OTTAWA—Finance Minister Bill Morneau says changes will be required to the government’s contentious proposals to reform parts of the tax system.
Morneau says the government will review the feedback it received on the tax proposals during a 75-day consultation period that ended Oct. 2 He says the government will respond with changes to its tax plan so that it meets its goal of making sure the system is fair and encourages investment.
Morneau also says he intends to provide clarity as soon as possible for small business owners, who have expressed concerns about the potential negative impacts of the proposals and the lingering uncertainty.
The government’s tax proposals have faced an onslaught of complaints from a range of sources—from entrepreneurs, to doctors, to tax professionals, to provincial leaders, to backbench Liberal MPs.
Morneau has pitched the changes as a necessity to end tax advantages unfairly exploited by some wealthy business owners, while opponents of the plan contend they will hurt middle-class business owners and damage the economy.
“Changes are going to be required—as we move forward we will have more information on timing,'' Morneau said Oct. 4 in a brief interview after facing a barrage of pointed questions from senators over the tax proposals.
“We do need to make sure we take into account people’s points of view. That means reviewing what we’ve received, making sure we fully understand it, and responding appropriately.”
Earlier in the day, Morneau met with provincial and territorial premiers to offer an explanation of the plan.
