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New tax break in Conservative platform

Last Updated: Friday, January 13, 2006 | 9:28 PM ET

Conservative Leader Stephen Harper announced a new tax break on capital gains as he released his party's election platform in Oakville, Ont., on Friday.

Speaking without a lectern and using a handheld microphone, a confident looking Harper said he has spent the campaign so far telling Canadians what he and his party want to do if they win the Jan. 23 election.

"Now it's time to tell you why we want to do it," he said.

Stephen Harper in Oakville, Ont., Friday. (CP photo)
Stephen Harper in Oakville, Ont., Friday. (CP photo)

"Our opponents want Canada to believe that this is as good as it gets," he said. "I want Canada to believe that the best is yet to come."

Harper said Canadians can expect a Tory government to spend $60 billion for new programs over the next five years, which includes $45 billion in tax breaks.

Most of the new policy contained in the platform, called Stand Up for Canada, has been announced on the campaign trail, but Harper left himself a couple of nuggets for his speech on Friday.

They include a promise to cut taxes on capital gains for individuals and companies that reinvest the money within six months.

"This will allow those who sell family enterprises to avoid taking a hit and it will keep longer-term investors focused on longer-term gains," he said.

Harper vowed to increase Canada's foreign aid spending by $425 million. He also promised fixed election dates, and new legislation to clean up pollution in the air and water, and on land.

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Advance polls are open Friday, Saturday and Monday across the country.

You can find your poll location by contacting Election Canada or by checking your voter information card.

Harper projected $22.7 billion of surpluses over the next five years.

But Harper cautioned that money won't fix the fiscal imbalance between Ottawa and the provinces and that he's seeking a long-term solution to the problem.

"I am not saying $23 billion is for the fiscal imbalance. We're not negotiating the fiscal imbalance in the middle of this campaign," Harper told reporters.

"Ultimately, I want to seek a comprehensive, long-term solution to the fiscal imbalance and what I want it based on is based on the genuine long-term spending needs of all levels of government, including the federal government."

The party also plans to save about $22 billion by putting a cap on the growth of federal spending each year, limited to the rate of inflation and the increase in population, except in the departments of Indian Affairs and Defence.

But Harper said they will not be implementing any "draconian measures" to limit growth.

"The most we do in any area, frankly, is restrain spending growth. There will still be growth," he said adding that in some area they will reallocate priorities.

The platform also includes promises to:

  • Replace the Indian Act with a modern legislative framework.
  • Ensure that the CBC and Radio-Canada continue to perform their "vital role."
  • Enshrine property rights in the Constitution.
  • Reform the Senate.
  • Come up with a made-in-Canada plan to reduce greenhouse gases.

During a news conference in Hamilton, Liberal Leader Paul Martin said the platform was "not competent."

"It reminds me of the kind of documents I first looked at when I became finance minister in 1993, and looked at the kind of documents that the Conservatives actually circulated," Martin said.

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