2007 Canadian federal budget

none March 2012 Budget of the Canadian Federal Government 2007 Canada 2006 Canadian federal budget 2006 2008 Canadian federal budget 2008 2007 Canadian Federal Budget logo.jpg 250 19 March 2007 22 June 2007 39th Conservative Jim Flaherty C$242.4 billion Canada's Economic Action Plan: Budget 2009 https://publications.gc.ca/collections/collection_2009/fin/F1-23-2009-3E.pdf Department of Finance Canada January 27, 2009 February 3, 2025 978-0-660-19853-8 C$232.8 billion C$199.5 billion C$5.7 billion C$33.3 billion C$457.6 billion C$9.6 billion C-52 http://www2.parl.gc.ca/HousePublications/Publication.aspx?DocId=2817841&Language=e http://www.budget.gc.ca/2007/pdf/bp2007e.pdf Aspire to a Stronger, Safer, Better Canada The Canadian federal budget for the 2007–08 fiscal year was presented to the House of Commons of Canada by Finance Minister Jim Flaherty. Flaherty presented the 2007 budget on March 19, 2007. No income tax or GST cuts were announced but there were tax credits (of up to $310 per child) for some families with children under 18. CTV News Families with children biggest winners in budget CTV March 19, 2007 https://www.ctvnews.ca/families-with-children-biggest-winners-in-budget-1.233899 https://web.archive.org/web/20230407075409/https://www.ctvnews.ca/families-with-children-biggest-winners-in-budget-1.233899 dead April 7, 2023 The federal budget included $14 billion in new spending and $5.7 billion in tax cuts. This was the second budget of the 39th Canadian Parliament. Since the government held a minority, the budget needed support of at least one opposition party. On March 29, 2007, Bill C-52, the enabling legislation to implement the budget, received First Reading in the House of Commons with the support of the Bloc Québécois. The New Democratic Party and Liberal Party voted against it. The budget passed 174 to 109 in the House of Commons in first reading.CTV News Tory budget survives second confidence vote CTV https://www.ctvnews.ca/tory-budget-survives-second-confidence-vote-1.234804 https://web.archive.org/web/20121014183617/http://www.ctvnews.ca/tory-budget-survives-second-confidence-vote-1.234804 dead October 14, 2012 March 26, 2007 It would later pass the second and third readings in June. Many politicians believe that the changes to equalization disregard the Atlantic Accord. There was speculation that some Atlantic government members would vote against the Budget, but only Bill Casey did, and was subsequently removed from Caucus. On June 22, 2007, the Senate passed the budget with a vote of 45–21, with only liberal senators from Atlantic Canada and Saskatchewan voting against it. Conservative senator Anne Cools voted against it too, which in turn led to her removal from the Conservative caucus. The bill was given royal assent by the Governor-General, Michaëlle Jean, about two hours after the vote.https://www.cbc.ca/news/canada/senate-passes-tory-budget-1.688550 CBC News Senate passes Tory budget June 22, 2007 22 June 2007 https://web.archive.org/web/20070625102425/http://www.cbc.ca/canada/story/2007/06/22/senate-budget.html June 25, 2007 live mdy Areas of direction Some of the key items in the budget were:Budget 2007: A Stronger, Safer, Better Canada Department of Finance March 19, 2007 http://www.budget.gc.ca/2007/news/newse.html June 16, 2007 https://web.archive.org/web/20070602180423/http://www.budget.gc.ca/2007/news/newse.html June 2, 2007 dead $39 billion in transfers to provinces for public services and infrastructure $2000/child tax credit $9.2 billion in debt reduction $550 million/year to combat the welfare trap Subsidies up to $2000 on low-emissions automobiles and excise tax on fuel-inefficient vehicles increased to $4000. $1.5 billion in transfers to provinces for projects that combat climate change and air pollutionPrime Minister unveils new Canada ecoTrust Office of the Prime Minister February 12, 2007 http://www.pm.gc.ca/eng/media.asp?id=1532 June 16, 2007 https://web.archive.org/web/20070622134736/http://www.pm.gc.ca/eng/media.asp?id=1532 June 22, 2007 live $400 million to implement national electronic health records $612 million to reduce hospital wait times $300 million for HPV vaccines $60 million increase in Canadian Forces wages $600 million for farmer savings plans $400 million to offset agriculture production costs Increase in tobacco tax to offset GST reduction