They suspended Parliament for seven weeks, for THIS?

A quick glance at the 2009 budget, and I have to say that I am not impressed. Rather than cut the income tax rates (which would be more immediate in getting money into the pay stubs of those who are working), Jim Flaherty has increased the size of the brackets -- the 22% bracket kicks in at $40,726, (up from $ 37,885); and the 26% bracket kicks in at $81,452 (up from $75,769).

This means one has to actually earn more than $37,800 and change to get a tax break. Everyone else gets the offshoot from an increase in the exemption which works out to just about $4 bi-weekly. That doesn't even buy a bag of milk and most families go through three or more a week. And those who do get a cut, well they save about another $2 and change per paycheque.

Wow, $6. I can imagine it now: Those two characters on The Simpsons, Cletus and his wife / sister Brandine: "Hey maw! We got another six bucks this week on my paystub! Hows abouts we buy a porno on cable to spice things up?"

Yawn.

Wouldn't it have been better to keep the brackets where they were but cut the rate by 1% (to 14 and 21, respectively)?

Seniors get to keep another $150 per year, but many don't pay taxes to begin with so that's totally worthless to them -- how about giving those seniors an increase of $150 in the supplement? Nope.

There's $7.8 billion for new housing starts and renovations. Not bad, but consider the temporary credit for home renovations. $1350 sounds good, but it really only means $202.50.


EI premiums are frozen for the next two years. Probably inevitable as more claim benefits, but a payroll tax hits those who have the lowest earned incomes. If they're in a situation where they can reduce taxes to zero they should be able to carry forward those premiums to a future year when they earn more money so it can be deducted then. Nothing for that here.

Chalk River: $351 million for "safe and reliable operations" -- whatever that means. Chalk River is a joke, and it's interesting how valuable Harper sees it now after he fired the head of AECL for raising concerns about safety there.

Very interesting point: This gun-ho government did not make a single mention of the military in the budget document other than whatever appropriation they're getting this year. President Obama has said he hopes Canada can commit another 1000 troops to the more than 2000 we already have on the ground in Afghanistan, to compliment the 5000 or so Marines that are coming to Kandahar. I don't see anything for that contingency -- and the last thing we need right now is for Harper to piss off Obama.

I'd vote against this one. Too unfocused, not enough tax cuts, and our roads will remain in a state of bad and dangerous repair. I have to give Flaherty an F -- a first. But he blew it three years ago by cutting the GST, the revenues from which would have made this bailout budget unnecessary. Does it buy Harper time? Unfortunately, it does -- I think there are enough "sweeteners" for Ignatieff to take a pass for now.

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