discrimination against those who make their livelihood (or a substantial
part of it) by producing for sale objects of art, in media which are not
traditional to the concept of art as defined in the Excise Tax Act. In
short, it is desirable that the artist be not viewed as a person who uses
only paint and canvas or stone and chisel. The concepts of art have now
been broadened, as demonstrated in exhibitions undertaken by the
National Gallery of Canada and other major Canadian galleries, so as
to encompass all media and all forms.

(3) That it is not necessary that art be regarded as something divorced
from utility. If an artistic creation is also a useful creation, it does
not by that token lose its quality as a work of art.

The craftsman desires to be recognized as a person who works ina
legitimate field of expression, and he desires to be given rights and
privileges concomitant with those of the painter and sculptor. This
recognition in turn embodies an understanding that the craftsman,
along with the painter or sculptor, will be accorded exemption from the
12%, sales tax and the 10, excise tax imposed on him at present by
virtue of section 30 of the Excise Tax Act.

The Excise Tax Act does not take into account that the craftsman is at
one und the same time a producer and a distributor. The sales and
excise tax taken out of the gross sales price effectively destroys a
profit margin which is vital to the craftsman. If these taxes are to be
recovered by raising the sale price of the goods, this in turn affects
their marketability, and the number of sales will obviously decline.

As well, the revenue derived from the tax on the products of the
craftsman is small compared to the costs involved in supervision,
regulation and collection. The Glassco Royal Commission Report
on government organization states:

"Systems must be subjected to regular examination to ensure that the
benefits derived from an operation bear a reasonable relation to its
cost. "

The three Associations, therefore, submit that imposition of the tax
with respect to craftsmen, in addition to being obstructive and dis-
4,