• 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.

  • 7 things the Census teaches us about income inequality

    Ontario is becoming more polarized. The labour market might be rewarding families in the upper end of the income spectrum, but the bottom half of families raising children in Ontario saw its share of earnings fall to 19 per cent of the income pie… While income inequality hasn’t gotten dramatically worse since the Great Recession of 2008-09 — most of the damage happened between 1976-2006 — it’s not magically reversing on its own. It will take public policies to help close the gap.

  • Should doctors be paid a salary?

    Private, fee-for-service practice does not reflect the needs of a modern health-care system, which requires team-based care that focuses on patient outcomes, not piecemeal work. It also does not make financial sense to physicians anymore, who have no access to benefits, such as vacation, parental leave or pensions, and due to both price regulation and prohibition of private care, can neither adjust prices nor find alternative sources of revenue to cover increasing practice costs… it’s a failing business model.

  • 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.

  • Morneau’s proposed tax changes attack doctors – and negatively impact patients

    Mr. Morneau’s tax changes will have a drastic impact on patient care. Doctors will change how they run their offices, adjust the kinds of care they offer and alter career paths… But most importantly, Mr. Morneau’s tax proposals will negatively impact access to medical care. It will make Canada an undesirable place to practise medicine.

  • 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.”

  • Allan MacEachen, overseer of social reform and skilled politician, dies at 96

    MacEachen was one of Canada’s most powerful cabinet ministers of the postwar era and held a variety of posts, including a term as minister of national health and welfare from 1965-1968 during the creation of medicare. As labour minister, MacEachen was also instrumental in reforming the labour code and establishing a new standard for the minimum wage. His other portfolios also included finance and he twice served as secretary of state for external affairs.

  • 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.