Just a phase

BUMS modified

Just seven more sleeps until the big budget next Tuesday, when we get to see if there’s more to modern Liberalism than a really bitchin’ selfie.

As you might imagine, rumours are flying. The latest is that Ottawa’s about to boost the capital-gains lifetime exemption to $1 million (from the current inflation-adjusted $824,000). That would mean a small business owner could sell out and pocket half a million tax-free, sending socialism supporters into cardiac arrest.

Likely? Not unless is also comes with an expected smack down on small corps themselves. You might remember the Lib campaign promise: “we will ensure that Canadian-Controlled Private Corporation (CCPC) status is not used to reduce personal income tax obligations for high-income earners rather than supporting small businesses.” That could signal the end to having kids or spouses on the payroll, passing dividend income to family members who are shareholders or even taking a significant amount of income from your own shop in any other form but fully-taxed salary. But, who knows?

In addition, as detailed here a few days ago, there’s talk of a hike in capital gains tax. Currently half of all profits earned on the sale of assets that have risen in value (from an investment condo to an ETF, stock, family cottage, mutual fund or apartment building) are free of tax with the other half taxed at your marginal rate. Soon that tax could apply to 60% or even 75%.

Income-splitting will officially be toast, a $2 billion hit to single-income families now employing it to even out income between a working parent and one who stays at home.

Stock options are also in the crosshairs. Look for new legislation which will fully tax the gains made this way, except for modest amounts (up to $100,000) which will be exempted. The high-tech industry especially has warned this targeted tax hit will do serious damage to the process of finding capital and attracting talent. Say the Libs: “The Department of Finance estimates that 8,000 very high-income Canadians deduct an average of $400,000 from their taxable incomes via stock options.” BTW, ‘very high income’ in Canada means over $200,000.

There’s more.

In addition to creating a new tax bracket for those people making over two hundred grand a year, the successful can expect other measures. The Liberals announced they are “conducting an overdue and wide-ranging review of the over $100 billion in increasingly complex tax expenditures that now exist, with the core objective being to look for opportunities to reduce tax benefits that unfairly help those with individual incomes in excess of $200,000 per year.” You may recall that I linked a Department of Finance report on ‘tax expenditures’ like RRSPs, the cap gains tax, allowing union dues to be written off, or not taxing groceries or the profit people make selling their homes. It alll adds up to about $100 billion a year. We have no idea what will be zapped, but the government says it wants to clear $3 billion.

Of course, there’ll be lots of new spending. Money for temporary youth employment, aboriginal communities, a new and richer child care regime, slightly more for seniors at the poverty line, the $8-per-week middle class tax cut and a mess of money to build stuff, like they did in Japan. The budget shortfall is projected to be $10 billion in 2016 and most economists figure it will be double within a year. But, as you know, few care. Debts and deficits aren’t sexy any more. Nobody notices.

Fair enough. The legion of T2 adherents would also elect Bernie Sanders if he was running here. These are the days of a shared economy, when it’s cool to tax the wealthy until they squeal because the world’s become a place of inequality and unrequited expectations. Governments promising to redistribute wealth are adored by those without enough, just as they’re reviled by those with a pile. It’s likely we’re about to see the taxiest and spendiest budget in a generation, one that it will be cheered in the Starbucks of the nation.

Meanwhile, guess how many more people there were living in Vancouver last year between the ages of 25 and 44? None. In fact, 1,300 fewer – the biggest decline in almost a decade. You know why. It’s now impossible to raise a family, buy a house or have a life on a professional income in that city, as is rapidly becoming the case in Toronto. Will the budget help?

There are things an activist government could be doing to make life more hopeful for everyone. Calling people out for being achievers ain’t one of them. Fortunately, it’s just a phase.

201 comments ↓

#1 NTH on 03.14.16 at 6:26 pm

Happy Birthday!

#2 Dustmaker on 03.14.16 at 6:28 pm

Happy b-day Garth.
Thanks for your blog.

#3 Canadian on 03.14.16 at 6:29 pm

Hes coming for your TFSA. Won’t surprise me if the program is scuttled by 2020.

#4 Victoria Real Estate Update on 03.14.16 at 6:32 pm

# 109 Leo

You must hate the truth about Victoria’s recent price plunge.

Most people, including you, apparently, only see the small picture that’s available for everyone to learn about through tv, radio, newspapers, the local board’s website…

With regard to Victoria’s housing market, the small picture is the current market status of supply/demand, listings/sales. In any housing market these conditions are always only temporary.

As I’ve said, similar supply demand conditions existed in the recent past (2010) in Victoria only to be replaced by supply demand conditions that were conducive to falling prices, despite falling rates.

It’s important for those Victorians who may be considering buying now to understand that current supply demand conditions are only temporary and that there is no need to rush out and buy now like real estate “professionals” suggest.

That you would rather have Victorians look only at the current state of the market and ignore the recent, important past performance of the market suggests that you have a similar, self-serving motivation as many of Victoria’s real estate “professionals”.

All housing bubbles deflate. Near-peak buyers always regret that they bought when they did and that they didn’t do more research and understand the big picture better.

I’m here to let Victorians know about the dangers of buying at near-peak prices to help them avoid future financial difficulties.

You’re here to attempt to stop me from doing this.

#5 jj on 03.14.16 at 6:33 pm

caught your interview on canadaland…enjoyable..maybe you should do a live show

#6 JSS on 03.14.16 at 6:34 pm

– Me thinks the TFSA is going to be toast soon.
– Perhaps more taxation on dividends from common and preferred shares, as well as REIT’s.
– How about capital gains tax when selling houses at a profit, like in the US?

Help! What to do? Gimme my money back!

#7 BobC on 03.14.16 at 6:43 pm

You act like this is a problem… Just sit down, forget having any ambition and stop trying so hard to have the nice things in life.
Oh, and get your money out of Canada.

#8 Sheane Wallace on 03.14.16 at 6:46 pm

Likely? Not unless is also comes with an expected smack down on small corps themselves. You might remember the Lib campaign promise: “we will ensure that Canadian-Controlled Private Corporation (CCPC) status is not used to reduce personal income tax obligations for high-income earners rather than supporting small businesses.” That could signal the end to having kids or spouses on the payroll, passing dividend income to family members who are shareholders or even taking a significant amount of income from your own shop in any other form but fully-taxed salary. But, who knows?

————————-
And how exactly would the libtards determine what is small Business and what is family Business?

I smell a lot of money for labour lawyers and no benefit for the government whatsoever, but looking at the new idiots in power that does not surprise me.

The pretty boy/T2 junior is pretty much 4 and done. If I am a doctor or a laywer I won’t serve him.

#9 Hank on 03.14.16 at 6:46 pm

Just a phase that you are going thru? Happy Birthday!

#10 Nobody on 03.14.16 at 6:49 pm

Returning to the Nortel days when you could get a $400,000 tax bill for your $1M in worthless options will certainly help Vancouver’s house prices.
It’s hard enough to attract people to work here for 1/2 of the Salary in Seattle. Once the tax system also bankrupts startup employees if the company doesn’t do well – they will free up a lot of real estate in the town.

#11 crowdedelevatorfartz on 03.14.16 at 6:50 pm

How DOES one train a dog to lick bums in the shower?

You need jam. – Garth

#12 Stephen on 03.14.16 at 6:53 pm

I’ve always said: I’m financially conservative, but socially liberal. As an Economist, the constant rhetoric from the Liberals about ‘taxing the rich’ as the solution rubs me the wrong way. We’re disincentivising the very folks in our society who create the greatest value to work harder and do more. Sometimes, after reading a blog post such as this, I wish we still had Harper. Then I come to my senses.

#13 For those about to flop... on 03.14.16 at 6:53 pm

What is going on down south in the primaries is great theatre but can you imagine the political suicide it would have caused in the last Canadian election if the Metrosexual Messiah , Lego Head or the Cheshire Cat had encouraged people at their rallies to punch each other in the head.

I am visiting the states in a couple of days ,fortunately the America is see on t.v ,is not the same one as the one I witness in person…

M41BC

#14 April. on 03.14.16 at 6:53 pm

I don’t see the connection between the photo and the column today – but that is a very happy dog. :)

#15 common sense on 03.14.16 at 6:54 pm

210 Million for Canada’s 150th B-day celebrations and another 150 million to upgrade T2’s digs to his specs =

360 million / pop of Canada = $10 each….

What’s $10 for a party and upgraded digs?

#16 nsaskpirate on 03.14.16 at 6:58 pm

what is the message our youth (myself, 30) will interpret from all of this? It used to be ‘reach for the stars for if you fail at least you’ll land on the moon’. Now it’s ‘reach for the stars, if you want, or not, whatever, it’ll still be ok’. You want to reduce the ambition young people have to study hard, work hard and earn a profit? Tax ’em hard. whatever, I gtg vape.

#17 Randy on 03.14.16 at 6:58 pm

Hey Garth, here’s your Epic Happy Birthday Celebration Song

https://www.youtube.com/watch?v=kqVFx6xhREQ

#18 IKnow on 03.14.16 at 7:01 pm

There’ll be more young construction workers coming to live in vancouver from Alberta, just no other place to move to.

Is it true that if Canada had won some wars then the border would be along the columbia river?
If that had happened, far fewer millionaires in Canada now.

#19 Frank on 03.14.16 at 7:01 pm

I like this blog but these posts are the ones I hate. The “don’t hurt the job creators” class warfare incitement shit.

1) the snide remark about 200K being very high income. Yes it is. Look at the numbers, it’s a lot of money to the vast majority of people despite what you think.

