New federally-proposed wholesale rates for high-speed internet service by independent providers are expected to save users money – especially companies relying on signals from phone companies, say regulators.
So They DO Have Money
Two federal departments defied a government-wide austerity drive with large increases in spending on advertisements, new documents show. Natural Resources Canada increased its ad budget 22-fold last year, nearly surpassing the cost of the army’s annual recruitment campaign.
Feds A “Gangster” At Sea?
The Department of Transportation is accused of “gangster” behaviour by a French environmental group after leaving an unmanned ship to drift on the high seas. Federal regulators decline to say if they know the exact location of the ghost ship, or whether it has drifted into shipping lanes.
Too Few Tax Incentives On Green Retrofits: Industry
Canada’s tax policies offer “little incentive” to retrofit older commercial and apartment buildings for energy efficiency, says an industry group. Major refits in Canada qualify for 4% tax depreciation, compared to tax deductions of up to 100 percent in the United States and UK.
Horse Pull Over Trademarks
In a “surprise” and rollicking ruling, a federal judge has granted a Philippines brewery the right to market horse-brand beer in Canada despite claims of trademark infringement by Molson. “This is a case about beer,” said the judge, “and a case of beer is a serious matter.”
“We Do Not Filibuster”
A Conservative-sponsored bill requiring union organizers to publish personal data under threat of $1,000-a day fines faces lengthy scrutiny in the Senate. “We do not filibuster,” said the Leader of the Opposition in the Upper House, who promised “numerous” amendments and very thorough committee hearings on the contentious bill.
Hmm, Let’s Google “Bandwidth Throttling”
A consumer advocacy group is urging more federal oversight over internet speed claims. The Public Interest Advocacy Centre proposed “complete and precise disclosure” to computer users on download times and other performance issues, noting 75 percent of Canadians surveyed are unaware of the speed tier they’ve bought from internet providers.
Union Bill “Nixonian”: Tory
A private Conservative-sponsored bill requiring union organizers to publish their salaries, health benefits and other private data on a government website is “Nixonian” and “very dark,” says a Conservative senator.
“Using the Income Tax Act to target certain groups you don’t like is a little Nixonian and not appropriate,” Senator Hugh Segal told Blacklock’s; “This legislation sends a message to unions that is deeply unconstructive – that they are to be singled out for ‘special scrutiny’ as though they are a malevolent force.”
Bill C-377, An Act To Amend The Income Tax Act (requirements for labour organizations), is currently in second reading debate in the Senate after clearing the House by a 147-135 vote on Dec. 12.
Under the legislation, all unions must disclose financial accounts including salaries and benefits paid to officers and senior employees; lists of assets and liabilities; loans receivable; time and money spent on organizing activities; members’ pension payments over $5,000 and other data, under threat of $1,000-a day fines.
“I think we’ll have more than five senators oppose this,” said Segal, who stressed he had not counted caucus votes: “I’ve had three or four other senators come up to me on this.”
The Ontario senator predicted “very robust” scrutiny of C-377 in committee, and said the bill in any form is unlikely to pass into law before Labour Day.
“I doubt the government would use closure on second reading to shut this down,” Segal said in an interview. “It would be really unwise to force this through.”
“I don’t think this will move into final reading before the fall,” he added.
Five Conservative MPs voted against the bill in the Commons, including opponents who cited a warning from the Canadian Bar Association that the legislation is “unbalanced” and unconstitutional.
In debate, Segal said the bill contained “doubtful provisions of deep concern,” and would sanction a “Canada Revenue inquisition” of unions.
“Where we are headed with this bill is down a dark alley to a very dark place indeed,” said Segal, former chief of staff to Brian Mulroney; “If this is to apply to trade unions, why would it not apply to Rotary Clubs; the Fraser Institute; Christian, Muslim and Jewish congregations across Canada?”
Segal continued, “Perhaps Coca-Cola should be forced to disclose to Pepsi its marketing plan and expenditures over $5,000? How about the Montreal Canadiens having to tell the Boston Bruins whether their coach spent more than $5,000 on dinner for the team?”
Senator Nicole Eaton (Cons.-Ont.), co-sponsor of the bill, estimated 4,300,000 Canadians currently hold union memberships paid with tax deductible dues: “This level of detailed public disclosure will increase the confidence of Canadians that the public tax subsidy for labour organizations is warranted.”
In an exchange with Senator Jim Munson (Lib.- Ont.), Eaton said she welcomed parallel legislation for virtually any organization that benefits from tax policy:
MUNSON: “Would the honourable senator favour a similar bill for medical professions, engineering associations, nursing associations, real estate associations – and their presidents and executives – to make them ‘transparent’?”
EATON: “Absolutely, if they receive tax credits and are exempt from taxation. I think anyone here who wants to introduce a private member’s bill should do so.”
MUNSON: “They already have tax credits, we know that. How far is the honourable senator prepared to go? Does she want to open up very book of every association in this country?”
EATON: “That is for others to decide. I simply agreed to sponsor this bill. If other people want to bring up other organizations, by all means.”
Senator Eaton did not respond to Blacklock’s request for an interview. 
By Tom Korski
Canada’s Largest Home Builder Loses GST Case
The country’s largest new home builder has lost a multi-million dollar tax judgment over an “extremely careless” GST collection plan, a federal judge has ruled. The developer declined to speak to Blacklock’s Reporter after the ruling.
A New Coalition In Fish
A federal regulators’ failed proposal on fisheries policy has prompted advocates to organize a new industry association. “There are concerns there is a movement afoot to corporatize the industry,” said the Prince Edward Island Fishermen’s Association.
User Fees Up — ‘We Knew This Would Happen’
Federal agencies propose to raise millions of dollars in new user fees on industry, from operators of grain elevators to owners of Great Lakes freighters: “We all knew this would happen sometime.”
3 Out Of Four Skip RRSPs
Fewer than 6 million Canadians – less than a quarter of those who file federal tax returns – are contributing to a Registered Retirement Savings Plan, new data show. Analysts noted the low rate followed the 2008 financial panic and economic slowdown.
Hamlet In Tax Court
A Federal Tax Court judge invoked Shakespeare in voiding charity receipts from two Toronto men who claimed to donate almost a fifth of their income to a church that failed a federal audit: “Something is rotten in the state of Denmark.”
Daisy Loses An Old Friend
A farm animal rights group that famously championed humane treatment of livestock and once advocated a Canada-wide veal boycott has quietly disbanded. The Canadian Farm Animal Care Trust was stripped of its charity status for failing to file a federal tax return.
Yeah, It’s A Great Town
The Canadian Intellectual Property Office has accepted an application by a school to register “I Love Ottawa” for promotional use. Federal law permits the use of the maple leaf in trademarks so long as applicants “conform to good taste.”



