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Chapter 3:
Building a Better Canada

Introduction

Canadians have chosen change, and Budget 2006 reflects that direction. Canadians deserve a government that treats their tax dollars with respect. A government that puts people first. A government that is accountable for its actions, is fiscally responsible and keeps its word. It is time to turn a new leaf.

Canada’s new government has a focused, responsible agenda to build a better Canada. It will clean up government, provide real support to hard-working Canadians and their families, restore fiscal balance within the Canadian federation and strengthen Canada’s role in the world.

Budget 2006 proposes the necessary measures to implement the Government’s commitment to its five key priorities and associated platform commitments for Canadians. It contains proposals that would:

• Fund measures set out in the Federal Accountability Action Plan to strengthen the accountability, oversight and transparency of government operations.

• Ensure that all Canadians receive tax relief, starting with reducing the goods and services tax by 1 percentage point on July 1, 2006. It proposes further general tax relief by introducing the new Canada Employment Credit, reducing the lowest tax rate and increasing the basic personal amount.

• Support the child care choices of families through the new Universal Child Care Benefit and the creation of new child care spaces.

• Protect Canadian families by tackling crime, strengthening the justice system and increasing Canada’s capacity to defend its national security and sovereignty.

• Work with provinces and territories to establish a Patient Wait Times Guarantee, and lay out a principled framework to restore fiscal balance in Canada.

This chapter outlines initiatives to implement these key commitments and other related measures. By focusing on priorities, this budget will help create opportunities for all Canadians.