You have to hand it to wealthy business owners. They know how to work the system to maximize their bottom line and pay as little tax as possible. Why shouldn’t they? It’s completely legal. However, it’s not only fundamentally unfair to those who pay their fair share, it also hurts poor Canadians — most of them women.
L'année dernière, le gouvernement fédéral a réaffirmé une promesse électorale visant à éliminer l'échappatoire fiscale des options d'achat d'actions qui a donné près d'un milliard de dollars aux PDG les plus riches.
Le ministre des Finances a cede à la pression des intérêts personnel qui ne voulaient pas perdre leur réduction de 50% sur les taxes.
The tax system can be a powerful tool for redistributing wealth and reducing inequality and poverty. We all benefit (including the rich) from a more equal society with better population health, reduced crime, and better education. Recent research also now shows that lower inequality also means better employment opportunities and a more vigorous economy, again, from which we all benefit, rich or poor.
I've had it with politicians whining and moaning about deficits and government debt.
I've had it with their manipulation and propaganda.
This has been going on for decades, across all parties, federally and provincially, with perpetual cutbacks, layoffs and threats, but never a real solution offered.
Whether it is federal or provincial governments, lawyers, or financial advisors.... people in the business of forming companies in Canada need to understand the importance of an accessible, public registry to trace true beneficial owners. In this opinion piece, Canadian lawyer Martin Kenney argues that access to that material is an essential tool to frustrate tax evasion, fraud, and terrorism. He also exposes what he feels is a fundamental hypocrisy in the attitude of the United States and Canada towards "secrecy jurisdictions."
In Canada, there is one set of tax rules for corporate insiders, another for the rest of us. The stock option loophole is among the more blatant examples of this lopsided state of affairs.
It is a favourite of bank presidents and other wealthy CEOs. Under current tax laws, they can be paid in stock options and later cash them in, drawing millions in income. But, unlike a regular salary, the first 50 per cent of stock option income is tax free. What’s not for these guys to love?