Winnipeg Free Press

Winnipeg Free Press (Newspaper) - November 13, 1981, Winnipeg, Manitoba 4 Winnipeg free november 1981 opposition Steps All Over liberals Turkey Trot budget fifth no 55 nor front Plarr Eom by Michael Doyle Winnipeg free press Ottawa leaders of both opposition their finance specialists and others damned the new Federal budget As a Shell do nothing document and worse last even removal of major tax loopholes for executives nothing for Leader de Broadbent and finance critic Bob opposition Leader Joe Clark said the budget does nothing to get at the heart of Canadas economic prob he didst mention that though there preaching there in creasing their own expenditures by some 22 per Clark although the budget met Clarks repeated demands for Aid to homeowners and Small the opposition Leader was by no Means very limited Aid has been Given to he a guarantee for deferred interest rates within limits does not mean we dont know what within limits Means in my judgment it does not Honor the solemn Promise of the minis Ter to come to the Aid of of Home a Promise for Small business Bond development is equally unspecific he for the it amounts in effect to a Shell Clark said finance minister Allan Maceachen has told part of the truth of the hardship to be suffered by i Dividu he said the budget said nothing about the fact the average Canadian family will be paying a year for extra Energy costs brought in by the the Impact upon Confidence in the i think will be very he i think that people were looking for a statement of direction from the government of they did not receive what they got was preaching behaviour for i think that the budget tonight can Best be characterized As a Shell former progressive conservative finance minister John whose budget two years ago led to the defeat of Clarks Short lived minority govern said Maceachen was just tin Kering with the budget and labelled the document Maceachen Turkey Trot step two Steps a budget that going to accomplish Broadbent rated the budget on a scale of one to 10 As minus a budget that comes out at a time when were in recession then forecasts increasing in the next three years without one new Job Crea Tion program has to be seen As a he a budget that acknowledges for the fifth year in a Row that the prices paid by canadians Are going to outstrip wages and salaries has to be a discs a budget that pretends to fill in the loopholes in a tax system that has benefited the Rich on the one but reduces on the other hand the rate at which they pay taxes in general the one almost totally cancelling the other one out to be a he Broadbent said the budget is a deceptive budget and apart from the its going to be discs we needed a budget that would stimulate the Economy and weve got one that would depress the Economy Broadbent criticized the housing pro saying even the very Small number who Are going to get assistance will have to increase their debts with the Banks before they get As for Aid to the govern ments plan to increase rental accommodation by units is not even enough to meet the needs of Vancou let alone the whole he housing minister Paul cos Grove should its totally disastrous in terms of whats needed in Cosgrove said the important thing to remember is that the government kept its Promise of the throne speech to help those worst in Ding on defence 17 this space shuttle Columbia rides under huge Booster tanks into Earth orbit astronauts aboard shuttle flexing Canadian space Arm continued from Page 1 one of columbian three fuel cells malfunctioned and Halfa Day after the ships second perfect Nasa instructed Engle and to pull the two other units were working nicely and Puddy said Columbia might still Complete a full five Day with two Good fuel cells we and Infin Tum in the configuration were in flight director Neil Hutchin son said in Houston last but that the longer they Fly the greater the Hutchinson said that every Day Nasa officials will assess where we stand and make a decision on whether to come Home the next management will assess the fuel cell the condition of the Lehi the weather and then decide if they should come Down he if we decide to press Well meet the next Day and ask the same manned space flight has always operated by a set of Mission rules contingency plans in Case something goes one Rule says that if Columbia loses one fuel it should shift to a minimum return ing to Earth after 54 squeezing in As Many High priority assignments As possible in the Engle and immediately were ordered to shift to this contingency plan which would mean Landing on a desert runway at Edwards air Force tomorrow Hutchinson Mission rules Are designed to be some such As those in Are followed he others represent a starting Point for discus Sion on what we want to in the Case of the fuel cells we have to consider Impact of another fuel cell he reentry on two fuel cells is very reentry on one fuel cell is not easy and requires considerable vehicle what would be the Impact if both remaining cells failed wed have no the lights would go and wed lose the Lehi businessmen weigh pluses and minuses continued from Page 1 savings and investment May be curtailed by budget measures which eliminate or reduce the tax deductions allowed for interest paid on Loans used for registered retirement savings plan resp contributions or they Rees chairman of the Manitoba Branch of the invest ment dealers said it was a very shortsighted budget in Many the incentives of yesterday Are the loopholes of Jones said of measures such As the nation of the resp loan interest Many spokesmen said the majority of people borrowing Money for resp contributions did so not for the interest deduction on their but because they had to borrow the Money just to make the he said investment will be adversely a similar move which limits the amount of loan interest an investor can de duct to the amount of Money he makes on the Jones said a reduction in capital Cost allowance provisions in the first year will make companies think twice about the budget reduced by half the current allowable deductions for capital he for a company until now could have deducted 30 per cent of the Cost of new machinery in the year it was but that has been reduced to 15 per tax reduction lauded the Only Good thing about the budget is the reduction in tax paid by those in the top bracket to 52 per cent from 66 per a num Ber of tax experts but at the same time employment benefits such As interest free com Pany cars and More general Bene fits such As dental and extended healthcare plans will be taxable they Are just trying to tax every Benefit you get from pm major Banks slash rates Toronto up Canadas major chartered Banks slashed their prime lending rates iy2 percentage Points to 18 per