This presentation looks at policies implemented by Justin Trudeau and the Liberal Party of Canada The presentation will look at income inequality, poverty, taxation, tax cuts, deficits, lapsing funds, job creation, health of the economy

1. POLICY – LIBERAL PARTY OF
CANADA – MIDDLE CLASS,
JOBS, TAXATION AND POVERTY
BY: PAUL YOUNG, CPA, CGA
DATE: FEBRUARY 17, 2017

2. OVERVIEW
• Liberal Party of Canada constantly makes the following statements
• “We will support the middle class”
• “We are reducing childhood poverty”
• “We are creating good paying jobs
• “We are balancing the environment with the economic growth
• This presentation will illustrate facts that support the Liberals policies may have not achieved the desire
results in terms of new jobs as well as reducing either poverty rates or income inequality.

3. AGENDA
• Who are the middle class in Canada
• Middle Class Tax Cut
• Middle class taxes
• Poverty / Income inequality

4. MIDDLE CLASS IN CANADA
• Source – Stats Canada, Globe and Mail, Global TV
Gross Income
Gross Wages
Comments
• Only 60,000 new full-time jobs in 2016
• New era of more job churning
• How is 154,000 new part-time jobs growing the
middle class?

5. MIDDLE CLASS TAX CUT
Source – Stats Canada, Toronto Sun
Comment
• Higher taxes can lead to a brain drain
• Taxes are based on income levels
• Wealthiest first 90K is taxed at 20.5%
Source – Global TV and
Fraser Institute
Comment
• Low to middle class benefited from the tax cuts
• Retail Sales have increased since 2009
• TFSA utilization benefited all income classes
• Economy expanded included new FDI

6. MIDDLE CLASS TAXES
• Source – Stats Canada , Tax –services , Taxtips.ca, KPMG, Global TV and Globe and Mail
Tax Credits Eliminated
• Income below 45,916 will not see tax
decrease, but hike through higher
payroll taxes
• Income from 45,917 to 91,831 will see
tax savings wipe out by CPP hike
• Hiking tax on the high income earners
could see a brain drain

7. POVERTY / INCOME INEQUALITY
Source – Huffington Post
Comments:
• The family tax benefit
• LPC plan is only $8/month better than CPC
• LPC Plan is not indexed
• Middle class has been under attack around the world
• Canada has one of the wealthiest middle class
• For each $1B in exports there are 5,500 jobs
• You cannot tax people to prosperity
• Many new Canadians struggle with barriers
• Language
• Credentials
• New government policies carbon tax
• Carbon taxes will pass on the cost to consumers
• Canada is resource based economy
• Goods producing lost 71,000 jobs in 2016

8. • Federal Government of Canada
T he government-wide lapse of
$9.7 billion in fiscal 2016
represents about 3.8 per cent of
the available funds authorized in
one way or another by Parliament.
The percentage of lapsed funds
peaked in 2010-11 at more than 10
per cent but dropped to 3.9 per
cent by fiscal 2015, the final full
year for the Harper government.
Justin Trudeau / Lapsing Funds
Source - CBC
Source –
Financial Post

9. OTHER SOURCES
• Deficits
• http://www.slideshare.net/paulyoungcga/government-deficit-and-debt-canada-november-2016-analysis
• Canada 2016 – performance –
• http://www.slideshare.net/paulyoungcga/canadas-building-permits-continue-to-struggle-for-december-2016
• http://www.slideshare.net/paulyoungcga/how-did-canada-performed-in-2016
• http://www.slideshare.net/paulyoungcga/prime-minister-stephen-harper-fiscal-management
• http://www.slideshare.net/paulyoungcga/fiscal-monitor-financial-performance-for-canada-3q16-september-
2016