2) The lack of objectivity or any data. Any tax increase is automatically too high. What if taxes were 1% and they were being raised to 10%, that wouldn’t be obscene. But a 3% increase on the $200k plus crowd is punishing achievement now. Give me a break, what is the optimal tax level to fund services and encourage work? Who is the model? What economic theory is best? Give us something more than ‘a penny more is war on the rich’

The economy needs juice, if not fiscal policy where else is it going to come from? Commodity gluts have left a hole in the budget, what else do you do? Austerity? People don’t need problems, they need solutions. I don’t like paying middle management government workers to run useless youth empowerment programs any more than you do but it’s something other than bitchong about selfies and inciting a ageism/class debate.

1300 people leaving Vancouver is a rounding error.

#20 not 1st on 03.14.16 at 7:04 pm

Garth, life is not impossible in vancouver;

http://business.financialpost.com/personal-finance/mortgages-real-estate/how-high-end-vancouver-real-estate-buyers-are-commuting-by-helicopter-to-their-country-mansions

#21 james on 03.14.16 at 7:05 pm

Good lord, 200k family income is considered high earning? That is 150k USD. That is middle class at best.

For the naysayers, I suggest reading this quick post that ruminates on the definition of ‘middle class’:

http://www.oftwominds.com/blogdec13/middle-class12-13.html

I would wager a large number of 200k earning families in Ontario are civil servants (e.g., dual police officers, dual teachers). Lawyers in Ontario now make less on median than teachers. There’s almost no significant private sector left to tax, outside of a few Bay street types.

#22 Randy on 03.14.16 at 7:05 pm

Liberals might tax your house next since Boomers created this mess.

#23 jess on 03.14.16 at 7:06 pm

too little too late?

Forcing banks to shoulder more home mortgage risk still on the table, CMHC says
The Canadian Bankers Association warned the previous government that shifting more mortgage risk onto the banks could threaten the country’s financial stability
http://www.metronews.ca/news/canada/2016/03/14/forcing-banks-to-shoulder-more-home-mortgage-risk-still-on-the-table-cmhc-says.html

#24 tundra pete on 03.14.16 at 7:07 pm

Love the bitchin’ selfie of T2 the bum licker. Quite likely what he will be doing to the entitlement crowd. “I deserve one of those”, Hey, I want one of those, “they can’t raise interest rates”, “the government will help us with payments if rates go up” and of course #I don’t have a million.

At least the 25 to 44’s are getting the picture and leaving Vancouver for greener pastures and affordable housing. Obviously you only live in Vancouver if you can afford it. It is a nice city if you don’t mind rain, cold and damp.

#25 Rexx Rock on 03.14.16 at 7:07 pm

The trend is your friend meaning houses will keep going up until interests rates go up many years from now.Larry Berman said low rates will be here for decades.Buy a house in the these 3 cities Victoria,Vancouver and Toronto and reap the reward of a wonderfull retirement.Victoria is rocking,a building boom that rivals China.Like I said before all tradesmen need to come to Victoria and rake in the cash.

#26 james on 03.14.16 at 7:09 pm

“Of course, there’ll be lots of new spending. Money for temporary youth employment, aboriginal communities, a new and richer child care regime, slightly more for seniors at the poverty line, the $8-per-week middle class tax cut and a mess of money to build stuff, like they did in Japan.”

Massive infrastructure spending did little for Japan.

My suggestion would be to end the CMHC, force the Banks to compete with foreign entrants into the market, and gut all subsidies to archaic dinosaurs like Bombardier.

Oh well, they have billions for refugees. Priorities priorities.

#27 gumboot princess on 03.14.16 at 7:09 pm

Happy birthday, Garth! I appreciate your thoughts and humour throughout the year and wish you all the best!

My daughter (26) is one of those 1300 who moved out of town last year. Her rent went up for the third time in as many years so she and her partner moved in with his parents up the coast (25 minutes to downtown).

They live in a big character house in a finished basement area. They pay $250 a month each for rent and another $250 each for food. The parents love the garden help and the family vibe and the kids have arranged to put the other $1300 that they are saving on rent into savings.

There are four people in one big house with four good jobs. I hope it works out. So far so good.

#28 common sense on 03.14.16 at 7:10 pm

#11 Toe Jam?

All the best Garth for a relaxing (!) Birthday evening.

Hope you had time for a little celebration during the day.

All the best!

#29 For those about to flop... on 03.14.16 at 7:11 pm

#11 crowdedelevatorfartz on 03.14.16 at 6:50 pm
How DOES one train a dog to lick bums in the shower?

You need jam. – Garth

//////////////////////////

You don’t need jam if you have bum crumbs…

M41BC

#30 Retired Boomer WI on 03.14.16 at 7:11 pm

Happy Birthday, Mr. Turner.

Now, go down to the funeral parlor for your FREE estimate. As a fellow geezer, you will use it sooner, or later.

Well man, $200,000 per year sounds like a hell of a lot of income. Based on the crying millennial who whale here constantly, yes it IS a FAT income. (Wish my family could have seen it, we wouldn’t mind paying the freight for that cargo.

As it was, we only exceeded $100,000 ONCE in our two income career. That said, we paid for a new home (US prices) and a total of 19 new cars over our married life.

I like cars, and pitting 50,000 miles+ on Detroit iron a year you tend to go through cars. (You also ‘adjust’ the odometer, but who ever said that??)…not me…

You pay your bills, save a portion of your net, and hope and pray. If you don’t bother, well then, I still have ‘hope and pray’ for your predicament, but NO new taxes, to quote a former US President 1 term wonder.

Taxes rise, Taxes fall, depending on the Loon you have elected. We have lower Fed Taxes, but a near choking debt. So, what does that mean, in real life? Nobody seems to know, and I really can’t give two hoots tonight.

It’s Monday, time at the Log Cabin, the local gin mill, the market was dead (oil fell a bit). Who giveth the big care?
Wake me later, ok?

RB 64 WI

#31 rk usa on 03.14.16 at 7:17 pm

re: The legion of T2 adherents would also elect Bernie Sanders if he was running here. These are the days of a shared economy, when it’s cool to tax the wealthy until they squeal because the world’s become a place of inequality and unrequited expectations.

Shocker: The Real Gordon Gekko Just Endorsed Bernie Sanders

http://tinyurl.com/zxo3xze

#32 MSM-Free Zone on 03.14.16 at 7:18 pm

Perhaps if the top ‘successful’ and ‘achievers’ weren’t so talented at blowing up the financial world for their own personal gain in 2008 without retribution, we steerage class of middle class and millennials, etc. wouldn’t be so haphazardly pissed off and we wouldn’t be having this conversation today.

How did Canadian doctors have anything to do with Wall Street in 2008? You lost me. — Garth

#33 Doug t on 03.14.16 at 7:29 pm

T2 or Harper hhhhhmmmmm – oh right Harper was the asshat that pretty much destroyed our country in sooooo many ways. So u trade one for another that’s all – move along everyone nothing to see here

#34 ROCK BEATS PAPER on 03.14.16 at 7:39 pm

This idea of taxing cap gains on principle residence sales seems like a good plan. Perhaps, the tax exemption would apply not for those who live there only 6 months, but for those who live in their principle residence 6 years. Start small, like 5%.

Happy b-day G

#35 Jeff B on 03.14.16 at 7:41 pm

Single parent. Imagine the quality of my sympathy for those who are losing income-splitting. Mr. Harper told me, in very unambiguous terms, that my family situation did not meet with government approval.

BTW — The Liberals plan to put a tax on blogs. Reliable source.

#36 BEST PICTURE EVER on 03.14.16 at 7:51 pm

DOGS RULE!!!

#37 Damifino on 03.14.16 at 7:52 pm

#10 Nobody

“Returning to the Nortel days when you could get a $400,000 tax bill for your $1M in worthless options will certainly help Vancouver’s house prices.”

I don’t remember those days.

Please correct me if I’m wrong but isn’t a worthless share option one that has an exercise value greater than or equal to the current market price? If I owned any such options I would simply not choose to exercise them. In time they would expire, and thus, never be subject to tax.

If someone takes share options in lieu of wages they must be expecting share values to rise (in theory, due to their own phenomenal productivity). If and when share values did rise they could then exercise options at the lower price. The difference would become a realized capital gain as far as the CRA is concerned, even if the share values fall again.

It behooves one to sell immediately after exercising to avoid being taxed on losses. You would then have a crystallized capital gain just like any other which would be exposed at 50%.

I’m now guessing here, but is T2 going to create a ‘new type’ of capital gain that is 100% exposed because it was realized through a company share option plan?

Or, is he just going to reduce exemptions on all capital gains and be done with it? So many questions…

#38 lala on 03.14.16 at 7:55 pm

Happy BD MR. Turner. That was last year party, imagine this year uuuuuuu. https://m.youtube.com/watch?v=kNbtg6gsG04

#39 hope & ruin on 03.14.16 at 7:56 pm

#13 For those about to flop… on 03.14.16 at 6:53 pm
What is going on down south in the primaries is great theatre but can you imagine the political suicide it would have caused in the last Canadian election if the Metrosexual Messiah , Lego Head or the Cheshire Cat had encouraged people at their rallies to punch each other in the head.
_________________________________________

has anybody been watching season 4 of house of cards? It’s about a fictional US presidential primary race. Very entertaining.

But it is boring compared to the real thing happening right now. They literally couldn’t write this stuff. Stranger than fiction indeed.

#40 seven more sleeps on 03.14.16 at 7:57 pm

Might as well wait – and discuss the facts.

#41 tkid on 03.14.16 at 8:04 pm

Anyone who thinks $200,000 is a high earner needs their head examined. High earners are a million plus. I’m with the guy who says to get yer money out of Canada. There’s a giant country to the south of us that doesn’t think ambition and doing well are evil incarnate.

You need jam. – Garth

Words fail me.