cent yesterday shortly after the Bank of Canadas rate was set at its i West level this announcing the changes in the prime rate the interest charged on Loans to their most credit Wor thy corporate customers were the Royal Bank of the Canadian Imperial Bank of com the Bank of the Bank of Nova the Toronto Dominion the mercantile Bank of the National Bank of Canada the Bank of earlier in the the Central Bank lowered its lending rate percentage Points to per the Lith consecutive week the trendsetting rate has the previous Low for the Bank rate this year per cent was set March the new rate is still Well above the per cent of a year economists said the main Rea son for the drop in the Bank of Canada rate wad the decline in interest rates in the United Canadas chief trading prime rates at Roost Banks fell to 17 per cent this said Ken Buckingham of the Institute of chartered a he said extending the ceiling for the Low corporate tax on Small business to from is certainly a but those same Small businesses will now have to pay tax on dividends paid to their owners a new tax with this the Manitoba Chambers of Commerce have been advocating an increase in that tax said spokesman Alex but Maceachen boost really amounts to a catchup for inflation rather than a real he predicted the average tax payer will see an increase in his pay Cheque because of the budget but he could not predict How Al Brackman of the certified general accountants association said the budget causes hardships for those people with capital gains because tax deferrals for income averaging annuities have been it Means someone Witer an unusually High capital gain in one year will no longer be Able to spread out the tax he called the taxing of employee including air travel As a Radical change and said it will change the Way some higher income earners will want to be they will take the Cash now rather than benefits which will be taxed As income in any everyone was pleased Eachen retained indexing of per Sonal income tax after reports that he wanted to end in Toronto the Ca Nadian chamber of Commerce said that by overhauling the corporate tax system to plug Loop Ottawa will restrict Busi Ness investment at a time when it should be encouraging continued from Page 1 people who earn up to a year will see a 33 per cent reduction from what they would normally have assuming indexing had been someone earning to would save per although he May be penalized by tightened tax big corporations get a tax depreciation write offs have been reduced and a five percent surtax which was supposed to have ended this year has been employment minister Lloyd Atorthy gets million to spend on native Job but the Cabinet minister from Manitoba has nowhere near the Money to spend this time around that he was allocated in the last the much criticized Western development fund never got spent been gutted and Mac Eachen gave indications that the controversial Crow nest pass freight rate will be changed after the finance minister decided to keep personal tax a system which pegs tax deductions to the finance minister announced lower pay Cheque deductions for unemployment insurance from per of insurable earnings to employers get a reduction of their contributions per employee to from theres a lot in the budget to please the United which had been angered by the National Energy plan brought Down in the previous Maceachen has provided for a 17 per cent increase in defence spending this year and plans an 18 per cent increase next he has budgeted for a drastically lower Federal deficit and he said last night that he came in billion under what he had estimated in his last i now expect that the deficit this fiscal will be much lower billion compared with the billion projected a year Maceachen said he also wants to Cut his own government expenditures and he has asked the Federal Treasury Board to find million Worth of reductions in overhead costs and to manage its and other assets and the foreign investment review which so angers will not be strengthened As Industry minister Herb Gray had its under review and the wording is so soft it could give Rise to Specula Tion that Fira May even be Wea the finance minister said inflation is the country 1 enemy and he called upon canadians to exercise re he appealed to the people to understand that he is making a bid to kill off inflation once and for top on his list of main themes for the budget was followed by equity through the tax overhaul and nomic renewal through the economic development Maceachen Sald this budget Marks the Start of an ongoing review of the taxation sys promised for arson conviction continued Page 1 i dont gain As much As people i stand in fear of my i Sionski and Horrocks Are charged with setting a fire which Des troyed West Kay 1737 main Early june i Sionski is also charged with at tempting to defraud five different insurance companies of defence lawyer David Margolis said during Cross examination that if an insurance company can show the fire was set by the owner or someone acting on his it would not have to pay the damage so Margolis told the the two of you Are working hand in Glove on he said Korbo Hach has a pretty substantial interest in trying to bring about a i Sionski was charged after skor Bohach told police his skor Bohach moved away from Winnipeg about three weeks after the but refused to answer questions about where testifying under the Protection of the Canada evidence skor Bohach said he first met Horrocks at a bootlegging establishment he ran with another Man on Alfred skor Bohach told police Horrocks approached him a week before the fire and asked him to Burn Down a build ing for a he didst Tell me what building it although he said it was insured for about skor Bohach told Horrocks How much it would Cost and he said he would have to consult with his Hor rocks first he but they later came to an he gave me a key he said was to the Back door and a business card from the West Kildonan Bowling Alley Horrocks told me that was the place they wanted torched and the owners name was who had a lengthy Crim Inal record until said Horrocks told me they would Tell me when to do the building so he and wish could set up an he asked me out of curiosity How i would do i told him i would take a five gallon can of spread it through the alleys and put a match to skor Bohach reported his Tion with Horrocks to City police sgt Gregory Kurdydyk and showed him the key and business he a week the Bowling Alley skor Bohach said Horrocks and whom he Learned was visited his bootlegging establishment in Horrocks was sporting a Bandage on his his eyelashes and hair were the before Justice Louis of factors on a 198rlebaron then get from your Winnipeg Chrysler dealers 18 Days and counting t ;