(Angus Reid Global Monitor) - Many adults in Canada have an explanation for the massive budget surplus announced by their federal government, according to a poll by Angus Reid Strategies. 76 per cent of respondents think the nearly $14 billion figure means that Canadians are being overtaxed.

Canadians renewed the House of Commons in January 2006. The Conservative party—led by Stephen Harper—received 36.3 per cent of the vote, and secured 124 seats in the 308-member lower house. Harper leads a minority administration after more than 12 years of government by the Liberal party.

On Sept. 27, finance minister Jim Flaherty announced a $13.8 billion budget surplus for the 2006-2007 fiscal year. Flaherty dismissed allegations that Canadians are paying more than their fair share of taxes, adding, "In terms of inter-generational equity, of fairness to the next generations, I think it’s very important that we pay down the public debt. And it saves taxes for every year going forward and it means we are not passing on a large national mortgage from one generation to another. (...) Canadians will see the direct benefit now of reducing that public debt and they’ll see it every year after that."

New Democratic Party (NDP) leader Jack Layton criticized the announcement, saying, "Mr. Harper used to believe in democracy. He used to believe in accountability. Now he believes in doing what the Liberals did: pile up the money in surprise surpluses, and pay down the debt without any consultation with Canadians about their priorities. That’s wrong." 69 per cent of respondents think all parties in the House of Commons should have a say on how to invest the budget surplus, and 54 per cent believe it should be given back to Canadians as a tax break.

Canadians are divided on who deserves credit for the country’s financial status. 17 per cent of respondents believe past Liberal governments are responsible, while 19 per cent select the current Conservative administration. In addition, 20 per cent think both Grits and Tories should be commended, while 24 per cent think neither deserves credit.

Harper defended his government’s decision, saying, "Every time we reduce the debt, the interest savings will go back where it belongs in the pockets of hard-working Canadian taxpayers. (...) And, you know, we’re not going to use these extra savings the way the previous government did to—well, we can talk about how they spent money and who got it. Obviously we’re using it to reduce taxes."

Polling Data

Canada’s federal government recently announced a budget surplus of nearly $14 billion for the last fiscal year. Who do you think deserves more credit for Canada’s economic situation?

Do you agree or disagree with the following statements?

Source: Angus Reid Strategies
Methodology: Online interviews with 1,066 Canadian adults, conducted on Oct. 2 and Oct. 3, 2007. Margin of error is 3.0 per cent.

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