Taxpayers let off the hook as Newfoundland and Labrador drops equalization lawsuit
Federal Director of the Canadian Taxpayers Federation, Franco Terrazzano, reacts to Newfoundland and Labrador dropping its lawsuit that challenged the federal government's equalization payment formula.
Article by Rebel News staff
On last night's episode of The Ezra Levant Show, Franco Terrazzano of the Canadian Taxpayers Federation discussed Newfoundland and Labrador dropping its court challenge against the federal equalization program.
The province made the announcement that it was dropping the lawsuit last week after previously seeking additional funding from the federal government through the court challenge.
Terrazzano commented on the implications of the province rescinding its lawsuit, noting the benefit for Canadian taxpayers. "The Newfoundland and Labrador government was suing the federal government, essentially launching this court challenge trying to get the courts to force the federal government to increase the equalization handouts to the province," he said.
"Newfoundland and Labrador eventually dropped that court case, so it's a big win for taxpayers ... we were intervening in this, because we were arguing like hold on a second right, the constitution was never designed to let provinces sue Ottawa to get bigger handouts from taxpayers," Terrazzano continued.
"It's good that Newfoundland and Labrador came to its senses and dropped this court case, because if they were successful, the bill for equalization could have ballooned by billions of dollars and really taxpayers, especially in Alberta, British Columbia, and Saskatchewan, would be on the hook for all this," he added.
Newfoundland and Labrador’s decision to drop its equalization lawsuit spares Canadian taxpayers from a potential multi-billion-dollar increase in federal transfers. The province's premier, Tony Wakeham, stated that although he believes the equalization system is flawed, the lawsuit will not be moving forward.
BECOME A MEMBER
Ezra Levant
Rebel Commander
Ezra Levant is the founder and owner of Rebel News and the host of The Ezra Levant Show. He is the author of multiple best-selling books, including Ethical Oil, The Libranos, China Virus, and most recently, Trudeau's Secret Plan.
Featured Stories
08:59
