July 2009 Parliamentary Report
July 2009 - PARLIAMENTARY REPORT
ADDRESSING THE GLOBAL ECONOMIC RECESSION
Our Government's top priority is to use every tool at its disposal to protect the jobs, savings and retirement security of Canadians.
These include:
- the tax system,
- direct spending by federal and provincial governments,
- lending by Crown corporations
The Government is acting to counter the effects of the global recession at home, while working with international partners for a quick return to economic growth and long-term prosperity.
TAX RELIEF
Significant new personal income tax relief measures took effect January 1, 2009 and provided immediate benefits, particularly for low and middle income Canadians. These measures will provide tax breaks of $470 million in 2008-2009, $1.885 million in 2009-2010 and $1.950 million in 2010-2011. The basic personal exemption has been increased to $10,320 in 2009 from $9,600 in 2008, allowing individuals to earn more income before paying federal income tax.
STIMULUS PROGRAMS
Canadians who renovate their homes are eligible for the Home Renovation Tax Credit. This will encourage more Canadians to invest in job-creating renovation projects. The Government is also investing $7.8 billion in job-creating housing-related projects, including social-housing, on-reserve housing, and housing for low-income seniors and Canadians with disabilities The Government is investing $12 billion in new major public works such as roads, bridges, highways and public transit to create thousands of jobs.
On June 5, I announced stimulus funding in the amount of $25,591,268. for 22 local projects to improve municipal buildings, parks, sewer and water main rehabilitation, wastewater treatment facilities and local roads in our community. With Provincial and Municipal contributions this will pump $77 million into our local economy.
On June 15, I accompanied Minister Gary Goodyear as he announced improvements to Highway 8 including the addition of new lanes, twinning of the Grand River bridge, highway resurfacing, and construction of a bus bypass from Grand River to Sportsworld. The project's total estimated benefit is $70 million. These improvements will certainly make the commute from Kitchener Centre to the 401 and beyond much more convenient.
BUSINESS ASSISTANCE
Through Canada's Economic Action Plan, the federal government is making it easier for businesses to obtain credit during the global economic downturn. Under the Business Credit Availability Program, Export Development Canada and Business Development Bank of Canada will work with private sector financial institutions to provide at least $5 Billion in additional loans and other credit support to Canadians. These loans will go to Canadians with viable business models whose access to financing would otherwise be restricted. Close cooperation between the financial Crown corporations and private sector financial institutions will fill gaps in market access and leverage additional lending by private sector institutions. Our goal is to ensure that Canada emerges from the global downturn as early and as strongly as possible.