Friday, February 29, 2008

Liberal Finance Committtee members calls on the Auditor General to investigate the tax leakage claims

“I think that this government’s stonewalling has gone on long enough and it’s time that Canadians got to see that the Government simply made up its story that income trusts cause federal tax leakage,” Liberal Finance Critic John McCallum February 29, 2008

The Harper government have offered no credible explanation to Canadians on questions surrounding Income Trusts and alleged tax leakage.

That is why it is important the Auditor General investigates the questions on alleged tax leakage the Conservatives refuse to answer.

Full text of Liberal's letter to Auditor General

Sheila Fraser, FCA
Auditor General of Canada
240 Sparks Street
Ottawa, Ontario
K1A 0G6

February 29, 2008

Dear Ms. Fraser,

We are writing to you today to urge you to investigate the government’s allegation that the income trust sector was the cause of an annual tax revenue loss of $500 million to the federal treasury. As identified in the Auditor General Act, you are the “auditor of the accounts of Canada, including those relating to the Consolidated Revenue Fund,” and we feel that this matter is of great concern to the balance of that consolidated revenue fund.

As you indicate in one of your 2005 reports, “One of Parliament's most important roles is to hold the federal government to account for its use of taxpayer dollars. To fulfill its role as watchdog over the public purse, Parliament needs objective, accurate information on how well the government is managing public funds. The Office of the Auditor General is an independent, reliable source of such information.”

In terms of the government’s claim that income trusts cause tax leakage, both Parliament and Canadians need your help to provide them with objective, accurate information on how well the government is managing public funds.

We look forward to your response.

With best regards,

John McCallum
MP for Markham-Unionville

Garth Turner
MP for Halton

John McKay
MP for Scarborough-Guildwood

Massimo Pacetti
MP for Saint-Léonard—Saint-Michel

Another Conservative non-answer

Liberal Finance Committee Members call on Auditor General to Examine Government’s Claims of Income Trust Tax Leakage