§ mavreh 2» Hands Off M.P.P.'s Pa ands .P.P. s Pay, If the "bureaucracy of the incomejpthe case of a Manitoba M.P.P. who tax offices" in Ottawa is not con~|had refused taxes on a similar trolled by the Federal Government, ) $2,000 amount, who had been or-- and launches action to recover|dered by court to do so, and whose taxes on the $2,000 allowances to|appeal to the Supreme Court of members of the Ontario Legisla:|Canada was pending, "with some ture, the Ontario Government will| prospect of success, I may add." "carry the suits to the highest Mr. Blackwell cited reports in court in the Empire," Attorney--| the three Toronto newspapers, all General Leslie Blackwell pledged|quoting Ottawa income tax officers vesterday. saying Ontario's action was illegal. ' ¢ Stressing that he did not expect|The opinions expressed in Ottawa ; such action, Mr. Blackwell took oc--| were, he said, some relating to le-- |an opinion or questioned _ our casion on second reading of his|gality, some which should be ex-- |action." bill to amend The Legislature Act,| pressed only by a Minister because (Without saying so, Mr. Blackwell 'which changes the $2,000 indemnity|they involved policy, and one |also made clear in this way that 'of each member to a tax--free al--|"nothing but downright impudence |there had been no interchange of \lowance, to lash into officials of|to Canada's and Ontario's Govern-- opinion _ between Ottawa -- and \the income tax office who had| ments." Queen's Park before introduction of |questioned the legality of the On--| For a long time, he said, bureau-- |his bill.) tario action. HMe pointed o_ut at t.he cracy had tal'-(en'a course which in-- Permissible Exemptions 'same time that neither Prime Min--| dicated "abdication of elected gov-- The i 1 h id de i ister King nor any other Minister| ernment in political consideration." §1p§lorr}e'aws, C201 .fma e it 'of the Dominion Government had| Officialdom had been able to issue perzu;sn ihg oxlexen:ipltlgn.o mophe_slzs \commented:; but "bureaucratic offi--|orders, and when flouted had run |USeG for "meals on s gmgs' nagi |cials" i ce--|\to Ministers and obtained amend-- |4WY from h.ome in the oxqury )c'als had commgnted in pregs re--|iQ v€ uns 3 o course of business." Thus, he said, ports that Ontario could not make|ments to laws which inserted into "'captaings of industry and 1abop or. 'the Legislature indemnities tax--| statutes the opinions they previ-- P .j, o qy {tted'to do what free. ously had held. In the final analy. |E@AN!ZOrSs" were permitted to do wha | a f A Ontario's legislators could not, ac-- Opposes Discrimination gis, he siressed, Canads's Parlis« cording to officialdom at Ottawa. s ment could uphold Ontario's action i o rta f Mr. Blackwell spoke at great or refuse to support it. That point Using an unstated figure as an length on the matter, and recalled he said\ he \;*ished to.emphasize ' laverage legislator's annual income, that Ottawa, only last December, f ' he set forth then the position of had taken similar action to provide| Quotes From Prime Minister members of three groups: Those tax--free emoluments for Parliat| Quoting at great length from Mr. |who spent $750 of their $2,000 on mentary members and Senators by|King's remarks in Parliament, sup. |expenses during the session while amending the legislation covering porting that body's move to pro. |living in Toronto and on "the bur-- *the two Houses. vide $2,000 allowances tax--free for |den of serving a riding in all its | If the income tax branch, he | M.P.'s and Senators, he held that |multitudinous duties"; those who |said, attempted to differentiate be--| they were as applicable in the case |Spent $1,250 of their allowance, and tween members of Parliament,|of M.P.P.'s and municipal council. |those who spent all of it. In the members of Legislatures arnd mem--|jors,. However, his department helda |respective cases, after deducting bers of municipal councils, "then| that the tax laws respecting sal. |taxes, the first made about $500 a we will be treated to the amazing/aries, indemnities and "other earn-- |Year, the second just about broke spectacle" of Parliament and Sen--\ings" did not apply to sessional al-- |°ven, the third "paid $750 a year ate bargaining for their own exclu--|lowances because the recipients |for the privilege of representing a sive privilege and refusing that were not employed by the Province. Constituency." f privilege to other elected represen--| "But if the Government of Can-- -- Ontario, he said, would cease im-- tatives in comparable positions. ada sees fit to tax these allowances, mediately deducting the statutory Apart from the justice of On--|its power is plain and in sight," 'amount for the income tax branch. tario's position as compared with|said Mr. Blackwell. "Whether these If he pledged. any member then Ottawa's,, Mr. Blackwell quoted from |proposed allowances are to be taxed became the object of the income tax the income tax law to define his |or not, I submit, is a matter of Officials' efforts to recover taxes on department's legal opinion that the|policy and not of officialdom's dog. |the allowances, his department payments to members of Legisla-- \matic assumption. It is significant |Stood prepared to '"fight the case tive Assemblies and municipal colun--|that neither the Prime Minister nor (throt}gh to the highest court in the cils could not be taxed. He cited|any of his Ministers has expressed Empire." 4