Article content continued

This is nothing new. Governments have used tax expenditures as a vehicle for social policy since the post-war period. Some have been justified, and many were used as temporary measures to fix one problem or another. During the last recession, the Conservative government introduced new tax credits as part of its stimulus program, but many of those stayed permanent. There’s the Family Caregiver Tax Credit, the First-Time Home Buyers’ Tax Credit, the Children’s Fitness Tax Credit, the Children’s Arts Tax Credit, the Textbook Tax Credit, the Tuition Tax Credit and the Tradesperson’s Tools Deduction. Forget all the incentives that were already there from previous governments and before the recession, like the Public Transit Tax Credit.

Tax credits essentially amount to a redistribution of wealth without making anything more equal.

This complicated system means more headaches for Canadians families come April, more money lost to accountants and a ballooning government bureaucracy to manage the red tape.

Some may think that this is a lot about nothing – tax credits and tax cuts, tomayto tomahto. People still get their money back.

And yet tax credits essentially amount to a redistribution of wealth without making anything more equal.

Take the recently dispensed Universal Child Care Benefit, for example. This tax benefit redistributed $3 billion of public funds towards child-rearing couples, at the expense of childless adults.

On day two of his bid for reelection, Conservative Leader Stephen Harper promised to reinstate the home renovation tax credit, but as a permanent measure. While those who rent their homes and still pay a hefty amount into the system won’t see a dime, Joe down the street will be able to save 15 per cent off his new porch, courtesy of his neighbours.