June 30, 1947



Canada's support


William Lyon Mackenzie King (Prime Minister; President of the Privy Council)


Right Hon. W. L. MACKENZIE KING (Prime Minister):

Special mention must also be made of the fine cooperation of the Canadian meat board, the Canadian wheat board, and the grain branch of the Canadian Department of Trade and Commerce, which together with the various other specialized procurement agencies of the Canadian government have participated in the accomplishment of the greatest peacetime enterprise of procurement and movement of goods in history.

An extraordinary contribution has also been made to our operations through the vigorous cooperation of the transport controller and the Canadian shipping board who have made possible the delivery of indispensable supplies to the needy countries of Europe in the face of shipping shortages and a variety of other difficulties, and achieved an unprecedented record of peacetime ocean shipping.

We are also deeply appreciative of the services of the Canadian army in the transfer of surplus vehicles to the shattered countries of Europe at the time of their most urgent need following the cessation of hostilities.

Without the full cooperation of these agencies and their affiliates, the work of this administration would have been impossible. It will, therefore, be appreciated if you will convey to all those agencies mentioned and, through them, to the entire catalogue of associated government agencies, the sincere gratitude of this administration and of the millions of persons who have benefited from their work.

I should also like to take this opportunity of thanking you personally for the exceptional contribution you made to the work of UNRRA. We have always regarded you as one of the foundation members, and your advice and assistance through the most critical days of UNRRA were of exceptional value to the organization. ,We shall remain always in your debt.

, Sincerely yours.

*[DOT]* Lowell W. Rooks,

Director General.

When I spoke of reading this letter to the house, Mr. Pearson, with his customary modesty, remarked that he thought I should omit the last paragraph. I should like to say that I think all hon. members appreciate the great service which the Under-Secretary of State for External Affairs has rendered in carrying forward this all important work and will be glad to have of record Mr. Rooks' appreciation of Mr. Pearson's services.

In his expression of appreciation, General Rooks has given us the assurance that, in contributing to UNRRA, Canada 'has been able to meet a real and urgent need. I hope that we shall always have the means to respond with similar generosity in the presence of distress and want in other parts of the world.

I should like in this connection to remind hon. members of the statement I made in the house on Tuesday last, June 24, when I informed the house that the government has decided to recommend to parliament an appropriation of $20 million for post-UNRRA relief needs in 1947. This is continued evidence of our belief that the Canadian people,

iMr. Mackenzie King.]

conscious of the great devastation which the war has brought about, are -prepared to play their full part in the necessary work of rehabilitation. ^

I need not remind hon. members that when I made the announcement to which I have referred, it was received heartily by both sides of the house and by members of all parties.





George James McIlraith (Parliamentary Assistant to the Minister of Reconstruction and Supply)


Mr. G. J. McILRAITH (Parliamentary Assistant to the Minister of Reconstruction and Supply):

Mr. Speaker, I wish to table

order in council P.C. 2474, dated June 24, 1947, proclaiming section 14 of the National Housing Act. Witlh the permission of the house I should like to make a brief statement by way of explanation. Section 14 of the National Housing Act provides for loans to assist in the construction of houses on farms.

When speaking in the house on July 29 last on the amendments to the National Housing Act, the Minister of Reconstruction and Supply stated that the farm-lending section of the act would be brought into force by proclamation. He explained that much preparatory work had to be done in developing a suitable procedure for making farm loams. Negotiations had to be conducted with the lending institutions. Mortgage forms had to be prepared for each province. In their preparation it was intended -that new ground would be broken in respect of grain-growing farms in the prairie provinces. The old form of mortgage with the crop share lease did not meet the circumstances of farmers in the grain-growing areas. A new method of mortgage repayment was required which would provide an adequate escape clause for distress years and payments in good crop years which increase in direct proportion to the yield and value of the crop.

Before the new form of mortgage could be applied, certain adjustments in provincial legislation in each of the prairie provinces were considered necessary. Accordingly, discussions were held early in the year with the governments of Manitoba, Saskatchewan and Alberta, when the proposed mortgage form and repayment formula were reviewed. Subsequent to these meetings, written submissions were made to each province detailing what legislative changes were required.

The necessary amending legislation was not passed by any of the prairie legislatures at this year's sessions. There was, however, a good


deal of interest shown in the proposals, and negotiations are being continued with the governments concerned.

In the meantime, however, the facilities of section 14 will be available to farmers in six of the provinces. So far as the prairie provinces are concerned-, it is not intended that loans will be made on grain-growing farms until satisfactory arrangements have been completed for using a flexible payment mortgage. The ordinary payment mortgage on this type of farm does not meet the circumstances of farmers whose incomes fluctuate widely from year to year, owing to variations in grain yields and value. Applications, however, will be considered from farmers in Manitoba and Alberta who do not operate farms which are primarily grain growing in character, and where Central Mortgage and Housing Corporation considers the orthodox money payment mortgage to be satisfactory. The facilities of the act will not be extended to any kind of farm in Saskatchewan until more general farm debt legislation problems are clarified.

