Pierre Poilievre speaks during a press conference at a campaign stop in Edmonton on April 8.JASON FRANSON/The Canadian Press
Conservative Leader Pierre Poilievre is vowing to crack down on tax cheats by closing offshore tax loopholes, a plan that his party says would recoup $1-billion a year from those who try to hide their wealth overseas.
Mr. Poilievre made the announcement in Edmonton Tuesday, where he held a large rally the evening before with former prime minister Stephen Harper. He said the changes will help pay for his plan to introduce a broad-based income-tax cut that would lower the rate on the lowest income-tax bracket to 12.75 per cent from 15 per cent.
With the announcement, Mr. Poilievre is targeting Liberal Leader Mark Carney, who previously chaired Brookfield Asset Management.
Last month, Radio-Canada reported that while at Brookfield, Mr. Carney co-chaired two investment funds worth about $25-billion registered in Bermuda, a tax haven.
Mr. Carney has said the structure of the funds is designed to benefit the Canadian pension funds that invest in them. He also said taxes are paid in Canada, because the “flow through” of the funds goes to Canadian entities who pay taxes properly.
The Conservatives said in a statement Monday that if elected, a previously announced task force would “close all the loopholes” that allow companies such as Brookfield to stash their money in offshore tax havens to avoid paying their fair share in Canada.
The party also said it would redirect resources from the Canada Revenue Agency to crack down on offshore tax havens, instead of “harassing” small business owners and charities.
Mr. Carney said during a news conference Tuesday that his government would continue to “refine” the tax system to ensure companies are paying their fair share and also ensure “the federal government is spending only those dollars that are necessary,” prompting attacks from the NDP.
“You can’t make this up – Mark Carney just had another chance to say he’ll crack down on tax havens. He refused (again) and just said government should ‘spend less,‘” said NDP candidate Niki Ashton in a statement. “He’ll let Brookfield off the hook and pay for it with cuts to healthcare.”
Mr. Poilievre said he would expand the offshore tax informant program, to give whistleblowers up to 20 per cent of recovered funds when they help expose illegal tax schemes. And he said he would create a website to “name and shame” wealthy multinational corporations that are dodging taxes.
“After the Lost liberal decade, there are two classes of Canadians. There are the hard-working people behind me who pay too much and spend hours filling out the paperwork for CRA and then there are the global elites who dodge taxes using sophisticated overseas tax havens who reap all the benefits of Canada and contribute nothing at all,” Mr. Poilievre said at the announcement at a tire shop in Edmonton.
