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Taxpayers launching court fight against undemocratic capital gains tax hike

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From the Canadian Taxpayers Federation

By Devin Drover 

There is no realistic chance the legislation will pass before the next election. Despite this, the CRA is pushing ahead with enforcement of the tax as if it is already law.

The Canadian Taxpayers Federation is filing a legal challenge today to stop the Canada Revenue Agency from enforcing a capital gains tax increase that has not been approved by Parliament.

“The government has no legal right to enforce this tax hike because it has not received legislative approval by Parliament,” said Devin Drover, CTF General Counsel. “This tax grab violates the fundamental principle of no taxation without representation. That’s why we are asking the courts to put an immediate stop to this bureaucratic overreach.”

The CTF is representing Debbie Vorsteveld, a resident of Mapleton, Ontario. Last year, she and her husband, Willem, sold a property that included a secondary home. They had rented the secondary home to their adult children, but had to sell it when their kids were ready to move on. The CRA says the Vorstevelds must pay higher capital gains taxes under the proposed capital gains increase or face financial penalties.

The CTF is seeking urgent relief from the Federal Court to block the CRA’s enforcement of the proposed tax increase. In its application, the CTF argues the tax increase violates the rule of law and is unconstitutional.

The government passed a ways and means motion for the tax increase last year but failed to introduce, debate, pass, or proclaim the necessary legislation into law.

Parliament is now prorogued until March 24, 2025, and opposition parties have all pledged to bring down the Liberal government. As a result, there is no realistic chance the legislation will pass before the next election. Despite this, the CRA is pushing ahead with enforcement of the tax as if it is already law.

A new report from the C.D. Howe Institute shows the capital gains tax increase will result in 414,000 fewer jobs and shrink Canada’s GDP by nearly $90 billion.

“The undemocratic capital gains tax hike will blow a huge hole in Canada’s economy and punishes people saving for their retirement, entrepreneurs, doctors and Canadian workers,” said Franco Terrazzano, CTF Federal Director. “It’s Parliament’s responsibility to approve tax increases before they’re imposed, not unelected government bureaucrats.

“The CRA must immediately halt its plans to enforce this unapproved tax hike, which threatens to undemocratically take billions from Canadians and cripple our economy.”

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Automotive

Trudeau must repeal the EV mandate

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By Dan McTeague

Last Monday, Transport Canada released a bombshell statement, announcing that the Trudeau government’s program granting a $5,000 rebate to Canadians purchasing an Electric Vehicle (EV) had run out of money and would be discontinued, “effective immediately.” This followed a prior announcement from the government of Quebec that they would be suspending their own subsidy, which had amounted to $7,000 per EV purchased.

This is, of course, a game changer for an industry which the Trudeau government (as well as the Ford government in Ontario) has invested billions of taxpayer dollars in. That’s because, no matter the country, the EV industry is utterly dependent upon a system of carrots and sticks from the government, in the form of subsidies and mandates.

EVs have remained notably more expensive than traditional Internal Combustion Engine (ICE) vehicles, even with those government incentive programs. Without them the purchase of EVs becomes impossible for all but the wealthiest Canadians.

Which is fine. Let the rich people have their toys, if they want them. Though if they justify the expense by saying that they’re saving the planet by it, I may be tempted to deflate them a bit by pointing out that EVs are in no way appreciably better for the environment than ICE vehicles, how all the lithium, nickel, cobalt, manganese, aluminum, copper, etc, contained in just one single EV battery requires displacing about 500,000 lbs of earth. Mining these materials often takes place in poorer countries with substandard environmental regulations.

Moreover, the weight of those batteries means that EVs burn through tires more quickly than gas-and-diesel driven vehicles, and wear down roads faster as well, which among other issues leads to an increase in particulate matter in the air, what in the old days we referred to as “pollution.”

That is a potential issue, but one that is mitigated by the fact that EVs make up a small minority of cars on the road. Regular people have proved unwilling to drive them, and that will be even more true now that the consumer subsidies have disappeared.

