Trudeau has to go?

[pheoxs]

This quote is hidden because you are ignoring this member. Show Quote

They make these changes out to only affect unicorn rich people. That is far from the truth. This is going to affect a ton of people and have knock on effects for years.

Want to sell a vacation property?

Need to liquidate a business to afford your retirement?

Entrepreneur? Fuck you let’s punish your success.

Setup a trust to help your kids after the death of a parent? Greedy bastards we need more from you.

These rules spit in the face of millions of the kind of people we need in this cesspool of a country, to buy the votes of the people who are the problem.

Valid point but most of those also fall under the lifetime exemption which was also increased to 1.25M as part of these changes. If someone uses that up and then has another 1M of capital gains on top, these changes amount to an extra 60k in tax (260k vs 200k) paid on their 2.2M in gains.

[max_boost]

$60k gets you a civic type r or golf R
Or some nice young ladies for a good time in Vegas

[ThePenIsMightier]

We need to get rid of these people who employ dozens or hundreds of salary slaves who pay significant income tax that benefits our systems.
They are evil.
Someone else can pay for our Narcan and cocaine vending machines. Fuck those evil pricks!

[vengie]

This quote is hidden because you are ignoring this member. Show Quote

Great examples. And when you consider that all those examples might apply to the same person, it becomes even more obvious that this is a consequential change. You could even use the phrase “significant for an individual” to describe the level of impact.

Sadly, this is exactly the boat my parents are now in. All of these examples.
On the cusp of retirement after grinding for years to build what they have.
Wild man, just wild.

[bjstare]

This quote is hidden because you are ignoring this member. Show Quote

Valid point but most of those also fall under the lifetime exemption which was also increased to 1.25M as part of these changes. If someone uses that up and then has another 1M of capital gains on top, these changes amount to an extra 60k in tax (260k vs 200k) paid on their 2.2M in gains.

First, 2.2mm in a lifetime, depending on how well you’ve done and where you’ve put your money, is a pretty conservative figure. Second, in what world is a >25% jump in taxes (using your marth above) not a big fucking deal?

[SportEL]

Would Poilievre take a bite out of the apple?

[Cash Money Hoes]

This quote is hidden because you are ignoring this member. Show Quote

Attachment 119083

https://toronto.citynews.ca/2024/04/...t-2024-canada/

WTF!

- - - Updated - - -

Attachment 119084

https://www.cbc.ca/news/business/hal...nada-1.6690798

Let's put in place policies that pander to and attract ultra conservative religious zealots to Canada. These time travelers from 400 AD will certainly share the liberal values to which all Canadians (must) subscribe.

[Cash Money Hoes]

Elevated Capital gains on investment returns within businesses is a horrible idea.

What seems to be missed by many T4 earners is that by applying elevated to taxes on capital gains returned through investment and risk taking, risk taking and investment is disincentivized. So we're in effect disincentivizing the people who are most capable and have the means to make investments in worthwhile capital projects, from making investments in the Canadian economy. We're losing ground to every developed and developing nation around he world, which means the standard of living the vast majority of T4 earners is not improving and slipping for some.

The hard truth is regular individuals trading time for money are not the creators of this or other developed countries, they are the beneficiaries. It is a small percentage of the population, entrepreneurs and innovators who have taken risk to innovate and build who have created this great country, now in decline. This progress and improving infrastructure is what has created a need for regular people to trade their time for money. If you disincentive this small percentage of the population from doing what they do best, they will move on there will be fewer left to provide jobs for Canadians. We should celebrate and support those that are effective capital allocators at every level of business, big or small.

Unfortunately the current capital gains regime does not delineate between a Doctor, lawyer or real estate agent who has a professional corporation as a tax deference strategy and uses retained earnings to buy SPY, from a business owner who is using retained earnings to acquire another business or invest and in other private businesses etc. I think if you incentivized the latter your supporting those most capable of improving productivity in Canada. While those who fall into the former category, should pay an elevated tax rate on capital gains generated through their stock portfolio or other institutional investment returns, as they are simply working the system to avoid paying taxes on what should really be personally recognized investment income. But the reality is this is impossible to effectively sort.