#42 For those about to flop... on 03.14.16 at 8:06 pm

I’m not real sure what is happening at Canada Post but for the last month or so we have been getting our mail delivered TWICE a day.

It has never happened since I moved here over decade ago so it is a little confusing.
I have relatives in the states the get mail delivered on Saturdays which would be o.k if it’s not bills.

Also I have only ever met two types of people when it comes to Birthdays.
People who keep it to themselves as much as possible.
People who tell anyone they run into that it’s their B,day.

Anyway boss ,not to sure how you feel about them but if your enjoying Beef Wellington or whatever your favourite dish is ,Happy Birthday big boy…

M41BC

#43 Scalgary on 03.14.16 at 8:07 pm

Happy Birthday Garth!

#44 Mark on 03.14.16 at 8:10 pm

“The Canadian Bankers Association warned the previous government that shifting more mortgage risk onto the banks could threaten the country’s financial stability”

I’ve written about this many, many times. Basically the banks, the CMHC, and the government are locked in a sort of game of “MAD” — “mutually assured destruction”, where if any of them flinch and either stop lending (the banks), or cause confidence in CMHC’s payment of subprime mortgage guarantees to be lost, a systemic crisis for the Canadian economy and mortgage market will likely ensue.

Go back to my posts over the past few years. Basically these CBA comments reflect what I’ve been saying (and was ridiculed over) all along.

“I would wager a large number of 200k earning families in Ontario are civil servants (e.g., dual police officers, dual teachers). Lawyers in Ontario now make less on median than teachers. There’s almost no significant private sector left to tax, outside of a few Bay street types.”

Very true. Government has almost completely failed in its fiduciary duty to get best value for taxpayers’ money when they pay these top dollar compensation packages, especially in professions for which there is a known glut of workers. They also dramatically overpay for ‘experience’ in areas for which sometimes more ‘experience’ is actually a dis-asset, not an asset. Basically the way that the public service is managed in this country makes a complete mockery of any basic labour market economics course. It does seem that they’ve achieved ‘regulatory capture’ of the system, and are, in effect, implementing ‘control fraud’.

Make no mistake, not only are the finances a mess, but there is increasingly a crisis of confidence.

#45 jay on 03.14.16 at 8:13 pm

And The Budget Will Balance Itself.

#46 amazon girl on 03.14.16 at 8:13 pm

Hi Garth

Happy Birthday ! Best wishes and many years
of health and joy.I wish I could bake you a cake
and put a candle for eyerthing you have teached me.
Also for what you have done for others.
but would be to many ,,,,well just make a wish.

#47 Bobby13 on 03.14.16 at 8:14 pm

Have to seriously look into incorporating in a tax haven. There is no end in sight to tax relief. Years of mismanagement by former and current government are going to put this country squarely in the ditch. Agreed as above CMHC has to go. How heavily can they be leveraged without being insolvent. ??

#48 Prairieboy43 on 03.14.16 at 8:15 pm

If I was a Doctor or Dentist. The first thing I would ask, is who did you vote for? Then make Adjustments.
PB43

#49 MSM-Free Zone on 03.14.16 at 8:17 pm

“…..How did Canadian doctors have anything to do with Wall Street in 2008? You lost me. — Garth…..”
_________________________

Exactly my point. The key word in my previous post was ‘haphazardly pissed off’. The financially-challenged in this country are angry, but are either unsure or uneducated enough to know toward whom they should direct their anger.

Iraq had absolutely nothing to do with 9/11, yet the powers-that-be decided to carpet bomb 100,000 civilians of that country in order to appease the ‘haphazardly pissed off’ of the western world. I’m sure next week’s Canadian budget submitted by the current government will offer similar logic to the un-informed.

(The previous Canadian government’s decision to offer amnesty to wealthy KPMG tax dodgers all the while storm-trooping legitimate charities and think-tanks probably didn’t much help the current situation either.)

#50 Brydle604 on 03.14.16 at 8:17 pm

Happy Birthday Garth!

#51 Big Dipper on 03.14.16 at 8:19 pm

#18 Frank on 03.14.16 at 7:01 pm

“I like this blog but these posts are the ones I hate. The “don’t hurt the job creators” class warfare incitement shit.”

——————————————–

That post by Frank articulate my opinion better than I can.

“Meanwhile, guess how many more people there were living in Vancouver last year between the ages of 25 and 44? None. In fact, 1,300 fewer – the biggest decline in almost a decade”

So, the true cause of Vancouver house prices is not HAM; it’s T2’s inactivity!

Brilliant.

#52 Sheane Wallace on 03.14.16 at 8:19 pm

#22 jess on 03.14.16 at 7:06 pm
too little too late?

Forcing banks to shoulder more home mortgage risk still on the table, CMHC says
The Canadian Bankers Association warned the previous government that shifting more mortgage risk onto the banks could threaten the country’s financial stability
http://www.metronews.ca/news/canada/2016/03/14/forcing-banks-to-shoulder-more-home-mortgage-risk-still-on-the-table-cmhc-says.html
——————————

This says it clearly.

Lenders knowingly made sub-prime mortgages counting on CMHC to cover their unethical and criminal activities.

Dump all the risk on their heads. I refuse to cover it.

#53 Brazil ex-pat on 03.14.16 at 8:22 pm

Speaking of phases……many a realtor calling into the talk shows today in Vancouver “Yes…..yes its foreign buyers”. And they are also using helicopters again to go to Langley. But of course…..no hard stats. Because the realtors calling in apparently do not count as data.

#54 TurnerNation on 03.14.16 at 8:25 pm

What’s the next choice: K. O’Dreary in 2020?

#55 Smoking Man on 03.14.16 at 8:27 pm

Happy Birthday Garth

For you. https://youtu.be/kMhw5MFYU0s

Not all dogs are perfect.

#56 Old stock Canadian on 03.14.16 at 8:28 pm

The US presidency is in the uncharted territory, any of the following elected,
Hillary Clinton: First women President of USA
Bernie Sanders: First Jewish President of USA
Ted Cruz: First Canadian President of USA
Marco Rubio: First Latino President of USA

Donald Trump: First President of amalgamated US and Canada.

#57 Sheane Wallace on 03.14.16 at 8:29 pm

I have an idea.

Tax on farts, install fart-o-meters on each derrière! The smellier it is, the more you pay.

1. 5 % goes for CMHC fallout,
2. 10 % for (whatever) debt retirement charge,
3. 3 % for the non-traditional sex orientation couples (with 5 + kids), pride parade selfies (only if featuring T2)
4. 2.4 % for oxygen delivery service,
5. 2.2 % land transfer tax,
6. 1 % Glass condos repair tax,
7. 2 % Mold incentivel tax
8. 10 % vancouver 10+ times flipper house incentive tax
…………………………….
89. 32 % carbon/global freezing tax
……………………..
and
90. the rest for the T2 personal hairdresser kids pensions fund!

#58 Entrepreneur on 03.14.16 at 8:37 pm

HB GT1…celebration time…a drink to you & to your faithful, honest work.

I didn’t vote for T2 because he is said on Peter Mansbridge One-On-One that “everyone knows that small businesses are formed only for write-offs” or similar. I am lost for words for that kind of thinking. Maybe some people misuse the write-offs but not all. To me that is stereotyping small business. T2 has to support small businesses and that is the only way to get the economy moving!!! And small businesses by Canadians that live in Canada to build a strong community.

T2 said that he wants to help middle families but takes away the income splitting to a one income, one stay-at-home mom/dad. How is that helping that family, that child? Tell me T2; I would like to hear!?!

I am getting the same mistrust with T2 as I did with Harper but T2 is more open on some issues but closed doors on some, like the TPP. T2 is not talking to us about policies that matter to Canadians. Does anyone else feel this?

Donald Trump says that he did not cause the rioting but indirectly he did. By saying certain things makes people upset; therefore, groups will protest even riot at a later date/time. One has to be careful on the wording when speaking to a crowd. It is nice to see the new runner but I would like to know how Trump is going to handle issues diplomatically.

#59 John on 03.14.16 at 8:44 pm

#17 IKnow

Yes, lot’s more unemployed oil patch workers coming to Vancouver to live on EI. I’m sure that’ll be great for your city….

#60 lee on 03.14.16 at 8:44 pm

When taxing profit on sale of house would they tax profit arising after today or any profit on a house even if it arose in 2015 or earlier?

Unlikely to happen, but it would be retroactive as with all capital gains calcs. — Garth

#61 Sheane Wallace on 03.14.16 at 8:50 pm

#57 Entrepreneur

I did not know that T2 was capable of thinking. I have not heard anything but verbal diarrhea coming out from his mouth like ‘the budget will balance itself’ drop.

The guy is clearly bellow average intelligence and frankly I feel deeply offended to be ruled by a person with such limited intelligence.

#62 common sense on 03.14.16 at 8:50 pm

#57 Entrepreneur

T2 comes across as far more likeable to the masses as compared to Harper. He’s soft, cuddly and non threatening.

We are in the age of likeable vs reality. That’s why he got on so well with Barack.

#63 not 1st on 03.14.16 at 8:51 pm

The latest is that Ottawa’s about to boost the capital-gains lifetime exemption to $1 million (from the current inflation-adjusted $824,000). That would mean a small business owner could sell out and pocket half a million tax-free…

—–

Is this a typo? Isnt a small business owner entitled to the full million tax free and his spouse another million?

#64 For those about to flop... on 03.14.16 at 8:51 pm

Mark @39
Go back to my posts over the past few years. Basically these CBA comments reflect what I’ve been saying (and was ridiculed over) all along.

//////////////////////////////

Who are these outrageous scoundrels that dare ridicule the great Mark Farquar…

M41BC

#65 DG on 03.14.16 at 8:51 pm

Hey Garth, You and my little Pup share the same birthday. I’ll toast you both tonight with a Glenlivet. Have a good one and thanks for the blog.

