Almost all Canadians (89%) say they would definitely or probably consider voting for a party that promised to “take real and concrete action in making sure everyone pays their fair share, and increasing taxes paid by the wealthiest Canadians and large, profitable corporations.” This view was shared by 97%, 92%, and 84% of NDP, Liberal, and Conservative voters respectively. (abacus data)
How does the NDP capture this vote?
The easiest way is to suggest an increase in just the highest tax bracket, from 33% on any taxable income over $221,708 to 40%, giving a breakdown of what that would mean to tax revenues in total, and what the after-tax income is for an individual grossing $500,000 or $1M, as an example. Nobody will be crying for those individuals.
(Let’s see if this reply goes in without having to be authorized.)
Canadian Tax Rate s in 2022 15% on the first $50,197 taxable Income
20.5% between $50,197 & $100.392
26% between $100,392 & $155,625
29% between $155,626 & $221,708
33% over $221,708
In the United States from the 1940s toward the end of the war until 1960 the highest marginal Tax Rate was 94%. In 1981 Ronald Regan slashed taxes from 70% to 28%.
While the wealthy are paying as low as 26%, without all the loopholes, that is a far cry from 94% paid in the past.
This is interesting…..I am not logged in to the website yet I can access the Posts and Leave a Reply. I wonder why I can do this now when I could not before, unless logged in.
If we are serious about tackling obscene inequality, I think we need to make income taxes really progressive, and that means determining a level where income will be taxed at 100%. But before this can be done we need legislation eliminating tax loopholes and then we need to make sure the CRA enforces it.
While 97%, 92%, and 84% of NDP, Liberal, and Conservative voters respectively. (abacus data) are in favour of higher taxes for Corporations and the wealthiest of the population, the Liberals and certainly not the Conservatives, will not be campaigning, or have tax reform in their platforms.
We as the NDP have to hit this point hard and use the polling numbers to show what the voter wants when not approached along Party lines
Ray, it seems to me that today our taxation system is based on a few ridiculous assumptions that have been repeated so many times that they have been become the rule.
1. CEO salaries are set by the market.
2. CEO’s have the special skills that few others have. They deserve the big bucks.
3. There is no use closing loopholes. The rich will only find new ones.
4. If you tax the rich too high, they will leave the country.
What if we changed the picture?
What if we made our income tax system truly progressive. Why can’t we set a limit above which 100% of a your yearly income goes to taxes? $1 million? Why don’t we raise the income level below which you pay no income tax? $50 thousand?
What if we made our corporate taxes progressive?
What if we eliminated all regressive taxes? GST? Make the carbon tax progressive?
What if we closed all tax loopholes?
Governments created them. They can eliminate them.
What if the government froze and then expropriated the Canadian assets of any company that decides to move it’s operations to another country?
What if Canadian banks were prohibited from opening off shore branches that facilitate tax avoidance?
What if the CRA was told to take off the kid gloves when it comes to taxing the rich?
Pie in the sky? Maybe, but I think that these are the kind of things Canadians want to hear. The wealth tax that the party proposed in the last election was a good idea. But when voters hear “a 1% tax on wealth,” it has the “meh!” effect. It sounds like a pittance when it actually isn’t. (Although there are good arguments for raising it higher.) I think the platform has to be more hard hitting if we are to clearly separate ourselves from the Liberals, Green’s, and Bloc.
Thanks Bob, Ron and Ray. Tax reform is essential. Thanks for your points above. Please add this at the top of the agenda for our next meeting.