These expenditures and cuts have led to some belief that this is pre-election budget, aimed at enticing voters.http://thechronicleherald.ca/Canada/565500.html "Federal budget could be prelude to election" Halifax Chronicle-Herald.ca, Enhancements to registered savings plans Increase age limit for RRSPs $140 million to establish a Registered Disability Savings Plan Removal of the Registered education savings plan annual contribution limit Enhancement in the Canada Education Savings Grant Reception The Liberals and the New Democrats announced shortly following the presentation of the budget that they would not support in its current form. Nova Scotian politicians have criticized the new equalization plan, as it cuts back payments on the assumption that various offshore programs will result in increased revenues. Nova Scotia premier Rodney MacDonald has stated that this situation is caused by the few Nova Scotian seats in the Federal Cabinet.cbc.ca "Equalization Plan unfair, Macdonald says", Canadian Broadcasting Corporation.ca This is expected to be a cut of approximately 5 million dollars.http://thechronicleherald.ca/Front/565615.html "No fiscal fairness for N.S.", Halifax Chronicle-Herald Premier MacDonald later urged all his province's MPs to vote against the budget after a letter Flaherty that was published in a Nova Scotia newspaper. 9 of the 11 MPs voted against it in the third reading. CTV News N.S. premier urges revolt against federal budget CTV https://www.ctvnews.ca/n-s-premier-urges-revolt-against-federal-budget-1.244389 https://web.archive.org/web/20070612161451/http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20070610/ns_accord_070610/20070610 dead June 12, 2007 2007-06-10 After the 2007 passed, the government started to work on a comprise with Nova Scotia to settle the dispute. CTV News Tories hint of possible deal in offshore feud CTV http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20070611/ns_accord_070612/20070612/ https://web.archive.org/web/20070614233752/http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20070611/ns_accord_070612/20070612 dead June 14, 2007 2007-06-12 Newfoundland and Labrador premier Danny Williams criticized the budget as being a "betrayal" and a violation of the terms of the 2005 Atlantic Accord. Bill Casey, Conservative Member of Parliament for Cumberland—Colchester—Musquodoboit Valley, voted against the budget, because of the unfair equalization formula for Nova Scotia and Newfoundland and Labrador, and the effective cancellation of the Atlantic Accord.Tory MP threatens to vote against budget over offshore accord https://www.cbc.ca/news/canada/nova-scotia/tory-mp-threatens-to-vote-against-budget-over-offshore-accord-1.662710 The Canadian Press CBC News June 4, 2007 Nova Scotia He has since been removed from the Conservative caucus. Quebec Premier Jean Charest had applauded the budget, as his province would receive over $2 billion in additional equalization payment. Parti Québécois leader Andre Boisclair spoke in opposition to the budget, saying that the new money for Quebec was part of an effort to buy votes for the federalist Liberal Party of Quebec before the March 26, 2007 provincial election.Melnbardis Robert Ottawa's cash stirs up Quebec election campaign https://www.reuters.com/article/canada-quebec-election/ottawas-cash-stirs-up-quebec-election-campaign-idUSN2036455220070320/ Reuters August 9, 2007 Montreal Saskatchewan Premier Lorne Calvert argued that his province will receive no new money and alleged that the Conservatives were favouring Ontario and Quebec at the expense of other provinces, which MP Maurice Vellacott has disputed. Other premiers including New Brunswick's Shawn Graham, British Columbia's Gordon Campbell had some reservations. CTV News Equalization bickering continues after budget CTV https://www.ctvnews.ca/equalization-bickering-continues-after-budget-1.234044 https://web.archive.org/web/20071126103927/http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20070320/budget_provinces_070320?s_name=&no_ads= dead November 26, 2007 2007-03-20 However, Ontario Premier Dalton McGuinty said that the budget represented "real progress" for his province. Urquhar, Ian McGuinty has reason to raise muted cheer The Toronto Star https://www.thestar.com/article/194081 2007-03-21 CTV News Tories enjoy post-budget bounce in support: poll CTV