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Newspaper
Springfield Leader
Location
Springfield, Manitoba, Canada
Date
Dec 03, 1974
Page
13
Ottawa budget shows reduced sales tax on building materials and tax exemptions for savings and pensions while extending two year write offs for machinery. It also plans higher overall government spending and signals federal intrusion into provincial resource jurisdiction, with a call to request a copy of the full budget.
A November survey shows most Winnipeg and rural Manitoba service stations pass on the Manitoba two-cent gas tax cut to consumers. Most outlets also absorb the federal tax increase, while the rise of self-serve gas bars and the closing of some stations may affect future competition and service facilities. The study covers 45 Winnipeg stations and 105 rural stations with 91 percent and 67 percent reporting the two-cent reductions respectively. Authorities continue monitoring the long term impact on pricing and service levels.
John N Turner argues the budget targets two main aims to slow inflation while preserving production and employment. He notes Canada’s economy shows rising real incomes and falling unemployment but faces global shocks. The plan leans on tax cuts, restrained spending, and measures to boost investment and aid the vulnerable, with growth projected around 4 percent in 1975 and about a quarter million new jobs.
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