Sue's Blog

Monday, January 29, 2007

Here's a Challenge Premier - try this out with Flaherty

Our skilled tradespeople are migrating to Alberta for work - and they are making good money in that province.

Many of these people have families at home - students and spouses - who must avail of our healthcare - education - and transportation infrastructure systems. That is only right - they are Newfoundlanders and Labradorians.

Here's the problem - because the outmigration of our skilled tradespeople is fairly significant and for Revenue Canada purposes - the taxpayer reports - based on "ordinary residence" as at December 31st of any year. For many of our people - that will be Alberta and Ontario and in some cases Nova Scotia and PEI.

These workers may be employed for 6 months in Alberta and return home for 6 months or any combination - unfortunately Revenue Canada that cuts the checks back to the provinces (provincial tax) they do not break down how many months people live in what province.

We invest in training so people can gain professional skills - they have to move away for work so they pay their taxes elsewhere - they return home and utilize infrastructure in Newfoundland and Labrador while not paying personal income tax here.

Why not be really creative Danny - why not ask Minister Flaherty to consider tax splitting based on numbers of months in various Canadian provinces. This would help economies which are "developing" to receive much needed provincial tax needed to maintain and build infrastructure. It would also reflect more accurately the realities of migrating workers.

Great for Alberta and Ontario - they get our skilled people for a portion of the year - they collect their personal income tax - and our people only use their health - education - and transportation infrastructure so many months of the year.
Only in Canada eh?

8 comments:

Anonymous said...

Obviously you didn't write Gerry Reid's news release that came out the same day the release came out.

Sue Kelland-Dyer said...

Did he put one out?

Anonymous said...

A lot of people had this same issue nailed before you did.

Gerry's just one of them.

Sue Kelland-Dyer said...

Where is Gerry's Release on this?
Can't find it on the Lib archives...

Anonymous said...

He was in the Telegram or on VOCM about it last week. Maybe it wasn't in the archive.

So how did you miss this?

Sue Kelland-Dyer said...

Where's the Release?
Was it TV or VOCM?

Anonymous said...

I bet Danny knows Sue has him figured out. That's why he's so crawsty these days

http://www.youtube.com/watch?v=MG6TsL2vFqY

Anonymous said...

Another option would be to appeal to all nlders who are "commuting" to report as living in NL. Only they probably won't want to pay more tax even though they are using our provinces services....

It's a good discussion topic for sure.