WHY AMERICANS HAVE MORE..

WHY AMERICANS HAVE MORE TO BE THANKFUL FOR
A commentary on reasons to be “Thankful” in 2009 for Canadians
as compared to our U.S.A. cousins.
by Victor Drummond ©
November 2009

United States citizens collectively speaking have a lot more to be thankful for this thanksgiving than do Canadians.

They have a government that has finally recognized the truth, regarding taxing phantom income, and has taken costly corrective action -- in spite of facing the largest budget deficit of all G20 countries.

It took nearly a decade for the U.S. grass-roots lobby groups “Reform AMT” and “The Coalition for Fair Taxation” (CFT) to finally achieve true representation from their elected congressmen but once that recognition was achieved the U.S. Congress passed the required bills to amend their flawed “Alternative Minimum Tax” (AMT) thereby putting an end to the outrageous taxing of income that only existed in a corrupt rationale, i.e. a rationale that provided an excuse to tax phantom income.

Furthermore the U.S. government passed additional legislation to provide reasonable compensation to those American taxpayers that had already been victimized by this outrageous tax policy.

There may be a few Americans – with a vested interest in keeping the phantom income tax policy as it was – that will still argue in favour of extorting a taxpayers lifetime savings and even expelling them from their homes is justified in order to pay this tax. They also believe they are justified in operating ponzi schemes and swindling as many honest, trusting, fellow Americans as they can – because they can.

The United States and Canadian Societies can get along just fine without these self-serving swindlers.

We all know those who have had their tax levy and related penalties on phantom income revoked – have much more to be thankful for this year -- and so do all U.S. Citizens – especially the unemployed.

The right to be free of taxation of phantom income has been restored for all U.S. taxpayers.
And the billions of tax dollars that are being refunded to victimized taxpayers under the reformed AMT legislation are just as effective in fighting the economic downturn as are all the bail-out billions being given to the automotive giants and major financial institutions.

Instead of being left financially destitute and/or homeless these former victims of outrageous, unjustified taxation now have discretionary funds to apply to buying a subsidized new car or paying down the mortgage on their home. These are essential factors in the recovery of the U.S. and world economy.

Keep these factors in mind Americans when summarizing things to give thanks for in 2009.

By comparison the Canadian government has adopted a deny and hide policy when it comes to dealing with Canadian victims of our equally defective taxable benefit legislation.

Canadian victims of taxation -- on money never seen -- began appealing to their government for fair taxation as soon as the downturn in the Hi-Tech market in mid July of the year 2000 triggered the defect in the taxable benefit legislation.

The government of the day – under the Right Honourable Paul Martin – Prime Minister struggled with this issue and might have acknowledged the policy of taxing fictitious income was wrong had it not been for the fact the government needed all the money it could lay it’s hands on to buy off the Quebec Separatists and pay-off the government Ad-Scam commitments, the gun registry and the sports fiasco.

The fact the U.S. government was still applying their flawed AMT legislation and taxing U.S. citizens on phantom income, at that time, was likely another factor in the decision the Canadian government made when they decided to keep taxing Canadians on money never seen.

So instead of correcting the problem the Paul Martin Government quickly altered their support of the Canadian Employee Incentive Shares Purchase Plans and began to describe these plans as “Income Supplements” which could generate taxable income at the time of delivery.

Prior to the year 2000 these employee incentive plans were described as government approved schemes to help increase employee, loyalty and productivity, by providing key employees an opportunity to “invest” in their employer’s organization.

I even have a copy of a document provided to an employee of the Nortel Networks -- by the Corporation ESO Plan administrator – that assures the employee: “he will only be taxed on the gain (if any) they realize at the time they sell their ESO Shares.”

So at that point in time (2001) the Canadian government SET A TAX TRAP for thousands of ordinary Canadian citizens that had never been warned they could lose their life savings, and possibly their homes as well, if they did not sell their ESPP/ESO equities at the very moment they received control over them.

No doubt a few of the victimized Canadians appealed their plight to MP’s in the House of Commons (HOC) that were members of the Conservative Party.

This possibility is supported by the fact the federal Conservative Party constructed a whole series of “Action plans” which they assembled into a pre-election campaign brochure titled: “STAND UP FOR CANADA”.

There are dozens of “Action plan” topics in the 2006 “STAND UP FOR CANADA” brochure – not the least of which is the promise to provide a system of “fair” taxation for “All Canadians” if elected.

So in February 2006 the federal Conservative Party was elected to form Canada’s government with a minority of seats in the HOC.

The Right Honourable Stephen Harper wasted no time in taking action to keep the party commitment to provide fair taxation for: “All Canadians”.

That may have been his initial intent when Harper approved a Tax Remission Order (TRO) for 37 Canadians victimized by the “phantom income” tax fiasco but it seems the road to HELL is really paved with same.

Although Harper was quoted as saying: “We’ll get it resolved” and “it will take a change of code.” when asked by a reporter from the Victoria Times Colonist Newspaper if this TRO would be applied to all similar victims of phantom income taxation – so far all he has done, since making those commitments, is stonewall the issue.

Harper’s about face on his commitment to implement the “Action plan” to provide fair taxation for All Canadians” has left thousands of honest, hard-working Canadians to face financial ruin, loss of homes and
peace of mind.

There have been a myriad of important international as well as domestic issues the government can use, and has used to push the issue of taxing Canadians into poverty status -- off the media radar screen.

Of course it is far more important to make good-will tours to potential trade countries such as India and China than it is to protect your own citizens from financial ruin.

Even the U.S. President, Barak Obama, has arranged such trips to improve trade relations. The big difference being his trips come after the relief of American taxpayers from the distress of taxation on money never seen.

On the other hand the Harper regime has slipped from the pedestal many Canadians had placed them on.

By reneging on the promise to implement fair taxation for all Canadians, they have shown themselves to be short on honesty and decency.

By introducing a sham Taxpayers Ombudsman together with a hollow updated Bill of Taxpayers Rights they have shown themselves to be deceitful.

By not upholding the provisions of the government document: “Serving Canadians – Canada’s System of Justice” and allowing the assumption of guilty until proven innocent to replace the “fair laws” and assumption of innocent until proven guilty as declared in that document our present government has shown itself to be weak and ineffective.

Although both country’s have been struck by severe natural disasters in 2009 such as floods, tornado’s, and devastating fires, the average American has much more to be thankful for than does the average Canadian.

At least those elected to serve, and protect the best interests of their constituents, in the U.S.A. , are earning their taxpayer based salaries and perks.

Have a great Thanksgiving cousins.

See you at the next federal election voting polls O’Grady

Victor Drummond ©