Mahsi, Madam Speaker. In February 1993, during debate on the proposed payroll tax initiative, the Minister of Finance made many compassionate pleas and arguments regarding the objectives and merits of the payroll tax. The main argument used, in one of the objectives of the payroll tax, is to obtain tax revenues from individuals who work in the Northwest Territories, but do not reside nor pay income tax in the Northwest Territories.
The Minister also stated that after years of study, the payroll tax system was determined to be the only feasible method to meet the objective of taxing temporary and non-resident workers. In the recent budget speech of February 14, the Minister of Finance stated that, "This government remains convinced that all individuals who are employed in the Northwest Territories must share in the tax burden. The payroll tax is the most effective way we have to ensure that such sharing takes place." However, on February 15, 1994, in response to an oral question made by my colleague, Mr. Whitford, the Minister of Finance admitted that not everyone who works in the Northwest Territories has been trapped in the net, for example, self-employed people.
Madam Speaker, these comments and statements give some mixed messages. Initially, when the Minister of Finance was seeking support for the payroll tax bill, he used the argument that the burden be placed on workers from outside of the Northwest Territories. Now he states that this government remains convinced that all individuals who are employed in the Northwest Territories must share in the tax burden, through the payroll tax. Madam Speaker, the public deserves a consistent message. Mahsi.