Opinion
Trudeau’s Winnipeg Whitewash – A Masterclass in Diversion and Disconnection

From The Opposition with Dan Knight
As Canada grapples with soaring housing costs and a quality of life crisis, the Prime Minister’s narrative on immigration & multicultural success stories clashes with the lived realities of Canadians
As some of you enjoyed the comfort of Family Day, perhaps some of you noticed Justin Trudeau making the rounds in Winnipeg – (Justin Trudeau Fireside Chat at Winnipeg Chamber of Commerce – February 16, 2024), where he found quite the fan in Loren Remillard of the Winnipeg Chamber of Commerce. It seems Remillard was all too eager to extend a metaphorical hand, fishing for tax dollars to prop up their projects.
Oh, let’s dissect the masterful art of political deflection and diversion, shall we? Justin Trudeau, spun a narrative so disconnected from the reality Canadians live in, it’s almost an art form. He lauds Toronto and Vancouver as paragons of multicultural success, cities thriving under the weight of their diversity. But here’s the catch folks—the reality on the ground, as reported by Stats Canada, tells a story that’s anything but rosy for the residents of these supposed utopias.
When we turn our gaze to the real impact of his government’s immigration policies on the ground, the picture is starkly different. Toronto and Vancouver, the benchmarks of Trudeau’s immigration success story, are in fact cities where residents report a lower quality of life than their provincial counterparts. Why? Because amidst the fanfare of diversity and inclusion, the basic needs of the citizens—like feeling a sense of belonging, life satisfaction, and mental health—are being sidelined.
Let’s not forget the elephant in the room Trudeau casually mentioned—2 million temporary residents flooding into Canada. This isn’t just a number; it’s a tsunami of demand in addition to the Liberal 500k target per year of permanent resident hitting a housing market already gasping for air, driving rents and shelter costs to astronomical heights. And Trudeau’s response? A shrug of the shoulders and a diversion to talk about measures with Mexico or the plight of international students. While these issues merit attention, they dance around the core issue: a government more obsessed with its global image than the welfare of its citizens.
The audacity to claim that Toronto and Vancouver are thriving under his policies, while Stats Canada directly contradicts this with evidence of declining quality of life, is nothing short of political theater. It’s a sleight of hand designed to distract from the harsh reality—that his government’s approach to immigration and temporary residents is contributing to a crisis of affordability and well-being in our major cities.
But amidst the spectacle, Trudeau touched on a subject that should raise eyebrows across the nation: On how his government is using immigration as a tool to “grow the economy.” Now, let’s pause for a moment to digest that, shall we?
Diving deeper, a fascinating exchange caught my ear during a Finance Committee meeting FINA-124 -February 1, 2024, where Tiff Macklem of the Bank of Canada offered some candid insights. When prodded by Mr. Jasraj Singh Hallan, Macklem conceded that the government’s spending spree and the Bank’s efforts to stabilize our economy were essentially at loggerheads. Here we have the Trudeau administration, pushing fiscal policies that seem to sprint in the opposite direction of monetary sanity.
Macklem went on, outlining that yes, government spending is contributing to growth, but let’s be clear about the kind of growth we’re talking about here. It’s one that barely keeps pace with population increases, teetering on the edge of potential. And with government spending poised to climb even higher, we’re flirting dangerously close to exacerbating inflation, rather than reining it in.
Senior Deputy Governor Carolyn Rogers chimed in with a stark reminder of the housing market’s woes. Despite interest rate hikes, which traditionally cool down housing prices, Canada’s chronic housing shortage keeps prices stubbornly high. The result? A housing affordability crisis that’s squeezing Canadians tighter than ever, exacerbated by an immigration policy that is throwing fuel on the fire of demand without addressing the urgent need for supply.
This is the picture Trudeau’s policies paint for Canada: a nation where the cost of living climbs ever higher, where the dream of homeownership slips further away for the average citizen, and where economic growth strategies seem disconnected from the realities on the ground. It’s high time for a reality check, a moment to ask ourselves whether these policies truly serve the best interest of Canadians or merely the political agenda of those in power.
Indeed, the root of the issue is staring us right in the face—supply problems are driving costs through the roof. Yet, it seems as though there’s a conspiracy of silence in the House of Commons; no one dares to utter the truth that unchecked immigration is exacerbating these supply woes, sending shelter costs soaring. Let’s dive into the latest from Stats Canada to unravel the narrative everyone is thriving under Justin Trudeau.
