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Terrace Review — Wednesday, December 12, 1990 B7

selves for New fear’s tax crunch |

with the tax allowance for northern and isolated areas, and the current proposal is to draw a line across the country just south of the 60th

- parallel — the southern boundary

of the Yukon and the Northwest Territories — and leave eligibility for only those who live north of that line. Although residents of Terrace and area do not currently qualify for the benefits, as sonic people living around Lakelse Lake recently discovered, a number of communities in the Terrace trading area do qualify. If: the Brunelle recommendations: are enacted, many income. eamers from

‘Meziadin Junction northward inthe .

Highway 37 corridor stand to lose $2,700 of direct spending power provided under the present tax benefit system.

Emst & Young also note that the north has lost under other recent measures, among them cutbacks to federal regional economic develop- ment funding, tightening of unem- ployment insurance regulations, gutting of the mining industry

flow-through shates tax incentive

“system, and ongoing increases in

the tax burden on air transportation and telecommunications services.

In addition to the effect on nor- thern consumers, businesses and institutions, the tax changes are also likely to aggravate the tradi- tional problems associated with living outside heavily populated regions: recruitment of skilled labour and the attraction of teachers, doctors and other pro- fessionals. The north will become even less desirable as a place to live with the higher costs and lower incentives involved.

Emst & Young conclude that the changes to the northern tax bene- fits alone would take $100 million a year out of the northern Cana- dian economy, and they further conclude that the damage would not be worth the gain to the coun- try. Adding that $100 million to

: federal and provincial coffers, they

state, “would not be a major con- tributor to deficit reduction", but for northern communities it "would

have important impacts on living _

standards".

The Brunelle recommendations IE

| TRANSPORTATION AND HIGHWAYS @

are still under review, but it appears the GST is all but inevit- able. Skeena MP Jim Fulton said

last week he is certain the Liberal § Senators will not be able to stop B -passage of the’ bill. "They had & three ‘opportunities to defeat it | when they had a majority, and & they didn’t do it. This filibuster | nonsense just doesn’t fly." Fulton @ believes the Liberals are attempt- § ing to gain support from the FF general public while” sending a message to the corporate powers | ‘that they aren’t really serious about

stopping the tax.”

He expects the Conservative @

majority in the Senate, led. by

form of closure this week to make the GST law.

‘Where To Find It

THE MINISTRY OF

IS PLEASED TO ANNOUNCE THE OFFICAL OPENING OF & SHAMES MOUNTAIN ROAD |

Construction of the Shames Mountain Road is now # complete and the road will be officially open to the

# public as of Friday, December 14, 1990.

The Ministry’s commitment to the construction and maintenance of this road is part of an overall commit- Ment to facilitating economic development throughout

m the Province. Completion of this road helped to realize 7 m anew recreational activity that will extend tourism toa

year ‘round industry in the Skeena area.

| Address inquiries | to: John Newhouse, District

Highways Manager, Skeena District, 300 - 4546 Park

m= Avenue, Terrace, B.C.; V8G 1V4. Telephone: 638- 3322. - Lowell Murray, to invoke some

Honourable Rita Johnston

Minister of Transportation and Highways’

CSOs Guide

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