Category Taxation in Canada

Canada’s Wealthiest Find Ways Around Top-Tax Hike

August 28, 2018 Taxation in Canada

Canada tax revenuesOTTAWA – Canada’s richest taxpayers were given ample warning of an impending tax hike, and they used the time to find ways to dodge the increase.

Canada has seen a drop in tax revenues being collected from the country’s wealthiest taxpayers, according to new information released by the Canadian Revenue Agency (CRA).

In 2016 Canada introduced a new top tax rate for personal incomes, set at a rate of 29 per cent for all incomes exceeding CAD 200 000.

The threshold has since risen to CAD 202 800, as Canada’s tax thresholds are pegged to increase with incomes.

The introduction of a new tax bracket for the highest income earners was expected to result in a tax revenue increase of as much as CAD 3 billion, with the funds being set to drop the tax rate in the salaries of middle-income earne...

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Canada’s Tax Collectors Say the System is Biased

August 20, 2018 Taxation in Canada

CRA CanadaOTTAWA – Canada’s tax workers are saying that their own system makes is skewed to benefit the corporates and the wealthiest taxpayers.

Late last week the Professional Institute of the Public Service of Canada, a public employee union, released the results of new research and survey into the perceptions of tax evasion of tax auditors working at the Canadian Revenue Agency (CRA).

The survey asked approximately 1 700 CRA auditors and other tax professionals their opinions and perceptions on various matters in regards to tax compliance, collection, and regulations in Canada.

More than four-fifths of the professionals agreed with the statement “tax credits, tax exemptions, and tax loopholes disproportionately benefit corporations and wealthy Canadians compared to average Canadians.”

Nearly h...

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Canada to Legalise and Tax Marijuana

June 21, 2018 Taxation in Canada

marijuana legalisationOTTAWA – Canada could see as much as CAD 400 million per year in extra tax revenues, following its move to legalize cannabis.

The Canadian government has become the first G7 nation legalize recreational marijuana, and alongside the newly opened up rules come the potential for significant tax revenues for the government.

The sale of marijuana in Canada will be taxed at the higher amount of either the rate of CAD 1 per gram or 10 percent of the retail price.

The revenues gathered from the tax will be split between the federal government and the provincial governments.

The federal government will take the lower of either 25 percent of all tax revenues collected, or CAD 100 million each year.

It is expected that the total amount of sales in the new legal marijuana industry could rise to as m...

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Canada’s Pot Tax Will Fund Education

November 14, 2017 Taxation in Canada

Marijuana TaxOTTAWA – Canada’s tax on legal marijuana will help stamp out the illegal drug trade, while also potentially raising funds for public education about the harm caused by drugs.

On November 13th a Minister of Parliament of Canada Bill Blair called for the tax revenues from the country’s upcoming legalization of marijuana to be used to fund public education about the drug.

Under the current plan for the legalization of marijuana, the federal government intends to levy a tax on the sale of marijuana, with a rate of 10 percent of the retail price of marijuana or CAD 1 per gram, whichever is higher.

It is believed that the tax could garner tax revenues of as much as CAD 1 billion per year.

The MP claims that the government has a responsibility now of ensuring that Canadians know and underst...

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Canada Cuts Business Tax

October 18, 2017 Taxation in Canada

Small business in CanadaOTTAWA – Small businesses in Canada will see their tax bill slashed significantly in the years to come, as the government sets out to let them “keep more of their hard-earned money”.

The government of Canada has announced that it will be dropping the rate of income tax to be paid by small businesses, making the rate the lowest in the G7.

From January 1st 2018 the rate of income tax paid by small businesses will drop to 10.5 percent.

Further, one year later the rate will be dropped to an even lower 9.5 percent.

It is expected that the two measures together will result in tax savings of as much as CAD 2.9 billion for small businesses over the 2022 year.

When combined with the provincial taxes which will also be paid by small businesses, the tax rate will average out to a level of 12...

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