As the current federal government continues to spend less on redundant programs and projects, Canadians get to keep more of their own money to spend or save.

Budget 2008 travels the same tax-cutting road that our government has been following since 2006. It continues to be good news for our youth, families, seniors and businesses. Although good news tends not to get much media coverage, our government to date has made nearly 60 tax cuts that will provide $200 billion in tax relief over this and the next five years. About $140 billion of that amount will provide tax relief directly to individual Canadians.

Spending has spiraled out of control during the past decade and taxes were hiked to cover the costs. Since we have taken office, there have been substantial reductions in personal taxes, consumption taxes, business taxes and excise taxes. Canadians were being taxed to death and we have rolled the rates back to the same levels as when Prime Minister John Diefenbaker was the toast of Ottawa. And the news gets even better – there is further tax relief in store.

Budget 2008 provides $21 billion in tax relief for Canadians and businesses. We rolled back the GST to five percent, which will save Canadians about $12 billion in 2008 from the original GST rate of seven percent. Personal income taxes are down by about $11 billion over this and the next five years. The budget calls for a corporate tax rate reduction to 15 percent by 2012, making it the lowest among major industrialized countries.

The new budget also provides a financial advantage to Canadians through the Tax Free Savings Account. The first of its kind in Canadian history, the Tax Free Saving Account starts in 2009 to provide everyone with a powerful incentive to save. This flexible, registered general-purpose account gives Canadians a chance to see their savings grow tax-free. And, the money can be withdrawn any time and topped up to $5,000 per person over 18 years of age. This is proof that government can be innovative and responsive at the same time.

The federal government has provided the Canadian people with a Tax-Back Guarantee. As we continue to pay down the federal debt – which we are determined to do – the savings in interest are being returned to Canadians via personal income tax relief. By 2009-10, the Tax-Back Guarantee will put another $2 billion into Canadians’ pockets. There is little doubt that this government is taking your best interest to heart.

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The audio version of Garry's March 10, 2008 op-ed column can be heard by clicking here