#66 Cdn Mom on 03.14.16 at 8:51 pm

I propose a tax checlist be required to be completed by each person receiving income in Canada. I propose the government be bound by it.

Each checklist should list the exact expenditure including the dollar value for each individual willing to pay. You check what you are willing to pay for, and that’s all the governments get.

Governments seem to have forgotten that my money is MY money, not theirs. I’m more than willing to go fee for service. My family is very wuickly losing motivation to work harder and harder, just to have more and more of it stolen and wasted.

#67 learningfromyou on 03.14.16 at 8:52 pm

Slowly and silently we build up a socialism.

Soon we will start being jealous about what our neighbors have, because everybody should be equal even to the level of using the same clothes, shoes and colors.

Nobody will be allowed to own a Harley because not everybody can afford it. I’m sorry Garth, you will be forced to give up yours, that’s fair, isn’t it?

No more oil pipelines to USA, period, enough, we should sell among ourselves the oil produced, like we do with the houses.

All this makes me recall the book Atlas shrugged.
https://en.wikipedia.org/wiki/Atlas_Shrugged

Happy birthday (if it’s true).

#68 Marco Polo on 03.14.16 at 8:54 pm

Lots of Harper haters on here still. I wonder why you just don’t go protest at a Trump rally, and do something useful.

Stephen Harper wasn’t as flashy or flamboyant as who we have now, he wasn’t very different than most of the english-speaking commonwealth prime ministers of his time.

So, go gloat about next Tuesday’s budget, and all the special money for special interests. After all, what can go wrong? You all fired an economist, and hired a drama teacher-snowboarder in his place. Great for selfies, and spending your money. Not much else.

#69 Sheane Wallace on 03.14.16 at 8:55 pm

#63 Cdn Mom

The money is theirs as they issue it. At some point people could simply stop using whatever confetti they are issuing and move to natural exchange system of record.

egg today for an egg tomorrow. Tax that!

#70 wallflower on 03.14.16 at 8:59 pm

if capital-gains-taxing principal residences, make it progressive. the longer owning principal residence, the lower the tax rate… this “brakes” flipping

#71 Interstellar Old Yeller on 03.14.16 at 9:00 pm

It’s now impossible to raise a family, buy a house or have a life on a professional income in that city, as is rapidly becoming the case in Toronto.

Eek, is it really getting as impossible in Toronto? I thought families were just cramming themselves into condos or townhouses and having no more than one or two ankle biters (our strategy). It still seems do-able if you jettison the house requirement.
——-
:) Happy birthday, Garth!

#72 Sheane Wallace on 03.14.16 at 9:01 pm

#44 Mark

This sounds like a Mafia extortion scheme.

#73 Herb on 03.14.16 at 9:04 pm

#20 james,

the top 20% of Canadian incomes start at the $125,000 level. The Canadian middle class simply does not have incomes of $200,000 or more.

The crayon version: http://www.moneysense.ca/save/financial-
planning/the-all-canadian-wealth-test-2015-charts/

The official version:
http://www.statcan.gc.ca/tables-tableaux/sum-som/l01/cst01/famil105a-eng.htm

#74 wallflower on 03.14.16 at 9:05 pm

okay, it might be the McClellands, but I am having to post again regarding

#42 For those about to flop… on 03.14.16 at 8:06 pm
I’m not real sure what is happening at Canada Post but for the last month or so we have been getting our mail delivered TWICE a day.

It has never happened since I moved here over decade ago so it is a little confusing.

+++++

WTF?
Confused?
About double delivery?

I am truly confused about:
Hardcopy post mail?
Who does this stuff? And who cares?

I watch the Saturday USPS delivery truck go by my house (USA) and wonder about that, too… but, there are a lot more online purchases here than in Canada, it appears

#75 Ruane on 03.14.16 at 9:08 pm

…it’s your birthday?!
Happy birthday, Garth! Hope your day is full of awesome.

#76 WalMark of Sadkatoon on 03.14.16 at 9:08 pm

did we change governments? feels the same

#77 SWL1976 on 03.14.16 at 9:18 pm

Governments promising to redistribute wealth are adored…

…By Private Central banks and the ruling class elites (the real crazies) for making their dream a reality. We can thank T1 for this in in 1974, but apparently that is just a tinfoil theory to think that Private banks shouldn’t skim public funds.

Bail in legislation has been, and was written for a reason.

Just you wait and see.

We are being conditioned. However, most can’t see the forest for them trees

The most dangerous person, to any government, is the person who is able to think things out for themselves… Almost inevitably they come to the conclusion that the government they live under is dishonest, insane, and intolerable – Hence our modern education (indoctrination) system and our corporate and state owned media designed to pacify the masses and keep them from understanding who the real criminals are

Happy Birthday Garth

#78 Sally Turner on 03.14.16 at 9:21 pm

Canada’s mega debt was started by Papa Doc Trudeau . Does anyone remember the LIP Grants given away like Ben Bernake’s ‘helicopter money’.

“Temporary employment for youth” my ass.

This is tax and spend on partisan political pandering of the most odious form. Next Trudy and the Turds will re-institute the Hate Canada Campaign that Papa Doc 1 started and brainwash the elementary school kids by whitewashing Canada’s history.

#79 Bobs ur uncle on 03.14.16 at 9:29 pm

If T2 ran on it – eg TFSA – I think it’s fair game. If he didn’t – eg raising capital gains – I think it’s a bad idea, as it plays into the hands of his conservative critics. Although, the people most likely to be pissed off about it didn’t vote for him anyhow, so politically, I can see why they’d entertain it.

However, it’s laughable to think that your average person won’t see 200K as high-income. If that seems crazy to you, you’re just out of touch with the day-to-day reality that the bulk of the folks in this country currently live in. Which is way below that cut-off. If you’re making 200K and don’t feel rich – I get it, you have mortgage payments, car payments, kids tuition, etc, etc. But imagine how the people making 50k or even less feel?

#80 understood by few on 03.14.16 at 9:36 pm

200k rich? Ha. Not in yyz, yvr or even yyj. Upper middle class at best.

Much easier to live within means, but I’d hardly classify it as rich.

People I know I’d classify as rich (nice house in a good area, nanny, private school, luxury vehicles) make north of 300k.

The proposed changes will affect people making less than 200k. They target small businesses, not the rich.

Why not do more consumption tax on the rich? Nanny tax. Yacht club tax. Golf course member tax. Anything that the rich buy and would be embarrassed to admit they can no longer afford.

“Oh we had to lose the nanny because of the new Trudeau tax.”

Ha! Ya right. Fork out another $500/month or more before admitting that.

#81 Goofy 2 Shoes on 03.14.16 at 9:47 pm

In the early 90s when I was in my late twenties, we had a young kid, husband was out west working (economy was bad in Ontario then)and I had a govt job through an agency making 13.50 an hour, no benefits. A budget was passed and taxes were going up -a lot. I recall a conversation with my boss at the time (read:high income earner close to retirement) where he lamented the heavy hit he was taking. I wasn’t getting any benefit either from the budget and there weren’t the social programs we have now. I told him that I didn’t mind paying if the debt gets reduced so my kid isn’t saddled with even worse taxation when he grows up.

Well today my son is married with a kid, I’m finally making decent money for the first time in my life, and here I am paying AGAIN and much of the benefit of the taxes I pay none in my family will see. I already paid higher taxes, even got laid off when the govt tightened its belt back then at a time when we were really struggling. I was more socialist then being young and idealistic so I found it easier to accept the sacrifice for long term gain.

Now I’m older, have more life experience, and I have seen enough govt waste and idiocy that I’ve grown out of the idealistic fantasy I once had faith in.

All I can say is, here we go again.

#82 Bucky on 03.14.16 at 9:49 pm

Having joined a startup at considerable risk because of the stock option company, and increased the option value through hard work to make the company successful, I can say first hand this will hurt.

No growth industries I am aware of where you punch in a timecard, take no risks, and make a good living.

Mediocrity, meet Canada, Canada, mediocrity.

#83 Randy Randerson on 03.14.16 at 9:56 pm

Too many goddamn snowflakes, everyone Canadian is special, therefore everyone is equal. Welcome to Communism 2.0.

#84 sockeye sam on 03.14.16 at 9:57 pm

Go figure.
Average HOUSE HOLD income Dunbar /West Point grey under $100,000.00 in the land of 33×120’s for 3 mil.The reason it’s so twisted is there’s 1.4 billion in the one large country in Asia. These home prices won’t stop going up.Dropping 3-6 mil. is pocket change.

http://www.vancouverguide.ca/Communities/Vancouver.asp?community=Dunbar

#85 Ret on 03.14.16 at 9:59 pm

We went to a very large builder’s rather small presentation center in Milton, ON. on Sunday.

Families were coming in for final signings on purchase agreements for new $550-850,000 towns and singles. The site plan showed only two available homes out of a hundred or more being built for delivery around this time next year.

1. Buyers were asked to sit at a desk across from a sales staff in the middle of a large viewing room. They had no privacy at all while committing to the biggest purchase of their lives. Everyone was milling around looking at the house pictures on the walls and could hear everything being said by the buyer and sales staff rep. This set up was all purposely done in my opinion to minimize any questions or concerns that the buyer may wish to express. Really, buyers are treated better in at a used car lot sales office.

2. Buyers were told that they were signing a contract and that no further changes would be made. The sales person pointedly asked them to verify that they understood this. (Interpretation -There is no going back now. Change your mind and we keep your deposit and take you to court for failure to close.)

3. Buyers were told that what they were signing allowed the builder to make any changes as he saw fit. Verification of understanding of this point repeated for this term of the purchase agreement.

