Single Rate Tax Plan Unveiled to United Alternative Meeting Maximum Rate: 17%

FOR IMMEDIATE RELEASE January 27, 2000

OTTAWA -- Monte Solberg, Kevyn Nightingale and Mark Mullins today unveiled the details of their Single Rate Tax plan to the delegates of The United Alternative Convention, meeting in Ottawa this weekend.

Highlights of the single rate plan include:

17% maximum tax rate, while maintaining all existing deductions and credits;

Increase of the basic personal and spousal exemptions to $10,000;

Introduction of a $3,000/child tax deduction to recognize the cost and value of child rearing;

Elimination of bracket creep;

Elimination of the 5% surtax;

Hiking of RRSP/RPP contribution limits to $16,500

30% cut in EI premium rates;

Phased in over five years, this tax relief package removes $1.9 million lower income Canadians completely off the tax rolls, while delivering tax relief to every single taxpayer.

And not only does this offer tax relief to every taxpayer, it is affordable. According to Dale Orr, Chief Economist at WEFA, a private sector forecasting firm that was contracted to run these numbers: "the tax reduction proposals&are affordable. If all of the tax reduction proposals are introduced as a combined package&there would still be a fiscal surplus in each and every year."

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For more information please call:

Phil von Finkenstein