It's a New Day for Canada

[Captain Awesome]

So, if increase the taxes on "not a whole lot" individuals and spread that extra money along "a whole lot more" people, do you really think that taxes are going to go down for middle class people in any meaningful way? Fat chance.

Here's a good illustration of what I mean:



A decrease on "middle class" wages of 1.5%. Woohoo, let's party!

[Glacier]

I'm in the supposed 20.5% bracket, but my taxes will be going way up because of income splitting going away as well as increased payroll taxes and the TFSA reduction.

[Captain Awesome]

I'm in the supposed 20.5% bracket, but my taxes will be going way up because of income splitting going away as well as increased payroll taxes and the TFSA reduction.

Oh yes, if you take these into account, taxes just went up for "middle class".

And yeah, don't get me started on my beloved TFSA :(

[The Green Barbarian]

Actually most people do know

No, they don't. This is just manufactured hogwash, completely invented to prey on those with small minds and giant chips on their shoulders.

Case in point:

but also provisions like reduced tax liability on capital gains, dividend tax credits, tax-deductible RRSP contributions, self-employment deductions, tax advantages stemming from being paid in stock options, and more.

This is the garbage that you posted. All Canadians are eligible to have the tax advantage of reduced taxation on these forms of income, not just "wealthy" people, as this egg-head you quoted states. This is a deliberate attempt to obfuscate and lie, and it is shameful. Only the "wealthy" make RRSP contributions? Only the wealthy get dividend tax credits on dividend income? What kind of idiot would even make this statement? I guess then my fifteen year old nephew is in an elite class because he gets dividend income and therefore dividend tax credits. If this clown wasn't earning a cosy sinecure at one of our government-subsidized institutions then he'd be serving coffee at Tim Horton's, as he really has no clue what he is talking about. And neither do you. Shame on you for posting this dribble.

[I Think]

So on a positive note, what about a flat tax, lets say 10% ( or whatever the number is) with a free pass for those making $1999 or less p/a and no loopholes or deductions.
Course your accountant wont like it, you wont need him any more

[The Green Barbarian]

So on a positive note, what about a flat tax, lets say 10% ( or whatever the number is) with a free pass for those making $1999 or less p/a and no loopholes or deductions.
Course your accountant wont like it, you wont need him any more

This actually is worth talking about. And you are right. The biggest lobbyists against the simplification of the tax system as you describe would be the accounting industry.

[Muzza]

but also provisions like reduced tax liability on capital gains, dividend tax credits, tax-deductible RRSP contributions, self-employment deductions, tax advantages stemming from being paid in stock options, and more.

Even when I was making only $35,000/year, I was able to take advantage of dividend tax credits, I contributed to my RRSP (small amount) so had a deduction, was self employed so had some deductions there, and received a poop load of stock options (I received them in lieu of pay, but in the end, they were all worthless :( ).

The only thing in that list I could not take advantage of at that time was capital gains.......

Therefore, none of these items are only for the rich.

[Glacier]

So on a positive note, what about a flat tax, lets say 10% ( or whatever the number is) with a free pass for those making $1999 or less p/a and no loopholes or deductions.
Course your accountant wont like it, you wont need him any more

That's a far right-wing idea that only Alberta would consider doing. No progressive or left of center politician in Canada would even think about implementing such a thing. It was even too right-wing for the Conservatives to think about doing during their time in office. The size of government would have to shrink way down to 1950s levels to make it feasible.

[The Green Barbarian]

Even when I was making only $35,000/year, I was able to take advantage of dividend tax credits, I contributed to my RRSP (small amount) so had a deduction, was self employed so had some deductions there, and received a poop load of stock options (I received them in lieu of pay, but in the end, they were all worthless :( ).

The only thing in that list I could not take advantage of at that time was capital gains.......

Therefore, none of these items are only for the rich.

and that's where this whole argument falls apart, as do most NDP arguments when they are actually asked to defend the sound-bite they are spouting.

"The rich get unfair tax breaks!!! Everyone knows this!!!"

Oh really? Like what??

"Oh well you see, when they invest money in their RRSP's, they get a tax deduction! And when they get dividend income, they get a tax credit!! It's so unfair!!! Everyone knows this!!!"

But wait a minute, I get those things too, and I make $50K a year. I'm not rich, but I contribute to my RRSP, and I get a tax deduction. I also invest in dividend-paying stocks, and I get a dividend tax credit, as I should, as I am earning after-tax income when I am paid dividends. It just makes sense. What kind of person would say that I should pay full 100% tax on dividends? That's just stupid, given the income has already been taxed in the hands of the corporation. Where is this magical tax break you speak of that only the rich get? Because I'm not rich??

And off the NDP sound-biter goes slinking back into his corner, only to appear later spouting the same nonsense. One thing is assured. And that is that they never ever learn, and they stubbornly cling to their misinformed beliefs. Sheer zealots.

[maple leaf]

All Canadians are eligible to have the tax advantage of reduced taxation on these forms of income, not just "wealthy" people,

Never said all Canadians can't use these tax advantages.The more money you have the more you can reduce taxation on your income.

[The Green Barbarian]

Never said all Canadians can't use these tax advantages.The more money you have the more you can reduce taxation on your income.

Yes, up to a point. You can't just put $100,000 a year into your RRSP. I honestly think that's time to dispel these common myths out in our society, and one of them is this whole meme that our tax system is unfair. It's just complete bogus nonsense.

[Atomoa]

The people at KPMG certainly believe the wealthy pay less tax. All those people in Vancouver that own multi million dollar homes and only claim 30k a year income certainly believe it too.

[maple leaf]

Yes, up to a point. You can't just put $100,000 a year into your RRSP. I honestly think that's time to dispel these common myths out in our society, and one of them is this whole meme that our tax system is unfair. It's just complete bogus nonsense.

Yes, of coarse to a point,I should have said easier.

[Urbane]

It's a new day for Canada but here's something that isn't new. People tend to be in favour of things as long as they don't have to pay for them. There's a poll right now on Castanet asking if you'd prefer your mail at the door or at a community mailbox. Guess what? Just over 50% want their pizza ads delivered to the door while the just under 50% are divided more or less equally between "community mailbox" or "don't care." Now, what would the result of the poll with this question:

Would you prefer to pay more for postage and a little more in taxes to have door to door delivery or would you prefer to have lower costs while picking up your mail at a community mailbox?

There are countless other issues that fall into the same category of people wanting a service but not necessarily wanting to pay for that service.

[George+]

Hardly the makings of an epic new day!