The builder has them under contract and now he can make any substitutions he wants without their approval.

4. A small presentation center means that very little of the details of the house finishings were able to be displayed. For instance, no plumbing taps, sinks, shower heads etc. were displayed. You get what we give you.

5. The spec. sheet was purposely vague. For example, you will get 100 amp. electrical service with circuit breakers, but that is all that we will disclose.

Basically, you will be getting the bare legal minimum that we can give you for every aspect of the build from footings to shingles.

We came away feeling sorry for the way that these, what appeared to be young families, were being treated. They want to work hard and be apart of the Canadian dream. They were being set up with contracts terms that would allow them to be abused and cheated.

They just want a reasonably well built house that will last for 15-20 years without major repairs or replacements. A house that they can afford without signing away the next 35 years of their lives. They will in all likelihood get neither.

Buyers deserved better from one of Canada’s largest builders. The industry has no shame. The politicians that have allowed this to happen have even less.

#86 RayofLight on 03.14.16 at 10:01 pm

While T2 was “feeling the love” at the White House, Kerry was explaining the true new Canada /US relationship. No more new pipelines from Canada, ever. Is everyone still ‘feeling the love”?

http://business.financialpost.com/fp-comment/joe-oliver-while-canadas-pm-posed-for-selfies-john-kerry-slapped-us-in-the-face?__lsa=2749-3ba3

#87 Smoking Man on 03.14.16 at 10:03 pm

I’ve become a twitter addict. Add that to the log list of stupid things I do.

Have an essay in my head that explains what makes a lefty vs a righty.

It’s going to hafe to wait till big Tuesday 3.

Mothers pray your kids to grow up with addiction weakness.

I’m hooked on that shit right now.

#88 Cdn Mom on 03.14.16 at 10:13 pm

#79,

“However, it’s laughable to think that your average person won’t see 200K as high-income. If that seems crazy to you, you’re just out of touch with the day-to-day reality that the bulk of the folks in this country currently live in. Which is way below that cut-off. If you’re making 200K and don’t feel rich – I get it, you have mortgage payments, car payments, kids tuition, etc, etc. But imagine how the people making 50k or even less feel?”

Why is it always assumed that higher income earners have never been lower income earners? Most have to slowly claw their way up.

Why is it that the harder you work, the more you are taxed? Quite the disincentive to be productive.

#89 JamesA on 03.14.16 at 10:20 pm

I don’t think 200k could pull off what the baby boomers (or their brood) would consider solid middle class anymore in toronto. Not to my eyes at least. Mind you, grew up in the sticks so I have a skewed view of normal (grass,trees etc). It’s not just about buying all the shiny pointless baubles, both parents are going to be working their butts off ( away from the kids).

#90 meslippery on 03.14.16 at 10:22 pm

Thing is if the high-income folk did not farm out all the good jobs, or import temporary foreign workers.
The taxes they may have to pay now would not be necessary.

#91 Smoking Man on 03.14.16 at 10:38 pm

DELETED

#92 joe on 03.14.16 at 10:40 pm

as soon as all the people on pensions, cpp, EI, OAS and home owners(squatters) either give up their share of the pie they took without paying for they can expect its price to keep going up.

those pensions you never paid for and expect the unemployed youth to foot the bill for? um ya that isnt happening.

so either the money is going to come from the wealthy in your cohort or you are going to have to give it up. you sure didnt pay for it.

if you have a problem with it i will be happy to workout the present value of your defined contributions.

#93 Grant Brookhorn on 03.14.16 at 10:48 pm

Happy Birthday Garth!

Hey Garth, would you consider a return to Federal Politics with a new Conservative Leader who encourages you to run and then makes you Finance Minister? I called it here first everyone! Something to think about for 2020!!

GB

#94 Two-thirds on 03.14.16 at 10:55 pm

Lots of angst on display today.

The question is: is our government doing the best it can to truly help the middle class be better off?

Option 1) Tax the rich more, middle class incomes stay largely the same.

Option 2) Keep taxes the same, but implement policies to enable a rise in middle class incomes.

As a middle class chump, I would rather see my income go up than not (but with sweet, sweet revenge).

But, now, if our incomes eventually do go up, we will be taxed more.

Someone please remind me, why is option 1 great for the middle class?

#95 Smoking Man on 03.14.16 at 10:59 pm

#91 Smoking Man on 03.14.16 at 10:38 pm
DELETED

Has bozze gone to far. Should I tone it down a bit.

God damn individuals in me. The tribe is not ready.

The art of writing. Get both aposing advasaries thinking your words got there backs. That’s why it takes 6 years to pump out a good book.

Shit this is year 7.

#96 John in Mtl on 03.14.16 at 11:10 pm

Dunno how polished your french is, Garth. Here’s to you, a Quebecois birthday song:

Mon cher Garth, c’est a ton tour, de te laisser parler d’amour;
Mon cher Garth, c’est a ton tour, de te laisssssserrr,
paaaaarrrrrrrrllllerrrr,
d’aaamourrrr

:)

Couldn’t find the tune on Youtube so here’s the Chipmunks:
https://www.youtube.com/watch?v=dX4dKStkE-g

Bonne fete, Sir Garth!

Chortling French chipmunks are better than that screeching goat and turtle-with-flames-coming-out-of-its-ass video that greeted me earlier tonight. Merci. — Garth

#97 Apocalypse2016 on 03.14.16 at 11:16 pm

BEWARE THE IDES OF MARCH!

I will be updating everyone shortly on why this year is shaping up as the most horrendous in decades, foreboding the destruction of humanity and the planet.

Hug your kids. Stock your cupboards. Be prepared.

#98 Barnz0rz on 03.14.16 at 11:17 pm

1300 moved last year
I call ~3000 this year
I’ve got my eye on getting out next year

#99 waiting on the westcoast on 03.14.16 at 11:19 pm

Happy Birthday Garth!

#100 William on 03.14.16 at 11:20 pm

Taxing capital gains at 100% on property isn’t really fair if you don’t account for inflation. For example a house or a stock that gains 25% over 10 years hasn’t really gained you anything in real terms. I always figured the 50% of capital gains was to account for inflation.

The effect of increasing capital gains tax will be less properties get sold. This means lower supply of houses on the market and up go the prices.

#101 Russ on 03.14.16 at 11:33 pm

I’m disheartened to hear that income splitting could be on the table.

Canada’s income tax structure has been a crime against single income earners for decades. In the old days it was assumed the majority of households were single income, “leave it to beavers”. The tax system sorta made sense. That changed in the 70s.

So, wife & I have been married 32 years. One income family, kid in band class, yad yada, blue collar occupation. In the 80s I saw many co-workers getting divorced and making payments to spouse which were tax-deducible.
I had a great idea… said to wife, “If we get a divorce and I make court approved payments of $2000 a month, that is deductible from income!”
Nope. Nada. It ain’t gonna happen. Wimmen are just too emotional when it comes to finance.

Then Harpo dangles the income split carrot, for when I get old enough, and it’s snatched by friggen millies and friends before it can be used by me.

Sometimes I really hate you guys. But I won’t offer intense negative feelings toward you, as it will not help any situation.

But I can share this observation, at me dear old Mom’s house is a picture of wife & I on the wedding day. It occurred to me I look almost identical to the raft of short beard hip millennial men these days.

I smiled.
Old age and treachery beats youth & enthusiasms, all the time.

#102 Victor V on 03.14.16 at 11:41 pm

http://www.financialpost.com/m/wp/news/blog.html?b=business.financialpost.com/personal-finance/mortgages-real-estate/oil-price-collapse-could-cost-cmhc-7-billion-a-year-in-lost-profits&pubdate=2016-03-14

CALGARY – Low oil prices could cost Canada’s federally owned mortgage insurer $7 billion a year in lost profits, though the organization’s top executive said Monday the oil price collapse will not drain its capital to unsustainable levels.

#103 Victor V on 03.14.16 at 11:43 pm

Happy Birthday Garth.

#104 nobody on 03.14.16 at 11:49 pm

#37 Damifino
The IRS (and presumably CRS if they follow the same rules) tax the options when you exercise them, at what they consider the market value would be IF you could sell them. You then desperately hope the company continues to grow until it is bought or there is an IPO in 7-10 years time when you can sell.
If there isn’t you are out the tax and possibly bankrupt. If you can’t afford the risk and don’t exercise – you lose them.

Alternately the startup could simply raise a few $10M more from the masses of Canadian VCs to simply pay a salary that outbids, Google, Microdoft, Amazon etc

#105 SunShowers on 03.15.16 at 12:08 am

Will Trudeau (and possibly Bernie) be able to fix the inequality issues they campaigned on without torpedoing the economy?

Who knows. But I can understand why so many young people want to vote for them. Young people don’t see why “achievers” shouldn’t be treated with the same usurious disdain that they were by those achievers.

After all, tuition has gotten exponentially more expensive for this generation compared to the last, because after they graduated, the previous generation got this ingenious idea to run post-secondary education as a business. Let’s maximize profit today at the expense of the next generation! Screw them, we got ours!

But luckily, these kids worked their assess off, many took on massive student loan debt, and they graduated with their nice shiny degrees just in time for the great recession (courtesy of the much lauded “achievers” in the financial sector) to implode the job market. Now we have 20 to 30-something year old baristas and burger flippers with biology degrees.

Young people have put in their time on the hamster wheel generating profit to their own detriment for the previous generation. Don’t expect much sympathy from them now that the tables are about to turn.

#106 Bottoms_Up on 03.15.16 at 12:10 am

A) I find it quite ironic that you chose to cast the PM’s embrace of technology in a negative light, given you yourself embraced new technology (blogging) and got your butt kicked to the curb by the last PM for it

B) The Vancouver population thing is nuts. How can anyone recruit talent to that city in that age group, especially if they are bringing along a growing family?

