Thank you, Mr. Speaker, and colleagues. I was saying, I do not think the hotel operators will be happy to be tax collectors.
Mr. Speaker, this tax initiative would create yet another regime within the government to manage more tax collection. I do not mind more jobs being created in Yellowknife, Mr. Speaker, not at all. What I do mind is that this is such an inefficient way of raising revenues.
I wonder, Mr. Speaker, by the time this government takes into account the staff they have to pay, and subtract the money it taxes on itself, how much net gain would it really have made from the proposed revenue of $1 million from taxation. I would guess maybe $500,000, and I would say if the Minister tried really hard, he could find it within the Resources, Wildlife and Economic Development budget of almost $75 million that he is asking for this year. That is, I will submit, less than one percent of the total budget.
The simple fact is that we have such a small tax base of hotel operators and hotel rooms. It is always expensive to set up a new tax system. For these reasons, I would submit that the net amount that will be collected by the government will be thoroughly outstripped by the burden it will create on the hotel users and operators. So once again, Mr. Speaker, I want to just say no to the hotel tax.
Most importantly, Mr. Speaker, I strongly object to this tax for the wrong thing this government is going to do for the tourism industry. This sector has been long ignored and paid lip service at best. In the recent past, this sector has looked to the government for leadership to develop a comprehensive tourism strategy, increase product development and expand marketing and research. Instead, Mr. Speaker, this government is making it even more difficult for them to compete.
I must say, Mr. Speaker, I am deeply disappointed that the first initiative of this government in the tourism industry was to introduce a new tax. I intend to oppose it vigorously in the coming days and months. Thank you, Mr. Speaker.
-- Applause