Debates of February 24, 2005 (day 43)

Thank you, Mr. Speaker. My questions today are for the Minister of Finance. Yesterday I spoke about the high cost of home heating oil and its impact on the high cost of living in the Northwest Territories. Today I’d like to ask him some questions again related to the cost of living here in the Northwest Territories. Is there anything that prohibits the Government of the Northwest Territories from amending its tax legislation to include a tax credit for interest paid on mortgages -- something similar to the benefit that was proposed by the Clark administration in 1979 -- that is specifically targeted at Northwest Territories residents who own homes in the Northwest Territories? Thank you, Mr. Speaker.

Thank you, Mr. Ramsay. The honourable Minister of Finance, Mr. Roland.

Return To Question 475-15(3): Tax Credit For Interest Paid On Mortgages

Thank you, Mr. Speaker. Mr. Speaker, there are not any problems with our legislation. We can institute a tax credit on interest payments on mortgages. The proviso is how much will it cost us in our own-source revenue. Thank you.

Thank you, Mr. Roland. Supplementary, Mr. Ramsay.

Supplementary To Question 475-15(3): Tax Credit For Interest Paid On Mortgages

Thank you, Mr. Speaker. Will the Minister commit to having his department and his officials take a serious look at the feasibility of implementing a tax credit for interest paid on mortgages, including a look into what would be the optimal formula that balances the benefit to homeowners against the cost to government? Thank you, Mr. Speaker.

---Applause

Thank you, Mr. Ramsay. Mr. Roland.

Further Return To Question 475-15(3): Tax Credit For Interest Paid On Mortgages

Thank you, Mr. Speaker. I would have my department look at the initiative to see what the pros and cons would be and once I have that information, I’d gladly share it with the Members. Thank you.

Thank you, Mr. Roland. Supplementary, Mr. Ramsay.

Supplementary To Question 475-15(3): Tax Credit For Interest Paid On Mortgages

Thank you, Mr. Speaker. Can the Minister inform me and the other Members of this House when we might expect to hear back from him and his department on their findings? Thank you, Mr. Speaker.

Thank you, Mr. Ramsay. Mr. Roland.

Further Return To Question 475-15(3): Tax Credit For Interest Paid On Mortgages

Thank you, Mr. Speaker. Mr. Speaker, for sure by the spring session, and hopefully we could have something before that, but no later than that. Thank you.

Thank you, Mr. Roland. Final supplementary, Mr. Ramsay.

Supplementary To Question 475-15(3): Tax Credit For Interest Paid On Mortgages

Thank you, Mr. Speaker. I’m wondering if the Minister can answer this question, and that is whether or not the government is in favour of using tax breaks to assist the Northwest Territories to meet the challenges of the high cost of living here. Thank you, Mr. Speaker.

Thank you, Mr. Ramsay. Mr. Roland.

Further Return To Question 475-15(3): Tax Credit For Interest Paid On Mortgages

Thank you, Mr. Speaker. Mr. Speaker, I think the government can demonstrate, on many fronts, that we’re interested in keeping the cost of living down through many of our subsidy programs. So this would be another one that we’d look at. I guess the big feature of this would be the fact that as we look at programs, is what the cost would be on the revenues of the government. Thank you.