C) Many rich people are also big believers in humanity and socialism, and not blind to the problem and proven fact of inequality, a highly educated population with limited or crap job prospects, and the need for progressive and fair taxation.

#107 Visible Minority on 03.15.16 at 12:13 am

DELETED

#108 Roland on 03.15.16 at 12:25 am

Canada. Median employment income. 2011.

$31, 603

Source: Statistics Canada, 2011 National Household Survey, Statistics Canada Catalogue no. 99-014-X2011042.

The above figure gives you a good idea of what people make in this country. By the way, “median” means that half of the nearly 19 million people who reported employment income in Canada made less than $31,603 in 2011.

So, like, yeah, $200 K is “high income.” No disrespect. Just sayin’.

That’s the reality in our country today. Let’s face it, most people in the country make their money by working–but they don’t make much by working. Most of them can’t accumulate investments, because capital formation from such a low income level is problematic.

People can try to substitute leverage for capital formation, but that practice can lead to the sort of speculative stupidity which forms the principal subject matter of this blog site. Loose credit is not a viable substitute for stagnant employment incomes.

Investment advice can be instructive to anyone at any time, but having something to invest makes a big difference.

Canada, like most Western countries, has pursued a series of broadly pro-trade, pro-investor macroeconomic policies for nearly 30 years. Unfortunately, for a wide segment of the population, the results so far are stagnant incomes and mounting debt loads.

It would not be surprising if the macroeconomic consensus of the past generation is going to come under political pressure from the people disappointed with the results.

#109 Capt. Obvious on 03.15.16 at 12:32 am

Happy Birthday Garth.
Know that reining NBA MVP Stephen Curry was born on this day too. You are the better blogger. Everyone has their talents.

#110 BS on 03.15.16 at 12:37 am

Frank on 03.14.16 at 7:01 pm
2) The lack of objectivity or any data. Any tax increase is automatically too high. What if taxes were 1% and they were being raised to 10%, that wouldn’t be obscene. But a 3% increase on the $200k plus crowd is punishing achievement now. Give me a break, what is the optimal tax level to fund services and encourage work? Who is the model? What economic theory is best? Give us something more than ‘a penny more is war on the rich’

The problem is a person making $200K already pays 9 times more income taxes than a person making $50K per year. They both receive similar government services but one pays 9 times more.

Now T2 says 9 times is not enough and is increasing that so the guy paying 1/9th the amount can pay even less. I do not see how anyone can think that is fair.

#111 blair witch on 03.15.16 at 12:47 am

Vancouver’s over-priced real-estate is just a lot of hype to get people excited to buy in. If you cannot purchase or survive in Vancouver move on. It is not a big deal. There is life beyond this city and once you get over the buzz of buying, you will see more clearly. People in general are like sheep, if one strays it is a black sheep… be the black sheep. Be intelligent, save, build a decent portfolio, and don’t listen to the propaganda that the real estate is exploding. People are drawn to fear, and it is working, buying to the extreme. It is their problem, so who cares.. not you!

#112 Kenchie on 03.15.16 at 12:54 am

“Meanwhile, guess how many more people there were living in Vancouver last year between the ages of 25 and 44? None. In fact, 1,300 fewer – the biggest decline in almost a decade. You know why.”

Garth, source please?

#113 Long Weekend on 03.15.16 at 1:03 am

Budget announcement on Tuesday March 22 with a 4 day weekend starting on the Friday. Only two days of work for Ottawa to answer questions. The sheeple then settle into the long weekend and forget about the big changes coming.

#114 Fortune500 on 03.15.16 at 1:18 am

In my 30s circle of peers the only ones ‘winning’ at life are working for the government. Guaranteed multi-millionaire pensioners all of them. They thank you for your massive contributions. Now look over there! A doctor! Get’m

#115 Hamcouver on 03.15.16 at 1:24 am

Happy Birthday Garth. Thank you for your education from the previously financially inept.

#116 Vampire Studies GMST 454 on 03.15.16 at 1:36 am

100 Seebee from last blog entry – a trillion dollars.

If you are a cash millionaire, your stack of $100 bills is 4 inches high.

If you are a trillionaire, your stack of $100 bills is 69 MILES HIGH.

I think when Ronnie ray-gun was prez he used this to demonstrate the national debt.

#117 Bobby on 03.15.16 at 2:04 am

For #85 Ret,

This is nothing new and was exactly what was happening in the early 90’s just before that crash. The quality was exceptionally poor and the builders said take it or leave it. The smart ones left it. This will not end well.

#118 family beagle on 03.15.16 at 2:06 am

Another day running a small bz. I am bruised, beatup and abused. Today I made about -$200, yet healthy progress and retooling for two product on the line. Still have bolts to cut and finishing. I’m far past wondering if taxes/government/commerce/weather will cooperate. One must be driven, like the artist or the poet, to witness the joy labours bring in the eye of the customer. They believed and placed an order! For them I will do everything. It is me and my customers against the world. Thanks for the read.
Goodnight and happy vernal equinox.

#119 Rexx Rock on 03.15.16 at 2:09 am

Canada is hurting big time,I meaning everything from our freedom and rights,terrible economy,high immigration,central banker madness and taxation.We need a Trump to make Canada better again.Not a gq ballerina boxer man who couldn’t run lemonade stand.

#120 Frank on 03.15.16 at 2:31 am

Income splitting is bullshit. The government should stay out of bedrooms. Some people are in a relationship. Some people aren’t. Some have spouses that make money, others don’t. Taxes should be paid by individuals.

#121 Mark on 03.15.16 at 3:02 am

CALGARY – Low oil prices could cost Canada’s federally owned mortgage insurer $7 billion a year in lost profits, though the organization’s top executive said Monday the oil price collapse will not drain its capital to unsustainable levels.

What an absurd claim. CMHC, even with their fundamentally faulty “math”, was only earning a “profit” of less than $2B/year. So if they’re losing $7B/year in “profit” per year (ie: they suffer a -$5B/year loss), that means they have no capital in a little over 4 years.

The problem for CMHC is that the questions over their books won’t begin when they’ve depleted their capital fully. They’ll start far, far before then. Market participants will start to trade against the CMHC, and confidence will progressively be lost in CMHC-guaranteed obligations. Thus, what might be just a predicted “-$7B/year profit” (ie: a $5B/year loss) may relatively quickly turn into something far, far worse. Especially with the BoC unable to goose the market by lowering interest rates meaningfully, or the CMHC itself in any position to expand subprime mortgage guarantees out of the very real problem of capital limitations.

At some point, the auditors/actuaries of CMHC will realize the absurdity of their calculations concerning CMHC’s capital adequacy, and trigger a further crisis of confidence. Then the real theatre will shift to Ottawa, where politicians will have to debate a CMHC recapitalization and/or reform.

#122 Mark on 03.15.16 at 3:11 am

“The effect of increasing capital gains tax will be less properties get sold. This means lower supply of houses on the market and up go the prices.”

I certainly agree with your premise that capital gains tax may reduce the number of transactions (ie: the velocity). However, it is quite premature to assume that it would push up prices. At the margin, higher capital gains taxes will probably increase the hurdle rate to investment in capital property (of all kinds, but we’ll focus on RE here specifically). An increased hurdle rate tends to result in an immediate short-term reaction of lower prices as investors at the margin will bid less to compensate for the taxes.

Over the long term, however, assuming no other macroeconomic effects, a reduction in short-term prices bodes well for long-term prices. If there is less investment in the short-medium term, long-term rents may be augmented on account of reduced physical supply.

Then again, higher capital gains taxes (or taxes generally) to fund wasteful public expenditures tend to be economy-killing. So it is quite possible that there is an incremental loss in prosperity on account of higher taxes, thus reducing demand.

Personally its my view that taxation policy itself isn’t particularly influential on the economy. I wouldn’t get too caught up on whether RRSPs, TFSA’s, etc., are good or not for the economy because their cancellation probably won’t make a big difference one way or another. What is more influential is what is done with that tax money that is collected. Is it spent prudently on legitimate public needs at fair prices to the stakeholders, or it is squandered by paying lavish salaries to public “servants”, CMHC subsidies to the banks, and all sorts of other favouritism-based political pork? Harper proved to be an awful steward of the public purse in this regard, allowing lavish excesses in public spending to accelerate. Trudeau hasn’t proven any willingness, at least in his first few months, to initiate meaningful and desperately needed public austerity to restore the finances of Canada to health after so much damage in the post-Martin/Chretien years.

#123 Sally Turner on 03.15.16 at 7:00 am

DELETED

#124 Ace Goodheart on 03.15.16 at 7:01 am

RE: “These are the days of a shared economy, when it’s cool to tax the wealthy until they squeal because the world’s become a place of inequality and unrequited expectations.”

Remember back in 2008, when the wealthy nearly caused a global depression. Tax payers paid to bail out the mess they made. I remember watching as the most wealthy people in the world, took other people’s taxes, paid themselves multi million dollar bonuses, as a reward for nearly destroying the global economy, and then flew off in their private jets to their private tropical islands.

What goes around, comes around. Not in the way people want or expect, and not even against the right people. But it does.

None of the few you mention, and largely mischaracterize, were even subject to the Canadian tax system. What a pile of emotional drivel. — Garth

#125 pBrasseur on 03.15.16 at 7:17 am

Of all the stupid moves this socialist government could make, hiking the capital gains tax would be by far the worse for this country!

At a time when private investment is severely lacking raising this tax will discourage the movement and reallocation of capital (except straight out of the country) and discourage investment. Why the hell should I take a risk on investing or work hard to raise asset’s value if the government which takes no risk at all gets much of the benefits?

