Earlier today, word came from Queen's Park that, in a scrum with reporters, Ontario Premier Dalton McGuinty said that he and federal Liberal leader Michael Ignatieff had struck a deal that would see a future Liberal government honour the deal federal finance minister Jim Flaherty made with Ontario on the Harmonized Sales Tax, i.e. subsidize the implementation of that controversial tax to the tune of $4.3 billion.
The federal Tories immediately smelled blood. After all, Ignatieff is on record as being critical of what he called the “Harper Sales Tax.”
Dimitri Soudas, the chief spokesman for Prime Minister Stephen Harper, had this to say:
When you’re an opportunist like Michael Ignatieff, you think nothing of saying one thing in public, another in private.
This morning Premier Dalton McGuinty told reporters that he has received Michael Ignatieff’s backing for the harmonized sales tax. According to the Premier, “We have secured Mr. Ignatieff’s commitments to moving ahead with the single sales tax should he earn the privilege of serving Canadians in government.”
Ignatieff’s secret guarantee contradicts his public attack on harmonization. Ignatieff said (on Sept. 4): “The HST, the Harper sales tax, the thing that concerns us is that the Harper government has, during a time of recession and economic difficulty, basically pushed sales tax harmonization across the country …”
This isn’t a flip flop. His action is calculated and opportunistic. Ignatieff is deliberately saying one thing to Ontarians while cutting the opposite deal behind closed doors. More evidence that he’s not in it for Canadians. He’s in it for himself.
Then, after Question Period in Ottawa, Ignatieff's staff said that McGuinty had misspoken, that there was no deal and that McGuinty's office would be retracting the premier's statement. It's almost 5 p.m. and we have seen no such retraction and now there is some doubt as to whether there will be a retraction. In any event, Ignatieff did not speak to reporters today but here is my exchange with Liberal finance critic John McCallum after QP today in Ottawa:
Akin: Your leader has called the HST, “Harper's Sales Tax.” I hear there's news from McGuinty's office today about some deal but maybe there wasn't a deal? Can you give us your sense where does the federal Liberal Party stand on a harmonized sales tax?
McCallum: Well, first of all, it's my understanding that there was some miscommunication and that Mr. McGuinty's office is going to clarify that statement because there is no deal between our leader and the McGuinty government. Where we stand is that we will – that our principal point on this is that this was a Harper government initiative. The Harper government pushed the governments of both British Columbia and Ontario to implement this and that's why we call it a Harper sales tax. And the proof that they pushed it is that they have subsidized Ontario to the tune of $4.3 billion to help them implement the tax and we suspect they will do something similar in British Columbia.
Akin: Isn't the HST an effective way or an efficient way for governments to get revenue with the least distortions in the economy and that it's the kind of tax that a government ought to impose?
McCallum: Well, look, it's an initiative taken by the two provincial governments who are sovereign governments in conjunction with the Harper government. One can certainly debate whether the implementation of a tax of this kind in the middle of a recession is sound public policy. But as of now we are the opposition, not the government, and our position is that it is a Harper sales tax and there's no way that the Harper government can stand back from that and shun responsibility.
Akin: What about the fact that Ontario is expecting a subsidy? Should you form a government in the near future will you honour Flaherty's deal with Ontario?
McCallum: Well, we shall see. I think we'll await Mr. McGuinty's clarification. Thank you.
Then, shortly before 5 p.m. today, comes this statement, issued by Premier McGuinty's office:
“Earlier today during a media availability, I indicated that Michael Ignatieff was supportive of the HST in Ontario. This is based on my understanding derived from a number of conversations between my office and Mr. Ignatieff's office. In fact, there has been no formal agreement. However, the clear impression I had was that the Federal Liberal Party was supportive of the HST in Ontario. Implementing the HST remains the single most important action we can take, as a government, to help the Ontario economy. We have an agreement in place with the Federal government and we expect that, going forward, it would continue to be honored, by any future government.”
Communications staff in the Prime Minister's Office have taken note of Plotkin's comments (and this blog — thanks!) and were very happy to point me at 