It's deflating to see ideology guide government decisions which ultimately are making Canada unattractive to those who we would actually want to come here to contribute and benefit.

[ThePenIsMightier]

This quote is hidden because you are ignoring this member. Show Quote

Elevated Capital gains on investment returns within businesses is a horrible idea.

What seems to be missed by many T4 earners is that by applying elevated to taxes on capital gains returned through investment and risk taking, risk taking and investment is disincentivized. So we're in effect disincentivizing the people who are most capable and have the means to make investments in worthwhile capital projects, from making investments in the Canadian economy. We're losing ground to every developed and developing nation around he world, which means the standard of living the vast majority of T4 earners is not improving and slipping for some.

The hard truth is regular individuals trading time for money are not the creators of this or other developed countries, they are the beneficiaries. It is a small percentage of the population, entrepreneurs and innovators who have taken risk to innovate and build who have created this great country, now in decline. This progress and improving infrastructure is what has created a need for regular people to trade their time for money. If you disincentive this small percentage of the population from doing what they do best, they will move on there will be fewer left to provide jobs for Canadians. We should celebrate and support those that are effective capital allocators at every level of business, big or small.

Unfortunately the current capital gains regime does not delineate between a Doctor, lawyer or real estate agent who has a professional corporation as a tax deference strategy and uses retained earnings to buy SPY, from a business owner who is using retained earnings to acquire another business or invest and in other private businesses etc. I think if you incentivized the latter your supporting those most capable of improving productivity in Canada. While those who fall into the former category, should pay an elevated tax rate on capital gains generated through their stock portfolio or other institutional investment returns, as they are simply working the system to avoid paying taxes on what should really be personally recognized investment income. But the reality is this is impossible to effectively sort.

It's deflating to see ideology guide government decisions which ultimately are making Canada unattractive to those who we would actually want to come here to contribute and benefit.

Nuh Uh!! Everything in the world would be fixed if Elon Musk didn't make such a stupid amount of money. That's what is holding me back, directly.

- clock-punching ilk

[suntan]

This quote is hidden because you are ignoring this member. Show Quote

Valid point but most of those also fall under the lifetime exemption which was also increased to 1.25M as part of these changes. If someone uses that up and then has another 1M of capital gains on top, these changes amount to an extra 60k in tax (260k vs 200k) paid on their 2.2M in gains.

Cap gains exemption wouldn't apply to selling a vacation property. Also they put in new rules around selling some businesses so they can't use the exemption either, which is just totally bizarre.

Best bet for vacation property is to pretend it's your primary residence for a while and work out the numbers to minimize tax once you sell your primary.

[jutes]

Time to live off the grid.

[pheoxs]

This quote is hidden because you are ignoring this member. Show Quote

Cap gains exemption wouldn't apply to selling a vacation property. Also they put in new rules around selling some businesses so they can't use the exemption either, which is just totally bizarre.

Best bet for vacation property is to pretend it's your primary residence for a while and work out the numbers to minimize tax once you sell your primary.

Yeah property sort of gets the short end of the stick. I hadn't read any new exclusions for businesses, got a link? They did add an additional new entrepreneurial portion to the exemption as well though so most small business owners that decide to exit should be in okay shape. But larger businesses would definitely take a hit.

To encourage entrepreneurship, the government is proposing the Canadian Entrepreneurs' Incentive, which will reduce the inclusion rate to 33.3 per cent on a lifetime maximum of $2 million in eligible capital gains. Combined with the enhanced lifetime capital gains exemption, when this incentive is fully rolled out, entrepreneurs will have a combined exemption of at least $3.25 million when selling all or part of a business and entrepreneurs with eligible capital gains of up to $6.25 million will be better off under these changes.

[Buster]

This quote is hidden because you are ignoring this member. Show Quote

Elevated Capital gains on investment returns within businesses is a horrible idea.

