Don't expect tax cuts until next budget: Flaherty
Last Updated: Wednesday, October 17, 2007 | 2:12 PM ET
CBC News
Tax cuts hinted at in the Conservative government's speech from the throne likely won't happen until the next federal budget.
Finance Minister Jim Flaherty said Wednesday he probably won't bring the tax cuts forward to his November fiscal update.
"It's possible to take some tax measures in the fall update, but I'm not anticipating that right now because we're not far from the budget, fairly early in the new year," Flaherty said following a caucus meeting.
A federal budget is expected in February.
While not being specific, Flaherty opened the door to bringing in significant tax relief, saying the treasury could accommodate that.
"Quite frankly, revenues are good, so this is an opportunity," he said.
Prime Minister Stephen Harper told the House of Commons that tax relief would be broad-based. "Let me assure you, we will reduce taxes for all businesses, as well as for all individuals and families in this country."
The Conservatives ran into criticism from some quarters following this year's budget for bringing in tax cuts that were targeted at select groups, rather than bringing in general income tax reductions.
In Tuesday's speech from the throne, the Conservatives said they plan to "bring forward a long-term plan of broad-based tax relief for individuals, businesses and families" and a one-percentage-point cut in the GST.
During the last federal election campaign, the Conservatives promised to shave two percentage points from the GST by 2010. The first cut took effect in June 2006.
In September, Ottawa announced a $13.8-billion surplus for the fiscal year that ended in March, far above the $9.2-billion surplus projection made in its March budget.
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