Sunday, December 2, 2012

Do "Froth" brewery owners have the right to be demanding their Revenue back because of Rich Coleman's perefential treatment of PWB?

 Froth, you know, that stuff that accumulates on the top of your beer, sometimes called a Beer Head.

Our intention here is not to trivialize the seriousness of how taxes are implemented by successive levels of government when the basis for collecting that tax is solely counted upon one's Head.   A "Head Tax" on breweries, a "Head Tax" on Chinese immigrants, a "Head Tax" on people on Welfare, the results are eerily similar.


The Provincial government collects taxes from breweries based on how many hectolitres are produced in a single year, there is a loophole, for some, when the MAX  TAX, is fast approaching.

Pacific Western hired Liberal insider Patrick Kinsella and his partner, Mark Jiles, to lobby for precisely the change the LDB announced. Making appearances worse, the policy move was announced a week after Ms. Komatsu made an in-kind gift donation valued at nearly $27,000 for use as an auction item at a fundraiser Mr. Coleman held in his riding.  -  Globe and Mail -  Storm Brewing.....




It wasn't that long ago that the Canadian government imposed a $50 Head Tax on Chinese immigrant workers and after many protests, by those involved over 100 years, it wasn't till "June 22, 2006, Prime Minister Stephen Harper offered an apology and compensation only for the head tax once paid by Chinese immigrants", but of course the number of "original" Taxed individuals, were never properly documented, even with the Census of 1871 to draw upon.

As to Rich Coleman, a brewery company Principal Officers contributed heavily to the Minister's Party coffers ( $112,652.60) and his Riding coffers as well ($27,000), then apparently changed the regulations for one company but disguised his actions because it would be applied to all, later.  The  effervescence "optics" aren't great for Mr. Coleman.  His actions gives off a perception of favouring one, and not applying the rules evenly.  The Minister said he did it because Christmas is coming and the company was threatening to lay-off it's workers to AVOID paying taxes to the Provincial government because of an impending financial cliff that they were approaching.  The answer for PWB was to immediately STOP producing their beer, thereby putting off the tax cliff until, perhaps Christmas next year where they would be forced to take other actions to stave off profits being drained away.

The question has to be will other companies, not just related to the brewery industry, realize that all one needs to do to stop paying taxes, based on quotas to the BC Liberal Government, is to threaten closing their doors with the dire consequences for the employees who will put an immediate drain on Employment Insurance to Steve Harper's bottom line, and when those funds run out, the "employee" would then turn to Welfare for money to be doled out to them if the company decides to take further action to stave off paying taxes to BC's Treasury during the forthcoming year.

There is a silver lining though for those brewery workers being laid off, former Finance Minister Kevin Falcon's pledged during his last Budget 2012, but before he turned tail and resigned from his portfolio, to reintroduce a Welfare-to-Work program, Welfare-Air to Dawson Creek et al ... hopefully not like JobWave program that was frought with number crunching that not even the Auditor General of BC could fathom.  It was as if JobWave was more about a public relations exercise for the BC Liberal Party's image, than actually doing something, long term, for those that had been singled out by the PAB aka GCPE.  The company that won the right to re-educate the Welfare recipients, was paid a "Head tax" by the BC Liberal government, but it was conditional...so the company advertising says, that they wouldn't receive the monies per trained person, until after a trial period of 19 months had elapsed to prove that their actions, assisting welfare recipents, had worked.   There's plenty of writing on JobWave at The Tyee.  ..... and by the way, if Welfare recipient left the Province... for say Alberta, the JobWave program was issued a graduating certificate for a job well done, even though they did absolutely nothing..... and there was a "cherry picking" method of choosing who, among the Welfare recipients, would be best to graduate.  All others were discouraged.

After 34 months, says the update, people who've been through the program have been, on average, independent of welfare for an extra 1.4 months. Based on that, they say, the ministry will save $18 million on welfare payments. However, the program will have cost $31 million to make that saving. That amounts to a loss of $13 million on a program that was supposed to break even.  The Tyee  August 11, 2005


The real threat to BC's Treasury isn't so much of what Rich Coleman did, but will his actions cause other Breweries to unite, and DEMAND, that their "Froth Head Tax" be returned in whole, plus interest, because they weren't treated the same when they passed the MAX TAX cliff.

An apology? 100 years later? Not Likely!

1 comment:

Anonymous said...

Why would PWB hire more ppl to increase production if they knew that their tax load would increase? Surely, this was no surprise. Or was the fix in from the get go when the extra staff were hired then later used as a blunt instrument to get their way? This is so typical of the capitalist hoards ; abuse of employees.

Totally shameless IMO. I think in Rich's case his nose doesn't grow longer but he gains one more chin.