Bill C-377 [An Act to amend the Income Tax Act (requirements for labour organizations)]Release Date: 01/31/2013 Staff Reference: Ronald Sanderson
January 31, 2013
Senator Irving Gerstein
Chair, Standing Senate Committee on Banking, Trade and Commerce
The Senate of Canada
Ottawa, Ontario K1A 0A4
Dear Senator Gerstein:
Bill C-377 [An Act to amend the Income Tax Act (requirements for labour organizations)]
I am writing to you on behalf of the Canadian Life and Health Insurance Association (CLHIA) in order to draw to the attention of the Standing Senate Committee on Banking, Trade and Commerce some serious and, we believe, unintended effects of the captioned private member's bill. While designed to promote public accountability of labour organizations, the bill as drafted would, for instance, require disclosure and publication of personal contributions to − and benefit payments from − Registered Retirement Savings Plans for individuals who have never had any connection to any labour organization. We believe these effects do not align with broader government policy.
We have previously raised this issue with the Bill's sponsor and with the House of Commons Standing Committee on Finance; our letters to Mr. Hiebert and Mr. Rajotte are attached for your information. While amendments passed by the House of Commons address some of our concerns and narrow the scope of the Bill, we believe that the amended Bill would, if enacted, have a pervasive and inappropriate impact on Canadian consumers. Further amendments to narrow the Bill's scope are needed...