An explanatory booklet entitled "Farm Housing Loans" is being prepared by Central Mortgage and Housing Corporation. This will be sent to farmers in reply to inquiries about the facilities of the National Housing Act. The booklet explains the provisions of section 14 and outlines the procedure by which farmers make application for loans. Farmers are asked to direct inquiries to the nearest regional or branch office of Central Mortgage and Housing Corporation.




Mr. JEAN LESAGE (Montmagny-L'Islet) moved the first reading of Bill No. 378 (from the senate) to incorporate the Limitholders' Mutual Insurance Company. Motion agreed to, bill read the first and second times and referred to the standing committee on banking and commerce.


Bill No. 379, for the relief of Evelyn Clara Woods Cross.-Mr. Maybank. Bill No. 380, for the relief of Minnie Brai-master Kazarensky.-Mr. Maybank. Bill No. 381, for the relief of Peter Moroz, otherwise known as Peter Morris.-Mr. Maybank. Bill No. 382, for the relief of Lome Earl Barth.-Mr. Casselman. Bill No. 383, for the relief of Thomas Wynn Hayes, junior.-Mr. Maybank. Bill No. 384, for the relief of Clare Black Wolfe.-Mr. Maybank. Bill No. 385, for the relief of Anna Lovannah Theoret Wilson.-Mr. Maybank. Bill No. 386, for the relief of Norma Lorraine Desrosiers.-Mr. Maybank. Bill No. 387, for the relief of Rose Jacobson Greenberg.-M-r. Maybank. Bill No. 388, for the relief of Guido Corbo. -Mr. Maybank. Bill No. 389. for the relief of Harold Ashton Hugh Roberts.-Mr. Maybank. Bill No. 390, for the relief of Mary Kalichman Pulver.-Mr. Maybank. Bill No. 391, for the relief of Gaston Dorval Lachance.-'Mr. Maybank. Bill No. 392, for the relief of Donat St. Jean. -Mr. Maybank. Bill No. 393, for the relief of Sheila Sydney Donor Gordon.-Mr. Maybank. Bill No. 394, for the relief of Thomas Walter John Moon.-Mr. Maybank.


(Questions answered orally are indicated by an asterisk).




Co-operative Commonwealth Federation (C.C.F.)

1. Are retired bankers, who paid income taxes to the government on their total salaries from 1924 to 1946 and possibly from 1918 to 1924, exempt from paying income taxes today on that portion contributed by them for superannuation during this period?

2. If so, for what reason?


Mr. McCANN: (Minister of National Revenue; Minister of National War Services)


1. Yes, but only on such portion of their pension as is attributable to contributions made by them during the years 1928 to 1945 inclusive.

2. Subsection 1 (h) of section 5 of the Income War Tax Act as enacted by 18-19 George V, chapter 12 (1928) provided that where the trustees or administrators of any employees' superannuation or pension fund elected thereunder to have the investment income of such fund exempt from taxation, the employees' contributions thereto would not be allowed as a deduction in determining their taxable income. Moreover, in such event, the pension ultimately payable to the employee was made exempt from tax only to such proportion of the total amount paid by him into the fund as was so paid after the effective date of the said election.

The trustees of all bank pension funds elected to have the investment income thereof exempt from tax and as a result all bank pensions now being paid are tax free to the extent provided by such formula.


This formula is, of course, also applicable to all other pensions paid from funds in respect of which the trustees similarly elected.

Subsection 1 (h) of section 5 as above referred to was repealed effective from January 1, 1946, but the proportional exemption in respect of employees' contributions from 1928 to 1945 inclusive was maintained under the subsection as reenacted by 10 George VI, chapter 55 (1946) and now in force.



Mr. McCtlAIG: 1. How many persons have immigrated into Canada in each of the years since 1930? 2. How many persons have emigrated from Canada in each corresponding year since 1930?


Mr. McILRAITH: (Parliamentary Assistant to the Minister of Reconstruction and Supply)


1. Fiscal year ended-

March 31, 1931

88,223March 31, 1932

25,752March 31, 1933

19,782March 31. 1934

13,903March 31, 1935

12,136March 31, 1936

11,103March 31, 1937

12,023March 31, 1938

15.645March 31, 1939

17,128March 31, 1940

16,205March 31, 1941

11,496March 31, 1942

8,865March 31, 1943

7,445March 31, 1944

9,040March 31, 1945

15.306March 31, 1946

31,081March 31, 1947

66,9902. No record is kept of persons leaving Canada.


June 30, 1947