The Goderich Signal-Star, 1969-01-16, Page 14r-+,( 1) 11.1C1`l SK NAL=s'I'AR, `I' lURSDAY, tlANUARY 16, 1969
•
O
!Committee Proposes
legativeIncome- Tax
TOrrontci, January 6_ — • The
Special Committee on Farm
income today called on the
Federal. :government to establish
an income maintenance
programme for :low-income
D
families. ,.Thi proposed%
programme would involve the
introduction of a negative
income tax with a guaranteed
minimum,income.
In advocating the scheme, the
Committee, in its report on a
two-year study of ifarm income
in Ontario, comments that
Canadian society has,. only
partially recognized that
individual freedom and dignity
'requires more than the existing
civil liberties. Individuals, to
deacelop their .full.. potential,
require a' certain minimum of
security f which includes
'economic security, , and this
minimum of economic security
should be accepted as a human
right.
"The Committee disagrees
strongly withthe traditional
Welfare approach 'to individuals
And families with' low incomes.
1t
has' frequently' -been punitive
.and degrading to the people
receiving public, assistance. This
is not a liberating but . an
enslaving method of dealing with
huniad problems."
In the Committee proposal
the negative _income' tax is
integrated into the present
income tax ,--structure. •' Its
purpose is to pro%ide the fam'ily
:with a minimum income of
.$1,.500 and at the same time'
preserve' the incentive to engage
in productive employment.
A .taxpayer., with three
children ';has exemptions up to
cg3,000 under the present tax
system.. The modification
proposed by the Committee
would mean that any family
earning less than ithe ''amount of
the exemption would receive -a
payment from. the government
equal to 50 percent • of the
difference between its earnings
and its tax exemptions. •
in other words, a low income
family Would make a net gain of'
only $1 for each additional $2
•earned under this scheme, since.
the government payment falls as
eThincome-rise
is could besregarded as a
• very high tax rate which would
" • discourage work. • We .find it
difficult•• • to attach much
importance to' this• .argument
since- any person capable of '
working, is unlikely' to be
Satisfied' with the minimum
ipcom 4pxQ_vxdedl The, negative
income tax p is, of benefit mainly
-to low• income working.
-families."
The Committee said its
programme r eed\ not \\great1,,
Nen' 6t` b der bn th
"Mhe of
do it
: \ could be
financed with the money now
laid out in family allowances,
which is .• a wasteful forth of
- transfer payment. The negative
income tax would concentrate
these-- funds in the area of
greatest need." • •
The Committee's" research .
:`Indicated that potential -savings
_fir'iom . a number . of
income -transfer programmes
-Would 'adequatel f{,Mance this
first move toward ,economic
security, as a basic right. 'these
savings 'could accrue from the
elimination of family allowances
and the .reduction of old age
,pension schemes t;o an• amount
equivalent ' to the, difference
11et ween the ' guaranteed
minimum income and the
present level of old "age security
allowances.
Maple Leaf
I.O.D.E.
Meet
Mrs. E. Weaver opened her
home for the January meeting of
the Maple Leaf Chapter I.O.D.E.
The regent' Mrs. B, Ainslie
presided: •
A letter from'the- provincial
executive committee ` informed
the members that the provincial
annual meeting would be held in
Hamilton, April le; 17 and 18.
The convenor of the
nominating committee, Mrs. C.
Edward, brought in a new slate
of officers for 1969.
Mrs. J. Coates thanked the
hostess for her hospitality.
KINSMEN
PLAY
SANTA
C LAUS,
The Octogenarian Committee
of the:Goderich Kinsmen Club
played Santa Claus to senior
' citizens' On Sunday, De cember
/2.
Santa and the committee gave
a gift to every resident of the
two Goderich Nursing Homes -
and also . to all -of the'°chronic
patients at •Alexandra Marine
and General Hospital.
w1
ts
Farm CommitteeT Proposes
Farmland Rental Legislation
Toruntii, Jan Special.
Committee on „ Farm 'lt'r'come
recommends new legislation, to
be incorporated in a Farmland
Rental Act, to improve present
leasing practices..
"IL-, The " pro posed Farmland-
R.entat Act would, among other
things, require that:
* All rental agreements be in
Writing. ' •,
* Leases ,be signed for aall
specified number of years.
*"A minimum notice period
be required- to terminate a lease.
" Disputes between tenant
and landlord be sent to
arbitration, .especially~inTr'espect
to such nratters as rent charges
for long-term leases,
compensation to tenants for
un -exhausted- improvements to
land . and buildings, and
compensation to owners where
tenants wish to stop farming
before the lease expires.
The Committee recommends
that appropriate legislation be
introduced as soon. as possible
but staged over a five-year
period to enable 'landlords and
tenants to adjust to the new
requirements.
Toincrease the amount of
good ,agrictilturalitand available
for renting, th Comthittee
`recommends that the Farm
Enlargement and Consolidation
Programme of A.R.D.A. be
expanded immediately and that
the present restriction on
purchase of land priced at over
$100 per acre be removed.
'If the A.R.D.A.. programme is
not extended to meet present
requirements, the Conimittee
proposes that the provincial_
government should establish an
Ontario Land Corporation. The
necessary capital would be
provided by the provincial and
fed`e'ral governments with: the
balance raised' through sale of
bonds and shares. :
.The Corporation . could
undertake the present A.R.D.A.
programme and, extend it to, all
areas of the -province, regardless
of land values. Land purchased
would be rented to qualified
farmers on long-term 'leases.
The Committee recommends
that these and other supporting
steps are necessary to establish a
desirable renting pattern in
.Ontario. "Desirable renting
pattern" is defined as a situation
where farmers own a basic farm
unit and;°'rent the extra land
• needed to expand the farm into
the Buil size desired.
There; has been an
encouraging trend toward this
system, but tile Committee feels
that it should be hastened in
order td .relieve the pressure on
farmers' ""to sacrifice-., present
income and decent living
standards to Obtain the land
necessary . to support a viable
farm unit. • — �
As supporting measures to
the above approaches, the
Committee also. recommends:
.._•t Educational programmes to
stresshhe benefits of security of
'land tenure, model of contracts
and other information on leasing
and renting.
* Promotional programmes to
encourage in'vestmenut
institutions to hold farm land as
part of their portfolios and to
show marketing 'and,.. _>eredit^
agencies the benefits of dealing
with those farmers who hold
long-term leases. • • °^
* Effective Land use planninC.
and regulation immediately.
GODERICH'S,QWN .. .
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