First off, let’s talk about renters. According to this report, if you’re renting, your quality of life isn’t just on the lower rung; it’s plummeting. Renters are staggering under the weight of financial pressures unheard of for homeowners, feeling the pinch of record-low vacancy rates and rent hikes that would make your head spin. Over 15 percentage points more likely to struggle financially and over 11 points less likely to experience life satisfaction.
But the plot thickens when we look at the younger Canadians, those aged 15 to 54. They’re caught in a vise, with life satisfaction and mental health scores that trail behind their older counterparts. The dream of home ownership? A mirage for many, as they navigate a landscape where the very idea of paying off a mortgage seems like a relic of a bygone era. And let’s not even get started on the economic tightrope walked by residents of Toronto and Vancouver, cities where the cost of living soars as high as the skyscrapers dotting their skylines.
Now, Trudeau’s government might have you believe that policies are in place to bridge these divides, to bolster the quality of life for all Canadians. But let’s be real—the evidence suggests otherwise. With renters and younger generations buckling under financial strains and cities like Toronto and Vancouver becoming enclaves of the unaffordable, the narrative being spun by the current administration seems more fiction than fact.
Consider the financial strain laid bare by these statistics: a significant portion of Canadians are finding it increasingly difficult to meet their financial needs, with shelter costs consuming a lion’s share of their income.
In a landscape marked by disparities in quality of life we’re left with a pressing question: where does the path forward lie?
Let’s cut to the chase, folks. The latest 338 polling data isn’t just a blip on the political radar; it’s a resounding bell tolling for the end of the Liberals’ reign, inching closer to losing their official party status. Why, you might ask? It’s simple: Justin Trudeau’s legacy is one of profound ineptitude, a legacy that has systematically failed Canadians at every turn. When Trudeau touts his housing policies, claiming to increase rentals, remember the cold, hard facts from Stats Canada—he’s not building homes; he’s crafting a nation with a diminished quality of life. That’s the Trudeau vision for Canada.
And let’s not overlook the audacity of his actions—jetting off to Jamaica with a hefty $162,000 bill footed by you, the taxpayer. It seems Trudeau’s concern for your quality of life evaporates faster than a Liberal MP can devour lobster in Malaysia. Meanwhile, ordinary Canadians are left to scrounge at food banks. But hey, as long as the political elite get their fill, right?
SNC-Lavalin was just the beginning, the canary in the coal mine signaling the avalanche of corruption set to spill out from Trudeau’s government. WE Charity, the Trudeau Foundation, Chinese interference, ArriveScam… the list of scandals under Trudeau’s watch is as long as it is disgraceful. These aren’t mere footnotes in history; they’re the defining features of his tenure.
Remember the uproar over a $16 orange juice under Harper? That was considered the height of scandal, a benchmark of accountability. Fast forward to today, and this government can’t even spell ‘ethics,’ let alone practice it.
So, my fellow Canadians, as we look ahead to the next election, we’re presented with a golden opportunity—a chance to reset the narrative and send a clear message to the liberal elites that we’ve had enough of their disdain for the average citizen. I, for one, will be cheering on the red wedding of Canadian politics because the liberal standard is not just detrimental to your well-being; it’s an affront to all of Canada. It’s time to say enough is enough and reclaim the Canada we know and love—a Canada of integrity, accountability, and true north strong and free.
Business
The Digital Services Tax Q&A: “It was going to be complicated and messy”

A tax expert on the departed Digital Services Tax, and the fiscal and policy holes it leaves behind
It’s fun, and fair, arguing whether Mark Carney “caved” in suspending the application of Canada’s Digital Services Tax to revive broader negotiations with the Trump administration. But I figure there are other dimensions to this issue besides tactics. So I got in touch with Allison Christians, a tax law professor at McGill University and the founding director of the Canadian Centre for Tax Policy.
In our talk, Christians discusses the policy landscape that led to the introduction of the DST; the pressure that contributed to its demise; and the ways other countries are addressing a central contradiction of the modern policy landscape: without some kind of digital tax, countries risk having to impose costs on their own digital industry that the overwhelmingly US-based multinationals can avoid.
I spoke to Christians on Friday. Her remarks are edited for length and clarity.
Paul Wells: I noticed in your social media that you express inordinate fondness for tax law.
Allison Christians: You will not find a more passionate adherent to the tax cult than me. Yes, I do. I love tax law. Of course I do. How could you not? How could you not love tax law?
