By raising top tax rates, the government discourages entrepreneurship and innovation.
Support for the traditional definition of socialism is comparatively weak.
Wealth inequality clearly declined in Canada during the pandemic.
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.
According to the PBO, governments could raise up to $61 billion with a wealth tax on Canadians worth more than $10 million.
In Canada, housing and pension assets comprise the largest sources of household wealth.
At the end of 2019, household net worth in Canada stood at $11,876 billion compared to $622 billion for corporations.