Of course, it will be an issue if the Trudeau Liberals get their way. You see, Electric Vehicles are one of the main arenas in their ongoing battle with reality. And so even with the end of their consumer subsidies, they remain committed to their mandates requiring every new vehicle purchased in Canada to be electric by 2035, now just a decade away!

They’ve done away with the carrots, and they’re hoping to keep this plan moving with sticks alone.

This is, in a word, madness.

As I’ve said before, the Electric Vehicle mandate is a terrible policy, and one which should be repealed immediately. Canada is about the worst place to attempt this particular experiment with social engineering. It is famously cold, and EVs are famously bad in the cold, charging much slower in frigid temperatures and struggling to hold a charge. Which itself is a major issue, because our country is also enormous and spread out, meaning that most Canadians have to do a great deal of driving to get from “Point A” to “Point B.”

Canada is sorely lacking in the infrastructure which would be required to keep EVs on the road. We currently have less than 30,000 public charging stations nationwide, which is more than 400,000 short of Natural Resources Canada’s projection of what we will need to support the mandated total EV transition.

Our electrical grid is already stressed, without the addition of tens of millions of battery powered vehicles being plugged in every night over a very short time. And of course, irony of ironies, this transition is supposed to take place while our activist government is pushing us on to less reliable energy sources, like wind and solar!

Plus, as I’ve pointed out before, the economic case for EVs, such as it was, has been completely upended by the recent U.S. election. Donald Trump’s victory means that our neighbors to the south are in no immediate danger of being forced to ditch gas-and-diesel driven cars. Consequently, the pitch by the Trudeau and Ford governments that Canada was putting itself at the center of an evolving auto market has fallen flat. In reality, they’ve shackled us to a corpse.

So on behalf of my fellow Canadians I say, “Thank you,” to the government for no longer burning our tax dollars on this particular subsidy. But that isn’t even half the battle. It must be followed through with an even bigger next step.

They must repeal the EV mandate.

Dan McTeague is President of Canadians for Affordable Energy.

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Artificial Intelligence

Canadian Court Upholds Ban on Clearview AI’s Unconsented Facial Data Collection

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Clearview AI is said to subjecting billions of people to this, without consent. From there, the implications for privacy, free speech, and even data security are evident.

Facial recognition company Clearview AI has suffered a legal setback in Canada, where the Supreme Court of British Columbia decided to throw out the company’s petition aimed at cancelling an Information and Privacy Commissioner’s order.

The order aims to prevent Clearview AI from collecting facial biometric data for biometric comparison in the province without the targeted individuals’ consent.

We obtained a copy of the order for you here.

The controversial company markets itself as “an investigative platform” that helps law enforcement identify suspects, witnesses, and victims.

Privacy advocates critical of Clearview AI’s activities, however, see it as a major component in the burgeoning facial surveillance industry, stressing in particular the need to obtain consent – via opt-ins – before people’s facial biometrics can be collected.

And Clearview AI is said to subjecting billions of people to this, without consent. From there, the implications for privacy, free speech, and even data security are evident.

The British Columbia Commissioner appears to have been thinking along the same lines when issuing the order, that bans Clearview from selling biometric facial arrays taken from non-consenting individuals to its clients.

In addition, the order instructs Clearview to “make best efforts” to stop the practice in place so far, which includes collection, use, and disclosure of personal data – but also delete this type of information already in the company’s possession.

Right now, there is no time limit to how long Clearview can retain the data, which it collects from the internet using an automated “image crawler.”

Clearview moved to try to get the order dismissed as “unreasonable,” arguing that on the one hand, it is unable to tell if an image of a persons face is that of a Canadian, while also claiming that no Canadian law is broken since this biometric information is available online publicly.

The legal battle, however, revealed that images of faces of residents of British Columbia, children included, are among Clearview’s database of more than three billion photos (of Canadians) – while the total figure is over 50 billion.

The court also finds the Commissioner’s order to be very reasonable indeed – including when rejecting “Clearview’s bald assertion” that, in British Columbia, “it simply could not do” what it does in the US state of Illinois, to comply with the Biometric Information Privacy Act (BIPA).

If you’re tired of censorship and surveillance, subscribe to Reclaim The Net.

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