Federal Conservatives unveil tax reduction plan
By Bill Rea

The economy has been doing well, and the federal government has decided to share the benefits with Canadians.

Finance Minister Jim Flaherty announced plans last week to cut taxes by some $60 billion over the next five years. That includes cutting the Goods and Services Tax (GST) from six to five per cent in the new year. Income tax cuts will also be retroactive to the start of 2007.

As well, there are plans to raise the basic personal exemption and cut $10 billion from the national debt.

Not surprisingly, York - Simcoe MP Peter Van Loan was "very delighted" with the measures Flaherty announced.

He pointed to the GST cut, commenting it "will really help out consumers and families making ends meet."

"It's also going to help our businesses because people will have more money in their pockets to buy things," he said, pointing out cars are already dropping in price.

Referring to the income tax measures, Van Loan pointed out it will mean larger refunds for families when they fill out their returns early next year.

"We've made it clear that we were going to deliver major tax relief," he said.