Provincial Finance Minister Eric Cline said his recent budget contained historic tax cuts. A more accurate description would be futuristic tax cuts, because the promised tax relief is in the future, whereas higher taxes and increased spending is being inflicted on us in the present.

For taxpayers, the provincial budget is a kick in the pants now and the promise of a pat on the back later. In spite of the government's rhetoric, the only thing that happened on budget day was an effective increase in the PST. And the only tax cut this year is a .5% decrease in the flat tax (a 1% cut halfway through the year) worth about $75 million, which will be largely offset other tax increases.

In fact, this budget probably increases taxes this year because of the PST increase ($71 million), provincial "bracket creep" is allowed to live on ($10-15 million), plus a net $11 million in other tax measures, including increases in the Insurance Premiums Tax, tobacco taxes, etc. - not to mention the increased rates from our government-owned utilities.

The long-term proposals for tax relief and tax reform, adapted from the Vicq Committee report, are more promising, but they are coming at a snail's pace. A tax cut is only a tax cut when it's implemented, and we will have to wait until 2003 for the full benefits of the long term tax relief and tax reform to kick in. Even then, the proposed tax cuts are too stingy. For example, the basic personal exemptions are lower than Vicq proposed. The government should increase this amount to help lower and middle income families.

The PST increase was also a disappointment. The expansion and simplification of the PST base should have been accompanied by a cut in the PST rate, so that the change would be revenue-neutral. Instead, the PST is a bigger cash cow than ever, and is still cluttered with oddball exemptions. Another flaw is the lack of serious tax relief for farmers. The elimination of fuel taxes and the two-year farm property tax rebate program is welcome, but insufficient. The two-year $25 million rebate works out to be about a 10% temporary cut in property taxes, and will do little to stem the growing tax revolt.

Bold action is needed to reverse the decline of the Saskatchewan economy and the out-migration of jobs and people. This budget doesn't deliver. For long-suffering taxpayers, relief is long overdue. This budget prolongs the wait unnecessarily.

The sad thing is, if the government had held the line on spending they could have provided real tax relief now. But instead there has been a $783 million increase in new operating spending from 2 budgets ago - a jump of 17.4%. No less than 14 of the 15 major government departments are increasing spending this year, while spending for 80% of all departments and agencies has risen.

The good news is the budget does start the province down the road toward tax relief. The bad news is that our progress is too slow, and it is marred by back-sliding tax hikes and endangered by spending increases. We still have bracket creep and we still have spending creep.

Our government is addicted to high taxes. They are like smokers who say they are going to quit tomorrow by cutting back to half a pack a day.