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House Hansard - 52

44th Parl. 1st Sess.
April 4, 2022 11:00AM
Context: House Hansard - 52 - Apr/4/22
Mr. Tony Baldinelli (Niagara Falls, CPC)
  • Apr/4/22 3:05:04 p.m.
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Mr. Speaker, on July 1, wineries in my riding producing 100% Canadian-grown wines will now be hit with the excise tax. This is the result of the government's failure to protect the sector and the 2006 excise exemption the Conservatives provided to allow the industry to flourish. To help mitigate uncertainty, the wine industry is asking the federal government to confirm it will not apply the excise tax to wine products bottled before July 1. Will the NDP-Liberals commit to not taxing 100% Canadian-made wine products produced before July 1?
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Context: House Hansard - 52 - Apr/4/22
Mr. Dan Albas (Central Okanagan—Similkameen—Nicola, CPC)
  • Apr/4/22 5:35:46 p.m.
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Madam Speaker, I appreciate the member for his contributions to today's pre-budget concurrence debate. There is a very important issue in the Okanagan and, in fact, throughout Similkameen as well. The federal government will be doing a replacement program for the wine industry. Most people would ask what that has to do with anything. Well, on July 1, anyone in the wine industry, whether they have done 100% Canadian content or not, will have to pay excise tax on their existing inventory. This has not been done since 2006. Many small and medium-sized wineries are suddenly going to have bills from the federal government that they have never had before. This could devastate the industry on the small end. I have also spoken to some of the larger operators, who have said that because the government took away the tax exemption, they will have to pay more. Would the member speak to this issue? I know it will greatly affect both of our ridings and the Canadian wine industry as a whole.
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Context: House Hansard - 52 - Apr/4/22
Mr. Richard Cannings
  • Apr/4/22 5:37:06 p.m.
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Madam Speaker, I would like to thank my colleague from Central Okanagan—Similkameen—Nicola, just to the north and west of me, for that question, because it is a very important question for both of our ridings and for the entire Okanagan area and the Canadian wine industry as a whole. As he mentioned, and I briefly mentioned at the end of my speech, the wine industry, especially the smaller wineries, are losing the exemption to the excise tax that they have enjoyed for many years. In fact, most of the wineries in our ridings have never paid that. They are relatively new businesses and they have not have a business model to cover that. We need to support them to make that transition. Every wine-producing country around the world has ways of supporting their wine industry, and the federal government has come out with a short-term thing. He mentioned the date and the fact that it is going to be on existing inventories. We have to change that and make sure our wine industry can grow and prosper.
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