Business investment (excluding residential development) is down 22.5 per cent.
capital gains tax
The federal government raised the top personal income tax rate from 29 per cent to 33 per cent.
Canada must become more attractive and competitive for business investment and entrepreneurs, and introducing a wealth tax and/or raising the capital gains tax would make a difficult situation worse.
Canada ranks among the highest tax jurisdictions in the industrialized world for taxes on personal income, businesses and capital.
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.