It T2 goes there then you’ll know we are truly screwed!

#126 TurnerNation on 03.15.16 at 7:48 am

People refuse to believe there’s a plan under way. Yet each year out tax farm owners implement 1001 new laws. Why? What’s wrong with our way of life and who hates it?
Countries reshaped (say via forced settlement -canada and syria) or war or debt crisis or new laws. All computer simulated.
Strategies of tension, like germanic D. Trump are released upon us.
Media has fully been weaponized. Your mind is its target.

#127 Herb on 03.15.16 at 7:59 am

#110 BS,

if you’re making $200 K and paying 9 times as much as the average Joe, you are no wage slave, and better get a tax advisor to structure your affairs in accordance with Lord Winchester’s rule.

Why do you think the Income Tax Act weighs two pounds? Not to keep wage slaves in captivity, but to accommodate people who are not.

#128 Herb on 03.15.16 at 8:01 am

#114 Fortune 500,

they will have spent up to 35 years of their adult lives looking after people with your mindset and will have earned it!

#129 Herb on 03.15.16 at 8:11 am

#87 SM,

I think you should practice your twittering right here. 140 keystrokes of nonsense are sufficient in any medium.

#130 CHERRY BLOSSOM on 03.15.16 at 8:24 am

The Canadian socialist governments of past and present are making Canada the most unproductive country in the world. Case in point! I was an independent contractor making a lot of money I would take three to four jobs a year. My accountant told me I would keep more money in my jeans and pay way less taxes if I worked less and made less money. So I only did one job a year after that. So between the unions and the bleeding heart socialist government Canada is doomed. Seniors like myself have just given up in disgust.

#131 Ray Skunk on 03.15.16 at 8:28 am

#124

Absolute crock of shit.

In 2008 I grossed $64k. In 2016 I anticipate to gross anywhere between $180-$200k. I got here through applying myself, dedication and hard work. I refuse to join the RE insanity, instead attempting to build up my savings through an investment portfolio (and rely less on gov handouts in later life). No DB pension for me.

In terms of liquidity I am “comfortable”, but don’t hold a candle to some of the RE equity others are sitting on. According to the T2 brigade, I am wealthy and must be punished.

I am now finding myself looking at increased taxation across the board; with this talk of goosing capital gains and even a potential wealth tax down the line.

Please explain to me how I was somehow responsible for what happened in 2008 and why I deserve to be punished for it in this way.

#132 crowdedelevatorfartz on 03.15.16 at 8:35 am

@#29 Those about to flop
“Bum crumbs’
+++++++++++++++++++++++++++++++++++
Words now fail me…….

@#57 Sheane wallace
“A fart tax”
+++++++++++++++++++++++++++++++++++
A tax on FUN? Never!

#133 X on 03.15.16 at 9:09 am

Hard work and higher education should not be targets of further taxes……..they already pay more than their fair share.

Plus, more taxes for them, mean less pay for some of us who are employed by them……

#134 The Other Chris on 03.15.16 at 9:10 am

If these rumors are true, this budget will contain, by far, the most punitive set of tax changes in the last 30 years.

Anyone who is mobile should be looking for the exits at this point.

It’s particularly infuriating that they’re taking aim at private sector savers/workers across more than one axis (capital gains, stock options, elimination of income splitting, TFSA rollback, etc.) yet there’s absolutely nothing being done so that the public sector shares some of the burden. At least change the “factor of nine” pension adjustment rule to be something more realistic in an era of low interest rates.

#135 Mishuko on 03.15.16 at 9:19 am

Happy belated Garth!

Even on your birthday you give us a gift. You sir, are a stand up class act!

Thank you.

btw hope your furry squeeze is also doing well!

I won’t share that comment with Dorothy. — Garth

#136 Centre Wing on 03.15.16 at 9:37 am

Income splitting is bullshit. The government should stay out of bedrooms. Some people are in a relationship. Some people aren’t. Some have spouses that make money, others don’t. Taxes should be paid by individuals.
——–
Then don’t base benefits such as child benefit on household income! Double standard much?

#137 Barely Rich on 03.15.16 at 9:47 am

Thanks for the depressing summary Garth. As someone who earns $225K per year with a husband who has no income, and owns a house in a desirable neighbourhood in mid-town Toronto, I can tell you i don’t feel rich. I also happened to buy my house 7 years about for about half of what it is worth now and more and more looking for job opportunities south of the boarder seems worth considering. Oh and by the way you probably won’t be surprised that i didn’t vote for our sexy new PM… He just isn’t my type.

#138 TurnerNation on 03.15.16 at 9:51 am

Our only hope as a nation is Dollarama stock a run to $100. Load er up boys. T2 stores for, doctors and small business owners.

#139 Vampire Studies GMST 454 on 03.15.16 at 9:57 am

The hour change is tough on vampires…..

Re: 116 it should be $1000 bills, as that makes 250 notes to one inch of thickness, and the stack is 67 miles high

http://freakonomics.com/2011/07/22/a-stack-of-bills-reaching-to-the-moon-how-to-quantify-our-national-debt/

#140 Ace Goodheart on 03.15.16 at 10:12 am

RE: “None of the few you mention, and largely mischaracterize, were even subject to the Canadian tax system. What a pile of emotional drivel. — Garth”

Exactly. It goes around, and comes back around, to hurt the wrong people. And yes it’s entirely based on emotion. Who ever voted for someone based on intelligent or logical reasons (and what government ever acted that way?).

The goal of any action taken by any democratically elected government, at any time, is to get re-elected. Any benefit that results to the population being governed, is just a happy coincidence. Any harm done is collateral damage, completely unintended.

We have right now an “eat the rich” mentality which is becoming a strong movement at the street level. T2 is this movement’s poster boy. It is not a logical movement, it attacks the wrong people and it is based on emotional reasoning. But it would be wise to understand it and what it can do.

#141 Penny Henny on 03.15.16 at 10:18 am

Budget coming out next Tuesday and on Wednesday I’m scheduled for a colonoscopy. I hope the Doc is not so pissed off that he decides to stick it to me.

You’ll know if your tongue gets caught. — Garth

#142 LL on 03.15.16 at 10:26 am

…”The latest is that Ottawa’s about to boost the capital-gains lifetime exemption to $1 million (from the current inflation-adjusted $824,000).

In addition, as detailed here a few days ago, there’s talk of a hike in capital gains tax. Currently half of all profits earned on the sale of assets that have risen in value (from an investment condo to an ETF, stock, family cottage, mutual fund or apartment building) are free of tax with the other half taxed at your marginal rate. Soon that tax could apply to 60% or even 75%”…

I am confuse a bit.
Looks like we are having lifetime exemption on gain on capital ($824K) but we are having a tax on capital gain – 60%.

Have we a capital gain exemption or not? Or tax is different from capital gain?

Help..I would like to understand.

The exemption is only on the sale of a small business, farm or fishing operation. Gains on investments of all kinds are fully taxed. — Garth

#143 AfterTheHouseSold on 03.15.16 at 10:39 am

#131 Ray Skunk
“I refuse to join the RE insanity, instead attempting to build up my savings through an investment portfolio …”

Excellent post Ray Skunk. I completely understand your frustration. My two millennials have chosen the same path. They have modest income and are in catch up mode investing in their TFSA’s, buying one ETF per month.

They do this by paying themselves first, living below their means and, that other archaic term, delayed gratification. Our daughter lives in a modest walk up apt in a small satellite city outside TO, pays $800 per mth all in. These apts do exist. It’s all about choices.

For their diligence, they are about to have their gains taxed heavier and already had their TFSA contribution room reduced by their short-sighted-socialist-voting, up-to-their-eyeballs-mortgage-indebted peers.

These same mortgage-indebted, that can’t see their way clear to make use of the TFSA room, have no problem with the tax free capital gains on their house. To those who opt for tax free capital gains in a TFSA instead of a house, they say: If I can’t use it, screw you, you must be rich. No. They made other choices, and are being punished for it by their peers.

#144 LL on 03.15.16 at 10:51 am

http://blogues.lapresse.ca/lapresseaffaires/immobilier/2016/02/09/scandale-immobilier-en-colombie-britannique/

BC: Real Estate Fraudulent practices

Text in French but pictures explaining the scam are in English (probably English version available on the net).

This is another reason why BC RE prices are so high…

#145 JRH on 03.15.16 at 10:51 am

Why does the Canadian government pay OAS to people 65 and over to live and spend that taxpayer money to enrich the USA through the winter months? Money that they never saved, even with pogey, people paid into the program but, were not allowed to laze in the United States.

#146 sockeye sam on 03.15.16 at 11:08 am

Commuting to and from work by bell jet ranger chopper.

Did anyone see the story on Global yesterday? What a crock!
http://www.vancouversun.com/business/high+metro+vancouver+real+estate+buyers+commuting+helicopter/11782670/story.html

#147 LL on 03.15.16 at 11:11 am

http://www.theglobeandmail.com/news/investigations/the-real-estate-technique-fuelling-vancouvers-housing-market/article28634868/

English version..

Lots of $$ for the realtor and lots in saving Canadian tax for foreigners buyers!

#148 HD on 03.15.16 at 11:25 am

#131 Ray Skunk on 03.15.16 at 8:28 am

#124
Absolute crock of shit.

In 2008 I grossed $64k. In 2016 I anticipate to gross anywhere between $180-$200k. I got here through applying myself, dedication and hard work. I refuse to join the RE insanity, instead attempting to build up my savings through an investment portfolio (and rely less on gov handouts in later life). No DB pension for me.

————————

Grossed about 28k-30k in 2008 (I had just graduated from university). Grossed 110k in 2015. Never got into the RE mania and opted for the balanced portfolio approach instead.

