Canada ranks among the highest tax jurisdictions in the industrialized world for taxes on personal income, businesses and capital.
capital gains tax
These taxes also apply to Canadians with sporadic capital gains such as businessowners who sell their businesses.
Higher capital gains taxes reduce the incentive for investment and entrepreneurship.
Taxes on capital and income are the most damaging to the economy.
The Chrétien and Martin Liberals reduced the capital gains inclusion rate from 75 per cent to 50 per cent.
For most Canadians, capital gains do not show up in income or capital gains statistics.
Alberta’s personal income tax return relies on federally-determined income to calculate provincial income.
Capital flows to LSVCCs regardless of performance.