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' t $ Ur Queen's Park Practice Rigid E Macaulay Claims War Is Increasing Taxes So Fast It Is Hard for Treasury Department to Keep Up in Spending; Asks Debt Reduction Charging the Hepburn Govern-- trolled revenues, giving large sut-- ment with "plain and fancy extrava--| pluses. None of the betterment in gance, with no ceiling on expendi-- the budget position is the result of 7 s "~ieconomy. Money is flowing into all ture," Leopold Macaulay, financial channels, payrolls, sales of con-- critic of the Opposition, yesterday sumers' goods and Gover nment re-- in the Legislature called upon the YV@nues. In the Dominion, luxury Administration to practice rigid consumption and even some or-- economy as a practical means of aid--| dinary consumption is being dis-- ing the Canadian war effort. couraged and savings : cn(-ourugod. Despite the "glittering and stu-- High taxes have been placed on pendous" surpluses reported each corporation and personal income and year since 19%M4, Ontario's overall | CxCcess profits taxes have been deficit for soven and a half years levied. was $147 millions, Mr. Macaulay "The Provincial: Government, how-- asserted. This was at the rate of CVer, goes merrily on its way, lap-- $19.6 millions annually, he said. ping up this new--found revenue for Recalling that the Premier had its functions," declared Mr. Mac-- asked for suggestions, Mr. Macaulay | aulay. "This is hindering Canada's outlined a plan whereby Ontario| War effort. Instead of easing Pro-- could substantially reduce its net vincial tax burdens so that the debt by earmarking for a debt re-- taxpayer can assume the ever--in-- duction scheme the tax increases creasing war taxes, the Provincial imposed by the present Government. levies are maintained _ at all--time The gasoline tax increase of two high levels. It is the duty of the * cents would yield $6.6 millions; the Government to sacrifice like nrivate increase in corporation tax from 2 citizens. The Premier in his open-- to 5 per cent would bring another ing remarks referred to the heavy $12.9 millions, and the personal in--| sacrifices the citizens -- are being come tax of $68 millions, less the called upon to make. There is no $3 million subsidy to the municipali-- | evidence of similar sacrifice in ou: tiocs, would bring the total to $23.3 budget. I repeat, some of this millions, he declared. money is needed for war, and On-- "This sum of $23.3 millions repre-- tario must do better to enable its sents entirely new taxes imposed by | tax--weary citizens to pay their this Government in recent years," | share of the ever--increasing war ex-- said Mr. Macaulay. "They could | penditure that will be demanded in earmark this sum for debt reduction| the future by the Federal Govern-- and thus cut the interest bill of this| ment." Provim'-.c. which is over $30 imillions Tells of Plan for Lignite. | «& yent. \ W. G. Nixon, Temiskaming Lib-- Reaches "Dizzy" Height. eral member, and industrial commis-- Mr. Macaulay claimed the war ; sioner of the T. & N.O. Railway, who boom --was increasing Provincial| has been delegated by Premier Hep-- taxes so fast it was hard for the burn to lead the investigation intc treasury to keep up in ~pondin;.ithe potentialities of lignite in North-- Why was it, he asked, that there| orn Ontario, surveyed the work that was a reduction of only $1,000,000| has ended in the decision to secure in the net debt when the gross or.| the necessary equipment to permit dinary revenue reached the "dizzy" commercial development on a small height of $121,000,000° scale. "No reduction in ordinary ex-- Trained also in agriculture, Mr. penditure is forecast for 1943, except | Nixon backed the Government's de-- in the Highways Department," con-- cision to continue the hog and tinued Mr. Macaulay. "The total or--| cheese bonus for another year. The dinary expenditure is forecast at | farmer, even yet, "feels that he is $104,000,000 instead of $107,000,000| the forgotten man, although prices for the year just closed. That reduc--| have improved," said the speaker. tion of $3,000,000 is obtained by a|"Anything that will help to stabi-- forecast of $4,000,000 in highway ex--|lize this great primary industry penditure. The accountants and fti--| must be regarded as worth while." nancial experts may argue about sur--| -- He spoke also on behailf of some pluses and not debt of the past, but \ form of medical plan which would a new consideration has arisen. The l not only assure -- rural residents taxpayers' monecy is needed for war.| health protection, but treatment as Disregarding the terrific drain on | well. . "As a pioneer in Northern the country for war expenditures, Ontario, 1 know what it means to the Provincial Government is bud--| see loved ones sick and ill without geting for all--time high expendi--| being in a position to call in ade-- tures. It has benefitted by war--con-- | quate help," said Mr. Nixon, *