• Should the loudest voices prevail on tax reform?

    Why are 100 per cent tax rates OK for low-income seniors, yet many among the top one per cent become apoplectic when the finance minister proposes to bring their tax rates back in line with that of every other high-income individual? Of course, Morneau’s proposals are still a work in progress. This is a complex area of tax law, so consultation is clearly important. But the loudest voices are not neutral.

  • The problem with Trudeau’s high road

    Apparently a lot of people who’ve incorporated are sensitive about having this gap between personal and small-business tax rates called a “loophole,” but what the heck: It’s a loophole, in the sense that it was never designed as a goal of public policy… If the government’s goal is fairness, then why can’t Morneau discuss the tax treatment of companies as big as his own?

  • Doctors say tax us: Canada is worth it

    Some of our medical colleagues feel angry and betrayed. They assert that… lower taxes for doctors are payback for the lack of pensions, parental benefits, child care, and other benefits… such concerns cannot justify an inherently unfair situation in our tax code, and especially one that worsens income inequality with adverse consequences for Canadians’ health… And we urge all physicians to support universal child care, pensions, and maternity benefits.

  • Know the dirty little secret about taxing the rich? It doesn’t work

    … the annual financial report shed some light on why the party hierarchy is so dogmatic about the tax changes. The report revealed that personal income tax revenues dipped by $1.2 billion in 2016-17, reflecting the impact of the introduction of the 33-per-cent top income tax rate in 2016. Some high-income Canadians realized capital gains and dividends in the 2015 tax year to avoid the new rate; others pushed their income into more complicated tax-planning structures like private corporations.

  • Time for a fairer tax system

    According to the CCPA, the total cost of all tax expenditures is estimated to cost the public treasury $202.5 billion in 2018. The chief beneficiaries are the rich. When half of Canadian workers are living paycheque to paycheque, the federal government has a responsibility to ensure that the Canadian tax system is fair to everyone. A fairer tax system will allow for lower income taxes for those who truly need a break.

  • Why Bill Morneau’s tax reform plan is politically necessary

    For Trudeau, tax reform is the necessary adjunct to free trade. As he said once to the Star editorial board, liberalized trade may create wealth but it does so unevenly. The trick is to share the gains from globalization more equitably. The mechanism for doing this is tax reform. Which is why the Liberals promised, in their 2015 election platform, to take aim at tax breaks that favour the rich.

  • Liberals smart to push ahead with closing the tax loopholes

    … the T4 nation knows the Canadian taxation field is about as level as the Canadian Rockies and they’re fed up with zero per cent income growth eroded by rising taxation loads. They don’t believe a doctor should be able to hide income by paying their kids to walk the dog. They see no fairness in letting a lawyer shield savings in a lower business tax environment to buy that monster cottage when they retire. That’s why the Liberals are smart to plug their ears and push ahead with closing the tax loopholes.

  • New Health Minister Petitpas Taylor defends tax changes under fire from doctors

    … she was the parliamentary secretary to Finance Minister Bill Morneau before she was given a ministry of her own, and has spent much time working on the tax file… now, her most pressing job may be to calm the doctors. When the proposed tax changes are fully explained, they are understood, she said. But “if there are unique situations that [doctors and others] are faced with, we want to make sure that we hear from them and that we get this right.”

  • Canadian tech leaders warn new tax rules may hinder startups, innovation agenda

    A common concern is the risk that Canada will become less competitive with the United States in terms of overall taxation, influencing corporate decisions over which side of the border to locate or expand… “We have to push back and say, ‘No, we’re going to stay in Canada.’ But you know what? If I don’t have any opportunity of actually cashing out in Canada, I will move down to the States and I’ll take all the jobs with me,”

  • Closing tax loopholes a sure vote winner

    … But the backlash comes from the people using the loopholes… It should worry the complainers that most Canadians with jobs, where taxes are pre-deducted at source, had no idea this was allowed. They are not just annoyed, they are incandescent… But as Prime Minister Trudeau said, “People who make $50,000 a year should not pay higher taxes than people who make $250,000 a year.