post-Doctoral Fellowships, Canada Foundation for Innovation and Canada Excellence Research Chairs.

The federal government continue to review the report of the Expert Panel on Federal Support to Research and Development to help the government’s efforts to modernize programs in support of innovation, and improve Canada’s productivity in the global economy, while also upholding Canada’s reputation as a top destination for global research talent.

The federal government continue to ensure increased effectiveness and efficiency of spending on agriculture research, development and technology transfer, including a return to market-based grain-based ethanol production.

CHAPTER 4: STRONG COMMUNITIES

The federal government, as committed to in Budget 2011, continue to work with provinces, territories, the Federation of Canadian Municipalities and other stakeholders to develop a long-term plan for public infrastructure that extends beyond the expiry of the Building Canada plan, including ensuring support for rural communities.

The federal government continue to advance public-private partnerships (P3s) to produce value for taxpayers in the delivery of public infrastructure.

The federal government work with municipalities, especially in rural Canada, to continuously review the Navigable Waters Protection Act.

The federal government, in partnership with the provincial and territorial governments, continue to support economically viable clean energy projects that will assist regions and provinces in the replacement of fossil fuel with renewable fuel sources, such as the Lower Churchill hydroelectric project.

The federal government support the development and maintenance of standards and codes for Canadian solar energy technology.

The federal government continue to explore cost-effective ways to support greater energy cost savings, especially with regard to northern and remote communities and transportation choices for Canadians.

The federal government encourage the development of the natural gas vehicle industry by partnering with Canada’s transportation industry and exploring ways to support sustainable transportation.

The federal government continue to invest in green technologies, business, household energy conservation and renewable energy development.

The federal government continue to use tax incentives to promote the development and use of renewable energy.

The federal government continue to monitor Canada’s housing market and ensure its long-term stability.

The federal government continually commit to making its international assistance more accountable and transparent to improve the effectiveness of such investments, including continued and growing involvement in the International Aid Transparency Initiative.

The federal government continue to explore ways to encourage greater charitable giving by Canadians, including supporting initiatives such as the House of Commons Standing Committee on Finance’s study on tax incentives for charitable donations.

The federal government examine the concept of a First Nations Property Ownership Act as proposed by the First Nations Tax Commission.

The federal government work with the provinces and territories to support Canada’s agriculture industry with the continued development of the Growing Forward 2 agricultural policy framework, ensuring it is frequently reviewed to ensure it helps the competitiveness and success of the industry in the most effective manner.

The federal government continue to acknowledge contraband tobacco and help reduce the problem of its trafficking, as it has become a black-market industry that makes it easier for children to start smoking, and results in losses in revenue and higher health care costs.

CHAPTER 5: STRONG PEOPLE

The federal government, contingent on a return to balanced budgets, continue to reduce personal taxes through measures like income splitting and doubling the contribution limits for Tax-Free Savings Accounts (TFSAs).

The federal government review the tax filing due date and methods for individuals, including exploring alignment with the small business tax filing due date for improved efficiency, and explore increased use of new compliance mechanisms like telephone audits.

The federal government convene an expert panel to review, modernize and simplify the personal tax system.

The federal government continue to support improvements to health human resources and health research for all health professions, including nursing, through the continued and growing use of innovative new technologies, such as electronic health records.

The federal government continue its review of the Registered Disability Savings Plan to ensure it meets the needs of Canadians with severe disabilities, and their families.

The federal government continue to work collaboratively with the provinces and territories to renew the Health Accord.

The federal government continue to work with provinces and territories to address shortages of doctors, nurses and other health care professionals – especially in rural and remote areas.

The federal government continue to conduct research to promote military and veteran health.

The federal government study the treatment of personal vehicles under the Canada Student Loans Program’s assessment of borrower assets.

The federal government make progress in engaging in a new approach to providing support to First Nations and Inuit post-secondary students to ensure that students receive the support they need to attend post-secondary education and engage in the labour market. The new approach should be effective and accountable, and coordinated with other federal student support programs.

The federal government continue to support and promote the skilled trades, to better allow Canadians to take advantage of opportunities in such areas – including helping skilled workers with tax incentives or other incentives to move between provinces with greater ease.

The federal government continue to help foreign-trained workers, including skilled immigrants and Canadians with international training or education, make contributions to Canada’s labour market and economy, including providing loans for recent immigrants to pay for skills training and accreditation.

The federal government continue to support all Canadian Forces members as they transition from military to civilian life, especially through initiatives like the Helmets to Hardhats Program, while continuing to explore ways to improve reservists’ employment opportunities.

The federal government continue to work cooperatively with provinces and territories on retirement income and pensions issues, and specifically implement the Pooled Retirement Pension Plan.

The federal government review public sector pensions to ensure their ongoing cost and sustainability.

The federal government review the rules surrounding Registered Retirement Income Funds (RRIFs) and Registered Retirement Savings Plans (RRSPs) to better support retirement savings.