PW: What’s to love about tax law?
Christians: Well, tax law is how we create our country. That’s how we build our society. That’s how we create the communities that we want to live in and the lifestyle that we want to share with our neighbours. That’s how: with tax law.
PW: I guess the goal [of tax policy] is to generate the largest amount of revenue with the smallest amount of grief? And to send social signals while you’re at it. Is that right?
Christians: I don’t think so. Tax is not about raising maximum revenue. Tax is about deciding what society you’re trying to build and what portions of that society need to be made public, and what can be left to private interests which then need to profit. So we have decided in Canada, as a country, that basic minimum healthcare cannot be a for-profit enterprise. It has to be a public enterprise in order to make sure that it works for everybody to a certain basic level. So tax is about making those decisions: are we going to privatize everything and everyone pays for their own health care, security, roads, insurance, fire department etc. And if they can’t pay, then too bad? Or are we going to have a certain minimum, and that minimum is going to be provided in a public way that harmonizes across the communities that we have. And that’s what tax is about. It’s not about extracting revenue at all. It’s about creating revenue. It’s about creating a market. It’s about investing in a community. So I just object to the whole idea that tax is about extracting something from me, because what tax is doing is creating a market for me to be able to thrive. Not just me, but all of my neighbours, as well.
PW: Let’s jump forward to the events of the past couple weeks. Were you surprised when the Prime Minister suspended the Digital Services Tax?
Christians: I think “surprise” is probably too strong of a word, because nothing any political leader does to cope with the volatility of the United States would surprise me. We are dealing with a major threat, a threat that is threatening to annex us, to take our resources, to take our sovereignty, to take our communities and rip them apart and turn them into a different way of being. And that’s a serious threat. So nothing would surprise me in response to that. Disappointed, of course. But not disappointed in our Canadian response. More disappointed in the juggernaut that Trump has been allowed to become by his base, and that they’re pulling the rug out from under everyone that’s cooperated with the US agenda for decades, including us.
PW: What’s your best understanding of what the Digital Services Tax was designed to accomplish? And is it unusual as taxes go?
Christians: So to understand this, you really have to be a policy wonk, which isn’t much fun. So I’m gonna give you an example that might make it clear from the perspective of Canada. Why we might have a Digital Service Tax or might want something like it.
I want to preface this by saying that the Digital Service Tax is by no means the only way to do the underlying things we want to accomplish. Certainly other countries have been collecting DSTs and have been collecting billions of dollars, and US companies have had reserves for paying that Digital Service Tax. So we just left money on the table. But let me try to explain why we want to do the thing without getting too “tax nerdy” on you.
So I’m sure you can come up with the one Canadian company that’s streaming content on television or on digital devices.
PW: Crave?
Christians: Yeah, that’s the one. Crave is owned by Bell Media and is a Canadian company. And Crave pays taxes in Canada. Crave has to compete against Netflix, which does not have to pay tax in Canada. Netflix just simply doesn’t have to pay the same way that Crave does unless we force them to pay. Crave has to compete with US and foreign content streamers. We may get to a point where we can get Netflix to collect some sales tax on the GST, for example. But if Netflix itself stays out of Canada, physically, but it’s still getting all those customers that otherwise Crave would have access to, then Crave is at a structural disadvantage.
Now tell me which Canadian provider competes with Google.
PW: I can’t think of one.
Christians: Exactly. There isn’t one. How are we supposed to get a homegrown competitor when our competition simply does not pay taxes, and any one we would grow here in Canada has to pay tax here? So we have to understand the Digital Service Tax as simply our response to the fact that we normally do not tax a company unless they are physically located in Canada. But now we’ve got to go into this digital space and say: you’re still here, even if we can’t see you and talk to you, you’re still here. You’re doing something in our market. And that’s what the Digital Service Tax was trying to deal with.
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PW: Now, how are companies likely to respond to this Digital Services Tax? It seems to me the likeliest outcome would be that they would pass those costs on to their customers.
Christians: Yes, that is what companies have said they would do. Google talked about passing those costs on to the customers. And their customers obviously are advertisers. I want to point out that advertisers in Canada used to advertise in local newspapers and media. Now they advertise on Facebook, owned by an American-headquartered Company, Meta. Right now, they advertise on those foreign platforms, so we don’t have those advertising dollars here. Advertisers might have had to pay the Digital Service Tax if Google, or whoever, had passed it on to them. I think it’s fair to say, that Canadians advertising on those foreign platforms would have faced a gross-up to cover that tax.