https://www.ctvnews.ca/tories-enjoy-post-budget-bounce-in-support-poll-1.234462 https://web.archive.org/web/20071126014044/http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20070322/poll_postbudget_070322?s_name=&no_ads= dead November 26, 2007 2007-03-22 The Mayor of Toronto, David Miller, also criticized the budget for its alleged lack of funding for cities. Many Ontario-based and Western-Canadian columnists have supported Flaherty's budget, citing figures that indicate that the per capital income in Newfoundland and Nova Scotia has improved significantly, at the expense of Ontario, and that allowing the Maritime provinces to keep both equalization payments and resource revenues would hurt Ontario even more.Gunter Lorne Greed knows no bounds in Atlantic Canada http://www.canada.com/nationalpost/news/issuesideas/story.html?id=e82635f3-84b8-439b-b639-c1d4a36f72f5 National Post June 19, 2007 https://web.archive.org/web/20070926221248/http://www.canada.com/nationalpost/news/issuesideas/story.html?id=e82635f3-84b8-439b-b639-c1d4a36f72f5 September 26, 2007 + House of Commons vote on the Budget Implementation Act, 2007Summary of Vote No. 202, 12 June 2007.Party Yea Nay AbstentionAbsent Conservatives 113 0 5 6Liberals 0 76 0 24Bloc Québécois 43 0 5 1New Democratic 0 26 0 3Independents 2 1 0 1Total 158 103 10 35 October 2007 economic statement On October 30, 2007, the Conservatives tabled an economic statement (similar to a mini-budget) and announced various tax cuts and exemptions. Overall, the government proposed a total of $60 billion in tax cuts over five years, including $14 billion in corporate tax cuts by 2012 (or a drop of 33%), a 1% drop of the GST to 5%, an increase of the basic personal tax exemption to $10,100 per year by 2009. The stated goal of the corporate tax cuts was to set Canadian corporate tax rates as the lowest in the G7, although this would require the provinces do matching tax cuts. The lowest personal tax rate will be reduced from 15.5% to 15%, effective January 1, 2007 back to the same level as when the Conservatives were elected in 2006. Economists said that with the large surpluses the federal government accumulated as well as high tax levels, there was another room for significant tax cuts. The opposition parties criticized the mini-budget as the NDP leader Jack Layton mentioned that the budget did little for impoverished Canadians, and that big corporations such as oil companies and major banks will receive hefty tax breaks. The Liberals were critical of the GST cut as being not an efficient tax-relief but did praise the corporate tax cuts. CTV News Feds cut GST, slash personal income taxes CTV http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20071029/fiscall_statement_071030/20071030?hub=TopStories https://web.archive.org/web/20071031211422/http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20071029/fiscall_statement_071030/20071030?hub=TopStories dead October 31, 2007 2007-10-30 The mini-budget, a confidence motion did pass 127–76 but without support of any opposition party as the Liberals abstained from voting as they did with the Fall 2007 Throne Speech. CTV News Tory 'mini budget' survives confidence vote CTV http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20071031/fiscal_vote_071031/20071031?hub=Politics https://web.archive.org/web/20071102225356/http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/20071031/fiscal_vote_071031/20071031?hub=Politics dead November 2, 2007 2007-10-31 During the Throne Speech in October 2007, Harper also addressed issues surrounding the economy because of difficulties in the manufacturing and forest sectors due to the loss of numerous jobs at several companies including the three major automakers in the United States and several small to large forest companies over the past few years. On January 10, 2008, the government announced a $1 billion relief fund for single-industry communities that were hit hard by recent closures particularly in the forest and manufacturing industries but also the fishing sector.October 17, 2007 2007 Throne Speech https://www.cbc.ca/news2/background/parliament39/thronespeech.html CBC News References 30em CBC's report on the budget. See also Domestic policy of the Harper government 2007 Canada Category:2007 in Canadian politics Budget, 2007 Budget, 2007 Budget, 2007 Category:March 2007 in Canada Category:June 2007 in Canada