Friday, October 12, 2007

Harper's Happy Halloween leads to unhappy hollowing out and diminished futures for virtually all Canadians

Ottawa and Calgary events planned on October 31st

I want to bring to your attention two very important event based initiatives on the part of two CAITI members, who are seeking your involvement to assure its success.

In less than three weeks it will be Halloween 2007. The first anniversary of our misfortune at the hands of Stephen Harper. We probably all remember how and when we heard the news about Stephen Harper's broken promise to never tax trusts and to never raid seniors nest eggs. Turns out, never was short lived. Those were our nest eggs he happened to be raiding that particular evening and in the weeks and months ahead.

His reasons were dubious at the time, and have only become more dubious with the passage of time. Correction. His reasons have actually been proven to be baseless. Apart from the losses we have all experienced, Harper's actions are causing great harm to our country, its economic foundations, and its tax base. Of the 25 largest foreign takeovers in Canada over the course of the last 5 years, 7 are linked to the trust taxation. From a policy that has only been around for 11 months! Two of these deals really stand out.

The first is BCE. We all know that BCE and Telus and their announced plans to convert formed the sole rationale cited by Harper for the breaking of his promise. He said taxes would be lost. How was that even possible when neither BCE nor Telus were even paying corporate income taxes? Now BCE has been taken private under a mountain of debt by foreign private equity and a tax advantaged government sponsored pension plan. Why can they own what we can't and not be subjected to the same rules or even the same logic. How is that "leveling the playing field" How is that "tax fairness"? These parties are actively pushing us aside. Harper favours them to us. The net effect? The true irony? Canada will lose $793 million a year in taxes from BCE relative to it being an income trust. Harper has us in a race to the bottom.

Meanwhile we have a middle eastern oil company, Abu Dhabi Energy acquiring the undervalued Prime West Energy for $5 billion. We have foreign big oil buying up our energy trusts. More will soon follow This is a complete reversal of what trusts were able to accomplish over the past ten years, namely the repatriation of a large number of Canadian energy assets from foreign owners. Harper has turned that upside down. In the process, major taxes are being lost, as well as an essential investment choice and lost capital. In the end the price tag wil be $7.5 billion a year in lost taxes. Each and every year

All of this is to say, there is a rare opportunity near at hand to demonstrate your dissatisfaction with this grossly flawed policy. There are two events planned for Halloween by two very dedicated CAITI Members. David Marshall from Cornwall who is organizing a gathering in Ottawa, and Mike Beath who is organizing a gathering in his home town of Calgary. We can easily arrange to have these events covered by the media to heighten their effectiveness. Before doing so however, we have to assure ourselves that there will be sufficient attendees. For those attending the Ottawa gathering, David has arranged for all attendees to gain entry to the visitors gallery of Parliament to watch Question Period in person. It's quite the event, and Question Period in the House of Commons is the very center of Canadian politics. Transportation will be provided from Toronto to those wishing transportation, returning that same day. The departure point will be Yorkdale Shopping Mall, adjacent to Highway 401. For those wishing bus transportation, please let David know. To indicate your intention to participate, simply contact David or Mike at the co-ordinates below.

I am personally asking you to attend. I will be attending the Ottawa event. If there are other CAITI members who wish to organize similar events in their local areas, please let us know at and we will assist in getting the word out.

Many of you may not reside in close proximity to either Calgary, Ottawa or Toronto. In that case I would encourage you to ask a friend or relative who does, to attend in your place.

A strong attendance will provide physical evidence that neither we, nor this issue, are going away quietly and conveniently, which won't be lost on the media. Limited numbers will however convey the opposite message. Please strongly consider attending if at all possible.

Thank you very much,

Brent Fullard
President and CEO
Canadian Association of Income Trust Investors

647 505-2224 (cell)

Ottawa, Ontario: October 31 - Gathering and Question Period Attendance

  • Meet at the Justice Building on Wellington Street, rear of building, 12:30PM to 1:00PM
  • Arrive on Parliament Hill 1:00PM
  • Remembrance Gathering on Parliament Hill 1:00PM to 1:30PM
  • Attend House of Commons visitors gallery for Question Period entering at 1:30PM
Ottawa Event Co-ordinator:

David Marshall
phone: 613-938-0810

Ottawa Meeting Place Map - click on blue placemark for further information

Calgary, Alberta: October 31- Gathering:

  • Meet at 2:00 PM.
Stephen Harper's Constituency Office
Suite A203, 1600 90th Ave. SW
On west side of Glenmore Landing Shopping Centre, which is on northwest of 14th St
Calgary Event Co-ordinator:

Bruce Benson
phone: 403-285-8491

Calgary Meeting Place Map - click on blue placemark for further information