PW: So, the net effect is that it just becomes more expensive for Canadian consumers. I’ve seen it argued that all this tax would have succeeded in doing is making Netflix more expensive.
Christians: Okay, that’s possible. I mean, that assumes the supply is totally elastic: you can increase the price of Netflix, and people will still pay it indefinitely. Right? So that’s the assumption in the short term. But the long-term assumption is that Crave becomes more competitive — because its competitors are paying the same tax that it is paying. The Crave subscription price may or may not respond, but if you put pressure on the foreign service providers in the same manner that’s on the Canadian providers, it might cost more, but we’re also getting the tax.
PW: I believe the Prime Minister, in an interview with the CBC said that he was thinking of getting rid of this thing, anyway. [The quote I’m reaching for here is: “Look, what we did this week is something that I think we were going to do anyways, in the end, for the deal.” At 1:07 in this video. — pw] Why do you think he would have been leaning in that direction? And do you think that absent a Truth Social post by President Trump, he actually would have gotten rid of the thing?
Christians: I can’t speculate too much about the politics of this, because I’m not talking to many of the people that make policy, but I know the complaints about the DST, and I don’t dispute them. It was going to be a complicated tax to collect and it was going to be messy in terms of compliance. There’s a lot of uncertainty around the tax and I know there’s always an enormous amount of pressure to reduce all taxes. There’s always going to be that segment of society that sees taxes being thrown down the drain and not as an investment in the society that we want to live in.
American companies are famous for investing their money on lobbying and not in taxes. They spend their money convincing us that it would be bad for us to tax them, and they can spend a much smaller percentage of their money on lobbying and get us to believe that narrative. And the narrative is that somehow, if we tax Google, Google will go away and we won’t be able to use it. That Google won’t innovate. It’s nonsense, but it’s a story that resonates nonetheless. Was Prime Minister Carney pressured to get rid of the DST? Undoubtedly. And maybe he personally thinks there’s a better way to tax these companies than with an excise tax. I don’t fault him for thinking that. I have even written that there are better ways for Canada to collect this tax than the Digital Services Tax.
PW: I’m going to want you to tell me about these other ways. But I assume that if a Canadian government attempts any of these other ways, then the companies we’re talking about know that all they have to do is hit the Trump button and the pressure will be right back on.
Christians: That’s correct. There are a couple of [alternatives to the DST]. We could, like some other countries have done, redefine the types of income that we subject to withholding taxes in Canada. It’s a complicated technical idea, but basically any payments that go from our advertisers to Google, we could impose a withholding tax simply by expanding a couple of definitions in the Income Tax Act that would then carry over into our treaty. Now, people will push back on that, and say that you’re changing a deal, and people will object to that. And we can have an argument about that, but that possibility exists. That withholding tax is the most straightforward way to do this and we should probably already be thinking about it.
Another one that’s kind of fun, which I really enjoyed learning about when I came to Canada, is Section 19 in the Income Tax Act. So, Canadian advertisers are paying Google now, instead of a Canadian newspaper. Well, Section 19 basically says that whenever someone makes a payment for advertising to a foreign, non-Canadian media, that payment’s not deductible.
Now that provision seems to violate Free Trade rules because it changes, depending on who you make the payment to. But it’s a provision in law. The US objected to it when we adopted it by imposing a reciprocal tax on US advertisers paying Canadian outlets, which doesn’t seem to bother anybody.
PW: But the application of that will be very asymmetrical, right?
Christians: Yes, for sure. And I’ll tell you what the Canadian media noticed when we started paying for digital newspapers online: that they’re not subject to Section 19 — only print and traditional media are subject to this denial of deduction — and Canadian media advocated for this denial of deduction for online publications as well.
All you have to do is look at the wording of Section 19 — and you don’t even have to change the words — and all of a sudden all those payments to Google are not deductible. But if the payments were to Crave, they would be deductible, and if they are to the Globe and Mail, or other Canadian companies, they would be deductible. That is a different kind of advantage for the Canadian competitor that’s a little less susceptible to Trump’s understanding, and a little less susceptible to the politics that surround the Digital Services Tax. But it’s technical. You have to explain it to people, and they don’t believe you. It’s hard to understand it.
PW: Theoretically a two-time central-bank governor could wrap his head around it.
