Hon. Éric Forest: Honourable senators, I rise today to speak to Bill C-22 because I care about the living conditions of persons with disabilities and because I have noticed a number of problems with government intervention in this area. I will be brief, so as not to unduly delay the study of this bill, which enjoys broad support both in the House of Commons and in civil society.

I’d like to begin by acknowledging the government’s efforts to create a legislative framework for the Canada Disability Benefit, or CDB, a necessary support measure for Canadians who are of working age but require additional assistance to overcome the challenges of poverty. Despite the many support programs offered by various levels of government, people with disabilities, particularly those of working age, remain vulnerable to poverty.

Twice as many of Canada’s 4.1 million working-age people with disabilities, 22.5%, as without, 11.6%, live below the poverty line. This is more likely to be the case for people with severe disabilities because they are less likely to work and more likely to depend on social assistance. These data are from the 2017 Canadian Survey on Disability and the poverty line as measured by the 2018 market basket.

The skyrocketing cost of housing and food, along with the rising general cost of living, have a greater impact on the most vulnerable. People with disabilities are of course hardest hit because of extra costs related to their condition. Sadly, it is well known that the Canadian social safety net is poorly equipped to help people with disabilities.

In 2018, the Standing Senate Committee on Social Affairs, Science and Technology produced a very critical report about the Disability Tax Credit and the Registered Disability Savings Plan. Like Disability Without Poverty, I’m cautiously optimistic about this framework legislation because the terms and conditions of the benefit will be set by order-in-council, which leaves a lot of room for speculation.

I’d like to address three issues that I think are important. The first is eligibility. The definition of disability has changed, as has the way the severity of the disability is measured. Unfortunately, administrative limitations can have a major impact on recipients.

In order to be eligible for the Disability Tax Credit, for example, a person’s disability must last for a continuous period of at least 12 months. Those suffering from multiple sclerosis know that the symptoms of this chronic degenerative disease vary from month to month. I give this example to show how complicated it is to define an individual’s disability. To determine which disabilities and barriers make it possible for a person to access the Canada disability benefit, Bill C-22 simply refers to the definitions set out in section 2 of the Accessible Canada Act, which, as we know, are very problematic in some regards.

I don’t have a practical solution to propose at this time. However, I’d like to point out that the House of Commons Standing Committee on Human Resources adopted a report in April 2022 that recommended that the government:

 . . . consider the possibility of codifying all people who receive provincial support for their disability as people with disabilities in order to facilitate the ease of payment of a future benefit for a disabled person . . .

I’m not sure that I fully understand the implications of this recommendation. However, I believe that it is worth exploring this proposal to simplify access to the Canada disability benefit. This is, in my view, a major issue.

What is an acceptable minimum income? That is another issue, and it is the elephant in the room that we’re being asked to ignore. What income supplement should the new benefit provide? We know that, on the one hand, the Guaranteed Income Supplement provides an income of $1,500 per month. On the other hand, in Ontario, a pilot project allows people with disabilities to receive $1,915 per month. Employment insurance provides up to $2,600 per month. We also know that during the pandemic, the government recognized that the minimum benefit should be $2,000 per month.

Inclusion Canada, which is the national umbrella organization for more than 300 local associations, recommends that the new benefit should provide a minimum income of $2,200 a month, which is the minimum income threshold established by the federal government during the pandemic, plus 10% to cover additional expenses related to the functional limitations of people living with disabilities. When we consider that the low income threshold in Canada is approximately $2,100, I find this proposal to be more than reasonable. Naturally, we must ensure that this new program is harmonized with other federal and provincial income programs to avoid this benefit from ending up in the coffers of different levels of government.

The third important issue is the problem of non-filers. I mentioned this last week. As you know, poverty reduction is closely aligned with the filing of income tax returns because many credits and benefits require the annual filing of a tax return. Unfortunately, we see that the poorer the family, the more marginalized it is and the greater the tendency to not file a tax return.

According to a 2020 study by two Carleton University professors, between 10% and 12% of Canadians do not file a tax return. The professors estimated that the lost benefits for working-age non-filers amounted to roughly $1.7 billion in 2015. In 2001, it was reported that at least 270,000 of the poorest seniors weren’t receiving the Guaranteed Income Supplement, even though they were entitled to it. A parliamentary committee revealed that the Department of Human Resources had been aware of the problem since 1993, but had done little or nothing to reach out to those eligible, allowing the federal government to save more than $3 billion on the backs of the most vulnerable Canadians.

In order to ensure that low-income Canadians aren’t denied government benefits, including the new Canada disability benefit, I believe it is essential to pressure the government to do everything in its power to encourage people to file their tax returns, especially those who are financially vulnerable.

Let me provide a few examples. For more than 45 years, the federal government has supported the Community Volunteer Income Tax Program in order to assist community-based organizations that help Canadians file their taxes. However, there have been problems with this program.

The Taxpayers’ Ombudsman has produced a series of recommendations to improve volunteer training, encourage e‑filing, and improve awareness of help desks.

There is one more area of work. In the Speech from the Throne on September 23, 2020, the government committed to implementing the following:

 . . . free, automatic tax filing for simple returns to ensure citizens receive the benefits they need . . .

 — and to which they are entitled.

A pilot project for low-income individuals whose financial status doesn’t change from year to year was implemented prior to the pandemic. The service consists of filling out a form in advance and then asking taxpayers to confirm its contents over the phone. It is time to shift into second gear and expand this universally.

Finally, I think the Canada Revenue Agency should be asked annually to estimate the number of Canadians 18 years and older who don’t file a tax return, much like Senator Downe’s proposal on tax avoidance. This can be done by cross-referencing the number of tax returns received with data from selected Statistics Canada studies, as scholars at Carleton University have done. This data would allow for more targeted ways of reaching non-filers and would also allow for an assessment of government efforts to reach those who are entitled to benefits.

To sum up, I want to congratulate the government on creating this new benefit, which has the potential to lift thousands of people with disabilities out of poverty. However, it is important to note that merely establishing this benefit is just the first step. Further collaboration is essential to significantly improving the lives of people with disabilities by ensuring that people get the benefits they’re entitled to.

I know this benefit can help bring about a more inclusive, equitable and compassionate society. If the government calibrates the program properly, it can make a big difference in the lives of some of this country’s most marginalized people.

Thank you.

[English]