HomeMy WebLinkAboutThe Exeter Times-Advocate, 1977-04-28, Page 6wEEK
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It you require financing to start, modernize or
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FEDERAL
BUSINESS
DEVELOPMENT BANK
Opening
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Financial assistance
Management counselling
Management training
Information on government
programs for business
JOHN MacKENZIE
one of our representatives
will be at
Les Pines Hotel, EXETER on the 1st & 3rd
Tuesdays of each month
May 3 and May 17
For prior informafton call 271.5650 or
write 1036 Ontario Street, Stratford
Page 6
April 28, 1977 Outlines Ontario budget details, farm vehicle permits
By JACK RIDDELL
MPP Huron-Middlesex
Of course, the big news in the
Ontario Legislature was the new
Provincial Budget, which in-
dicated total spending of $13,698
billion in the fiscal year 1977-78
and over-all revenue of $12,621
billion for a deficit of $1,077
billion, compared with last year's
$1.388 billion.
The Treasurer's tax increases
will total $209 million, tax cuts
$201 million.
Tax on a 20 pack of cigarettes
will rise by five cents; tax on
cigars and cut tobacco will
double (the Government expects
to make $58 million from this
increase).
South of the French River, car
registration fees as of December
1st will be as follows: four
cylinder, $30; six-cylinder, $45;
eight-cylinder, $60. Up from $23,
$32 and $40, respectively. Motor
cycle registration will increase to
$20 and any car with a
displacement of more than 397
cubic inches registered for the
first time in 1978 will cost $80 to
register, The Government ex-
pects to raise $78 million on these
tax hikes.
Because people living North of
the French River have great
distances to travel and
sometimes pay more for
gasoline, vehicle and motorcycle
registraion will be reduced to a
flat $10. Savings to Northern
Ontario residents—about $12
million.
Sales tax exemptions on
restaurant meals will be in-
creased to $6 from $5 and to $3
from 75 cents on entertainment
admissions. Hotel and motel
operators will not have to pay
sales tax on disposable items—
such as bar soap, toilet paper,
matches, shower caps— used in
guest rooms. Thermal insulation
materials used in all buildings
and on other energy-conserving
devices, such as heat-recovery
units and solar cells, will be
exempt from 7 percent sales tax.
Provincial compensation to
small businesses collecting
retail sales tax will increase to
four percent to a maxiumum of
$700 a year. This will cost the
government about $5 million.
Effective June 1st, a tax of five
cents will be imposed at the retail
selling level on each can of
carbonated soft drink, The
government hopes to raise $25
million in revenue from this
move.
The Government anticipates
loss of $3 million in revenue by
raising the exemption from
Ontario income tax to cover
people with less than $1,680
taxable income-up from $1,540.
Small corporations with
taxable paid up capital up to
$50,000 will pay a flat tax of $50
instead of filing capital tax
returns. Those with more than
$50,000, less than $100,000 will pay
$100.
The limit on the value of estates
exempt from succession duty has
been raised to $300,000 from
$250,000 and non-residents (in-
cluding corporations) will pay a
20 percent land-transfer tax only
on agricultural land and
recreational land, rather than on
all land as hitherto. The time a
non-resident must wait to avoid
payment of the land speculation
tax has been reduced to five
years.
Under an amendment to the
gift tax legislation, present
allowances will be doubled. Gifts
of up to $10,000 per recipient and
$50,000 per donor will be exempt.
Ontario Hydro's borrowing
freedom goes to $200 million for
next year.
We consider the Budget to be,
in large measure, an admission
of past fiscal sins. For the first
time in history, the province is
paying interest of over one billion
dollars on our debt—an increase
of 17 percent,
Our main concern is lack of
effective measures to improve
the critical unemployment
situation in Ontario. The
Treasurer himself predicts that
12,000 more people will be
unemployed here this year,
compared with last (an increase
of five percent).
Although the Budget in-
corporates a number of measures
which are supposedly intended to
reduce unemployment for
Ontario's Youth, all the proposals
are short term in effect—the
duration of the jobs so created is
no longer than 16 weeks, although
a few, very few, will last 32
weeks. The Ontario Youth
Employment Programme, with
its $1 an hour bonus to employers,
will not necessarily create new
jobs—and in any event will
certainly not create the 20,000
jobs as indicated. In fact, the
programme will fund fewer than
16,000 summer jobs.
Some 143,000 young Ontarians
are unemployed-15 percent of
those in the labour force under 25
years of age. Mr. McKeough
proposes to create 6131 man
years of work for Ontario's
youth—only one job for evey 23 of
our unemployed young people.
Ontario's total unemployed
figure at this time is 316,000. Yet
Mr. McKeough is proposing only
9487 man years of new job
creation—one job for every 33
unemployed Ontarians. Even at
this, the Treasurer's projection of
6.3 percent unemployment
remains substantially below the
Conference Board's estimate of 7
percent for Ontario.
Farmers have expressed
concern that the requirements of
the Classified driver licensing
system might impose restrictions
on the farmer's freedom of action
in assigning helpers or tem-
porary employees to drive farm
vehicles, for example, during
seeding or harvesting time. I
have raised this matter with the
Minister of Transportation and
Communications, the Honourable
James Snow, on more than one
occasion.
The Minister has also been
approached by the Farming
community and because of these
concerns expressed the
regulation under The Highway
Traffic Act pertaining to the
classified driver licence
requirements is to be amended.
The regulation to be amended
concerns Class "D" and Class
"G" motor vehicles. Class "D"
includes motor vehicles which
exceed 18.000 pounds gross
vehicle weight provided any
towed vehicles are not over 10,000
pounds. Class "G" refers to the
licence required to drive cars,
light trucks, etc., up to a
registered gross vehicle weight of
18,000 pounds.
The amendment
deems a Class "D" motor vehicle
to be a Class "0" vehicle if the
vehicle is owned by a farmer and
used for his personal tran-
sportation or the transportation
of his farm products, supplies or
equipment to and from his farm.
Under the existing regulation
which deals with vehicle
registration, the farmer's permit
will be marked "Farm Vehicle"
by the Ministry and such a
"Farm Vehicle" could be driven
on the highways by the farmer or
his helpers holding a class "G"
licence. in effect