What seems to be missed by many T4 earners is that by applying elevated to taxes on capital gains returned through investment and risk taking, risk taking and investment is disincentivized. So we're in effect disincentivizing the people who are most capable and have the means to make investments in worthwhile capital projects, from making investments in the Canadian economy. We're losing ground to every developed and developing nation around he world, which means the standard of living the vast majority of T4 earners is not improving and slipping for some.

The hard truth is regular individuals trading time for money are not the creators of this or other developed countries, they are the beneficiaries. It is a small percentage of the population, entrepreneurs and innovators who have taken risk to innovate and build who have created this great country, now in decline. This progress and improving infrastructure is what has created a need for regular people to trade their time for money. If you disincentive this small percentage of the population from doing what they do best, they will move on there will be fewer left to provide jobs for Canadians. We should celebrate and support those that are effective capital allocators at every level of business, big or small.

Unfortunately the current capital gains regime does not delineate between a Doctor, lawyer or real estate agent who has a professional corporation as a tax deference strategy and uses retained earnings to buy SPY, from a business owner who is using retained earnings to acquire another business or invest and in other private businesses etc. I think if you incentivized the latter your supporting those most capable of improving productivity in Canada. While those who fall into the former category, should pay an elevated tax rate on capital gains generated through their stock portfolio or other institutional investment returns, as they are simply working the system to avoid paying taxes on what should really be personally recognized investment income. But the reality is this is impossible to effectively sort.

It's deflating to see ideology guide government decisions which ultimately are making Canada unattractive to those who we would actually want to come here to contribute and benefit.

We cannot reward success, comrade.

[max_boost]

Levels
I am glad I am not 250k cap gains successful lol
But will lawyer, dentist, other professional fees go up to offset this increase? Everything gets passed on one way or the other right

[suntan]

This quote is hidden because you are ignoring this member. Show Quote

Yeah property sort of gets the short end of the stick. I hadn't read any new exclusions for businesses, got a link? They did add an additional new entrepreneurial portion to the exemption as well though so most small business owners that decide to exit should be in okay shape. But larger businesses would definitely take a hit.

Exclusions for the Canadian Entrepreneurs’ Incentive

the share does not represent a direct or indirect interest in a professional corporation, a corporation whose principal asset is the reputation or skill of one or more employees, or a corporation that carries on certain types of businesses including a business operating in the financial, insurance, real estate, food and accommodation, arts, recreation, or entertainment sector, or providing consulting or personal care services

[rage2]

This quote is hidden because you are ignoring this member. Show Quote

Also they put in new rules around selling some businesses so they can't use the exemption either, which is just totally bizarre.

I can confirm this. Paid full cap gains taxes on my shares last year when we got acquired. Good thing that closed last year and not after June 2024.

[ZenOps]

Sooo..... 3.87 million new homes by 2031.

I mean, if they were 12 by 20 footers made of cardboard it might be doable.

[88CRX]

This quote is hidden because you are ignoring this member. Show Quote

Sooo..... 3.87 million new homes by 2031.

So basically Canada needs to double their typical annual production of homes, every year, for the next 7 years.

Canada built 225k homes in 2022... 3.87m in 7 years works out to 550k annually, every year.

Got it.

I'd bet $3.87m this doesn't even come close to happening.

[Gman.45]

This quote is hidden because you are ignoring this member. Show Quote

Because there’s no changes to employment income or dividend tax rates? This is specifically for capital gains and only when claiming more than a 250k gain each year.

When someone dies, that last year they were alive takes into account all profits made in investments, any properties that aren't a primary residence, etc etc etc? Very easy to get nuked with these new >250k threshold rules, unless the make an exemption for this. As Kil said, this could greatly and adversely affect children who might need their parents support post mortem.

[suntan]

This quote is hidden because you are ignoring this member. Show Quote

When someone dies, that last year they were alive takes into account all profits made in investments, any properties that aren't a primary residence, etc etc etc? Very easy to get nuked with these new >250k threshold rules, unless the make an exemption for this. As Kil said, this could greatly and adversely affect children who might need their parents support post mortem.

There are already tax rules around this, they're much more punitive. It's something like a 53.5% tax rate on dispensed investments.