After Canada’s Finance Minister Dominic LeBlanc announced yesterday (Fri) the government is postponing a capital gains tax increase from. June 25th to January 1st next year, the Canadian Taxpayers Federation says it’s not enough.
CTF Federal Director, Franco Terrazzano calls it an illegal and undemocratic capital gains tax hike which should be scrapped completely.
Last week, the CTF launched a legal challenge stating the increase hadn’t yet been approved by Parliament.
Terrazzano points to a C.D. Howe Institute report which states the capital gains tax hike would cost 414,000 jobs and shrink Canada’s GDP by nearly $90 billion.
If it comes to fruition, the portion of capital gains that is taxable would rise from one-half to two-thirds on any gains realized annually above $250,00 by individuals and on all capital gains realized by corporations and most types of trusts.