Lowering of taxes is one of the top priorities of Centrist Party. Overspending by the government increases the deficit and leads to increased debt. No party currently seems to believe in fiscal responsibility and prudence. Especially during the pandemic of Covid19, Liberals using Covid 19 as an excuse, spent in reckless way to buy votes without any foresight. Our deficit has been increasing which will result in increased taxes. It will be difficult to control the financial situation if a recession hits us. It will be impossible to reduce taxes if our government keeps on borrowing money to spend, leading to more debt. Our government is spending money which it does not have by printing more money. The inflation has been highest in last twenty years.
Eliminating deficit is difficult, although not impossible. Between 1995 and 1997, the Liberal government of Jean Chrétien eliminated a deficit of more than $40 Billion. Although in 2018-2019, government revenues were almost $8 billion higher than expected which could help reduce the deficit. Since Trudeau government spent all that money, the deficit could not be reduced.
Increased deficit leads to debt which translates to increased taxes. A government that is focused only on spending with a plan of buying votes continues to borrow money. Whereas a wise approach is to carefully review all spending, control all unnecessary spending and balance the budget, which helps in lowering the taxes.
A centrist government will consider reducing the size of government, review and control spending and will aim to balance the budget in 5 years. The foreign aid which Canada sends to many African, Asian, and other countries ends up in bank accounts of corrupt politicians and does not reach the deserving people. We will review all our foreign aid, corporate subsidies, grants, mega salaries and benefits, extravagant perks of politicians and those in government and cut any other unnecessary government spending. We aim to lower the personal income taxes after eliminating the deficit as our fiscal situation will improve.