Update Jan 2018:
Department of Finance Tax Change Announcement: https://www.fin.gc.ca/n17/17-124-eng.asp
The Liberal government recently announced that they intends to close several tax loopholes that, in his words, allow wealthy Canadians to avoid higher tax rates.
While I agree that the tax system should be fair and equitable for all, I am very concerned that the proposed changes will negatively impact hardworking small and medium-sized business owners, lawyers, accountants and physicians who play by the rules, create jobs in our community and are also raising young families in Riverbend.
The Liberal government plans to launch a 75-day public consultation process on their proposed changes. I am personally committed to participating in the consultation process to ensure that the voices of hard-working residents of our community are heard.
The proposed changes look at three specific areas (as it stands now):
- Income Sprinkling (Income sprinkling involves diverting income from a high-income individual to family members with lower personal tax rates)
- Passive Investment Income (Businesses/corporations that retain passive investments)
- Capital Gains (Converting a private corporation’s regular income into capital gains)
Tax hikes like this one have made it more difficult for entrepreneurs to maintain and grow their businesses. By introducing higher small business tax rates, increasing payroll taxes, and introducing a nationally mandated carbon tax, Justin Trudeau has made it clear that small and medium-sized business owners and professional corporations are not a priority for his government.
This isn’t just a matter of seeing black ink on a ledger, or of winning praise from a local Chamber of Commerce. Lower taxes help young workers find their first job and help local companies invest expand and hire more workers. Tax cuts for families help them save for their children’s education, or for that family vacation.
Our Conservative caucus will continue to support policies that reduce the tax burden on businesses and allow entrepreneurs to create jobs and prosperity for all Canadians. We believe in helping Canadian families achieve prosperity and opportunity, instead of taking it away from them with overspending and higher costs. Lower taxes not only increase the amount that hardworking Canadians get to keep in their pockets from their paycheck, but it shows that the government has faith in them to do what’s best for their families.
If you, one of your associates or one of your neighbours has been negatively impacted by these changes, please don`t hesitate to share your story (below) with me so I can better advocate in Parliament on your behalf.
Get involved by signing the petition
Standing up against tax hikes
I was able to ask the Finance Minister directly one of the questions I`ve been receiving from many members of our community on the frustrations with the proposed tax changes.