Amos and Boyd: Why cutting the transit tax credit is a good idea
Ottawa Citizen

By Will Amos and David R. Boyd, Ottawa Citizen, April 7, 2017

The Liberal government’s decision to eliminate the public transit tax credit has generated a lot of misguided criticism.

Sure, the credit sounds like a nice idea. A tax credit to encourage Canadians to adopt greener transportation choices, relinquishing polluting private vehicles for eco-friendly public transit. The non-refundable tax credit worth 15 per cent of the amount spent on monthly transit passes was one of Prime Minister Stephen Harper’s few actions on climate change.

But Finance Minister Bill Morneau looked at the evidence, and it’s damning. A comprehensive study by University of Ottawa economist Nic Rivers revealed that the public transit tax credit is a policy boondoggle —environmentally, economically, and socially.

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