Introduction
Committed to a balanced budget or better for the current and each of the next two years, the Honourable Paul Martin noted this would be only the third time since Confederation that the budget has been balanced or in surplus for at least five consecutive years, and the first time in the last fifty years. Nonetheless, many will be very disappointed with the fact that the Finance Minister has taken no clear steps to deal with the public debt, now at a level of nearly $580 billion.
Mr. Martin did:
propose a five-year tax reduction plan that will:
- immediately restore full indexation for inflation of the personal tax system;
- cut personal tax rates for the first time in twelve years by reducing the middle income tax rate; and