CAQ promises cuts, capital gains tax hikes
Coalition pour l'Avenir du Quebec leader Francois Legault responds to a question during a news conference Friday, August 17, 2012 in Montreal. THE CANADIAN PRESS/Paul Chiasson
Published Friday, August 17, 2012 10:03PM EDT
MONTREAL - CAQ leader Francois Legault unveiled more details of his financial plans Friday, vowing to hike certain capital gains taxes, and pharmacist dispensing fees, alongside a variety of tax cuts.
Legault promised $600 million for health care, changes that he vowed would give every family its own family doctor.
He also promised a massive $1 billion injection into education.
Legault would also take the axe to several institutions, providing about $2.1 billion in black ink to the ledger.
Legault promised to close the Universite de Quebec’s head office, shut down certain health agencies (for savings of $100 million), and save on purchases in health and education to the tune of 10 percent.
The CAQ is also targeting Hydro Quebec, which it believes could be cut for savings of $600 million, although Legault promised that the savnigs would be accomplished through attrition and increased efficiency rather than layoffs or sub-contracting.
The party would also decrease dispensing fees for pharmacists, which Legault said “make no sense.”
“I do not expect me to make friends at Jean Coutu or Pharmaprix,” he said. He said that the measure would save $250 million.
On Thursday Legault described unions and school boards as the “forces of status quo, who will try to prevent a spring cleaning.”
He added family physicians to that list Friday, promising to increase their work volumes by over 1,000 patients each.
Legault took aim at real estate investors as well, promising a capital gains tax hike on non-owner occupants, which he said would see their taxable rates rise to 75 from 50 percent. This measure would affect investment properties, and would inject $416 million to the state, he said.
Those companies would also see a decline in tax credits, and stock dividends, excluding RRSPs.
“Everybody has to make an effort and that includes those who are more fortunate,” he said.
He said that he wants voters to be aware of his promises, so they won’t be surprised when he gets voted into office.
“We will deliver the goods because we, we have a free hand,” he said. “We guarantee Quebecers that this is what will be done.”
Premier Jean Charest ridiculed the CAQ financial plan Friday, stating that the political party had made irresponsible promises worth $ 3.8 billion, three to four times more than the Liberals.
-With files from The Canadian Press