Christians: Yes, I think he could fully understand it, for sure. You’re absolutely right. Will he want to do it, though? I just don’t know.
PW: You said that there are other jurisdictions that continue, today, to successfully tax the web giants. Who are you thinking of?
Christians: Well, Austria’s been doing the Digital Service Tax since the beginning. The UK has the Diverted Profits Tax that they’ve been using. Australia has one that’s been enforced. Austria stands out because I think it was 2017, in Trump’s 1st term, and it was part of a group that Trump threatened to retaliate against, but they just quietly kept going and they’re still collecting it. Part of the narrative is that we, Canada, came too late to the DST party. We just weren’t part of that initial negotiation. We came in too late, and then it was too obvious, and people were able to isolate us from the pack.
PW: My understanding is we’re looking at a hypothetical $7.2 billion in revenue over 5 years. And that represents a shortfall that’s going to have to be found either in other revenue sources or in spending cuts, or in greater debt. Aside from the DST, do you think Canada could use a general overhaul of its tax code?
Christians: Always. Yes, absolutely! Taxes are funny, right? Because they come into every single political battle, and what ends up happening is that politicians treat the Tax Act and the tax system as a present-giving machinery, and not as a clear policy deliverance system.
I am, every day, surprised at how complicated the Canadian tax system is. It’s way too complicated. You can’t even fill out your own tax return in this country. You’re going to make mistakes because it’s just too ridiculously written. It’s too confusing. It’s too messy. So it’s time to take another look. But you need a commission [like the 1962 Carter royal commission on taxation]. You need to be bipartisan. You need to spend money on that. You need to think that the things that you do have long-term effects, and this takes political courage. And basically it requires upsetting a bunch of people and resetting things, and we just might not be at the right time politically to be doing that because people feel vulnerable to volatility from abroad. So it may not be the time to push that.
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International
Elon Musk forms America Party after split with Trump

Quick Hit:
Elon Musk announced Saturday he is forming the “America Party,” claiming it will challenge what he calls the “one-party system” in Washington. The move follows his public split with President Trump and appears aimed at targeting Republicans who supported the president’s domestic agenda.
Key Details:
- Musk announced the America Party on X, declaring that Americans are living under a “one-party system” and need a new political alternative.
- The launch followed his criticism of Trump’s One Big Beautiful Bill.
- On Independence Day, Musk posted a poll asking if Americans wanted “independence from the two-party (some would say uniparty) system,” which he cited as support for forming the party.
By a factor of 2 to 1, you want a new political party and you shall have it!
When it comes to bankrupting our country with waste & graft, we live in a one-party system, not a democracy.
Today, the America Party is formed to give you back your freedom. https://t.co/9K8AD04QQN
— Elon Musk (@elonmusk) July 5, 2025
Diving Deeper:
Elon Musk formally announced the launch of his new political outfit — the “America Party” — on Saturday, marking a new chapter in his increasingly public clash with Republican leadership.
“When it comes to bankrupting our country with waste & graft, we live in a one-party system, not a democracy,” Musk wrote on his platform, X. “Today, the America Party is formed to give you back your freedom.”
The announcement comes as tensions between Musk and President Trump have escalated. While Musk previously worked closely with the administration as head of the Department of Government Efficiency, the relationship has deteriorated in the wake of Trump’s push for the One Big Beautiful Bill, a major domestic package that Musk now openly criticizes.
In a series of recent posts, Musk vowed to help primary Republican lawmakers who backed the bill. “They will lose their primary next year if it is the last thing I do on this Earth,” he posted earlier this week.
He’s offered few specifics beyond that, other than suggesting the party will “laser-focus” on a handful of Senate and House races in 2026. So far, there’s been no indication of a formal party structure, candidate recruitment, or funding plan.
Critics were quick to compare Musk’s move to Ross Perot’s 1992 presidential bid, which many credit with splitting the conservative vote and aiding Bill Clinton’s election. “You are pulling a Ross Perot, and I don’t like it,” one user reportedly responded on X.
Meanwhile, Trump has reportedly explored options to retaliate. According to multiple reports, the president has discussed whether to revoke federal contracts connected to Musk’s companies and even floated questions about his citizenship. “We’ll have to take a look,” Trump told reporters when asked directly.
While it’s too early to tell whether the America Party will amount to more than a personal platform, the political message is clear: Musk is now openly working against Republicans he once aligned with, and doing so under his own banner.
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