For the record, I voted for JT and understand the frustration of some folks regarding the current structure of the tax system but it seems like people like Ray Skunk and myself are somehow caught in the crossfire.

What have we done wrong? Nothing as far as I can make out but individuals (dare I say successful people?) like myself need to be targeted apparently.

Life could be worse indeed but the situation does not seem fair.

Best,

HD

#149 LL on 03.15.16 at 11:26 am

The exemption is only on the sale of a small business, farm or fishing operation. Gains on investments of all kinds are fully taxed.

ah…I see…Thank’s Garth.

#150 Iconoclast on 03.15.16 at 11:30 am

#106
> A) I find it quite ironic that you chose to cast the PM’s
> embrace of technology in a negative light, given you
> yourself embraced new technology (blogging)

You’re comparing our hosts substantive, erudite, ascerbic, mildly-profane and gloriously hirsute blog against Mr. Selfie??

Sheesh! Some people.

#151 Sally Turner on 03.15.16 at 11:42 am

Truth hurts Gartho?

It hurts when you call immigrants filth. You are not welcome here, no matter how many aliases you employ. — Garth

#152 Randis on 03.15.16 at 11:47 am

Government promises to redistribute wealth, penalizes the hard working successful achievers and reward the ones who don’t have enough.

Almost sounds like communism to me.

#153 Noel on 03.15.16 at 12:15 pm

Your silly partisanism is a big distractor from your good financial advice. You should stick to what you’re good at, and it ain’t rational political analysis.

I sat in the House of Commons for nine years, was a cabinet minister, federal leadership candidate, committee chair and policy advisor. And you? — Garth

#154 boonerator on 03.15.16 at 12:18 pm

Looks like Victoria and Kelowna RE is feeling the effect of HMM (Hot Millennial Money). After those two cities prices blow up, look out Spuzzum.

http://business.financialpost.com/personal-finance/mortgages-real-estate/millennials-fleeing-vancouver-for-cities-with-more-affordable-housing-threatening-citys-tech-economy

#155 What goes around on 03.15.16 at 12:20 pm

Years upon years of policies created by the ultra wealthy lobby groups have led to levels of wealth concentration resembling the early 19th century or modern banana republics. The much maligned and persecuted wealthy have no one to blame but themselves for how this has backfired. The next time they kill labour, gut social services, and slash upper income taxes, maybe remember that eventually people get pissed off and reactionary, for better or for worse.

#156 ARWNCO on 03.15.16 at 12:35 pm

Garth, during the workday I basically open a tab every 15 minutes, type “www.gr” (which is enough for the autofill) and hit enter. When I see that it’s the same post from last time I checked, I close the tab.

My life doesn’t have meaning any more Garth. I just check your blog and listlessly scroll up and down it like dog pawing at the window. My spendy friend bought a few years ago at what I figured was the “top” of the bubble and might make 50% if he sells. I can’t take it anymore man. I can’t.

#157 Noel on 03.15.16 at 12:38 pm

I sat in the House of Commons for nine years, was a cabinet minister, federal leadership candidate, committee chair and policy advisor. And you? — Garth

_____________________________

Touche.

So lets hear a better proposal for how the gov’t should set up tax brackets since you think the current changes are being done poorly.

#158 zudnic on 03.15.16 at 12:47 pm

My Dad is one day older, happy birthday Mr. Turner.

Way back in the 1980’s. I started paying income tax at age 11, my younger brother was also paying income tax, as was my older brother. We owned an aviation company with two planes. O.k. technically this was my Dads hobby, but we needed the write off!

I won’t say more because it could trigger an audit. Needless to say, you can say income spitting. Yes, partially, but I also got to keep a lot of it. I’ve never had a real job in my life. In fact I’ve never worked, other then mowing my own lawn!

Just like the last time it went from conservative to liberal scum stealing thieves. Back in 93 we just moved to Paradise Valley, AZ. Better weather. Back then if you had no Canadian assets, ie. sold your house, which we did. Tax free money. You paid no Canadian income tax on global income. Now its a little harder, but you still can escape the Canadian tax system for a tax treaty country.

The liberals just like the liberal scum back in 93, they’ll just create a wealth and brain drain! I’m already planning my move!

#159 JAM on 03.15.16 at 12:47 pm

I always thought that it was the welfare folks who were feeling entitled. Apparently, the high flyers feel entitled also. Entitled to beig able to find places to hide money and reduce their tax burden. Bottom line is that if you take away 10, 20, 30 or 40% of a high flyers money he/she would still be well above the poverty line, let ablone being well above those who are currently living beneath the poverty line.

T2 is causing me some concern right now becuase, as we all know, there are always ways around things, leaving the burden to bear on the low flyers.

At least we should give it up to T2 for trying to balance things out a bit. Anyone who cannot see that there is an imbalance is not looking or does not care or is literally blind ….

Let’s accept that we live in a society that requires funding that benefits all. Isn’t it odd that people who have a lot can say to people who have little that you shuld pay your own way this is fair? Odd that they should say that while being ahead of the pack. Is it fair that someone working three jobs in a wealthy contry like Canada is having a hard time making ends meet?

Let’s be fair! Let’s recognize that the greatness in Canada came from things like national health care, taxation that built roads and such for all to benefit from and enjoy.

Give T2 a chance. If the taxes benefit us all, it will be a good thing.

If over-taxation reduces ambition or diminishes investment capital, it will be a bad thing. — Garth

#160 DW on 03.15.16 at 12:53 pm

Re: ARWNCO
I don’t think Garth is telling us not to buy, he’s raising awareness that investing all of your asset into a single investment has extremely high risk (especially when the asset is valuated way past fundamentals).

Unfortunately no one can ever time the market. Just understand when you go to bed every night you may not be winning all of your bets today compared to your friends, but you are not putting your family’s assets at extreme risk either.

#161 TurnerNation on 03.15.16 at 1:11 pm

Next few years will be hellish. Overall theme is crackdown on movement, concentration in cities. New laws upon laws.

Toronto moving ahead with tolls on highways.

What of our prop. Tax for roads.
50% of gas’ s price is taxation. Tire tax. Air conditioning tax. License plate fee. Environmental fee. Carbon tax.

We must pay for this 2nd world country of graft.

#162 JimB on 03.15.16 at 1:19 pm

You’re absolutely right, Garth. Everyone who makes more money than the average working stiff (aka “loser”) is SUCCESSFUL and an ACHIEVER. I keep forgetting to genuflect every time I pass a hedge fund manager while walking down Bay Street. (Oops, sorry, we’re only talking about our family doctors here. Nice deflection.)

Actually successful people come in a variety of professions, many of them related to sales. They almost all have a better attitude than you, however. — Garth

#163 cramar on 03.15.16 at 1:19 pm

#143 AfterTheHouseSold on 03.15.16 at 10:39 am

“I completely understand your frustration. My two millennials have chosen the same path. They have modest income and are in catch up mode investing in their TFSA’s, buying one ETF per month.

They do this by paying themselves first, living below their means and, that other archaic term, delayed gratification. Our daughter lives in a modest walk up apt in a small satellite city outside TO, pays $800 per mth all in. These apts do exist. It’s all about choices.

For their diligence, they are about to have their gains taxed heavier and already had their TFSA contribution room reduced by their short-sighted-socialist-voting, up-to-their-eyeballs-mortgage-indebted peers.”

——————-

Congratulations! It sounds like you have raised two fine offspring who have a lot of financial common sense.

Any changes the Libs make that could impact them should be relatively minor. I am wishing you success in convincing them to stay the course, and continue down the path they are travelling without being deflected.

The gov’t. might throw more obstacles in their path. Society pressure might increase trying to derail them with temptations from the dark side (debt). But if they stay on track, when this house-of-cards starts to collapse, they will be in much better shape to weather the storm than those around them.

Wishing you all the best for you and your offspring.

#164 Russ on 03.15.16 at 1:30 pm

Frank on 03.15.16 at 2:31 am
Income splitting is bullshit. The government should stay out of bedrooms. Some people are in a relationship. Some people aren’t. Some have spouses that make money, others don’t. Taxes should be paid by individuals.
=====================

Let’s be frank.
If we’re going to have simple tax law as you propose then let’s get started.

But Federal common and Tax Law is not simple. To wit, all through my working life the wife gets 1/2 of all accumulation through the marriage contract. So fed law says she’s entitled to half on breakup why is she not entitled to half for income purposes?

The tax law I have lived with the past 30+ years is anything but fair when viewed in the context of greater Federal Law.

#165 zudnic on 03.15.16 at 1:34 pm

My opinion on immigrants. First if I invest in real estate, its farm land. Farm land is always over looked and goes up with inflation. Doing so I’ve met a lot of immigrants South Asian and in the U.S. Mexicans. Oh Mexicans hate being called Hispanic. My Father has worked in corporate finance for over 40 years. He had an office in Chinatown. We know a lot of Chinese. In fact my sister in law is Chinese, born and raised in Hong Kong.

I have no problem with immigrants. The vast majority, despite the foolish multicultural BS, become just like us. In fact I have a Sikh friend who describes himself as anglo in a brown suit. You’d be surprised to see how many Sikh and Hindu families that do Christmas. They don’t do the Christian Jesus type, but they celebrate family, values, etc. Some even have traditional Christmas diners! Funny, thing I know Mexican’s first generation Americans, they also describe themselves as a white guy in a brown suit.

I do however have a problem with financial immigration, even though I do it myself. But at least when I do it. I actually live in the place I’m protecting wealth in. Canada has a large number buying up real estate and not living here. They are pushing up the cost of living even higher then it normally is. That’s bad immigration policy.

#166 For those about to flop... on 03.15.16 at 1:37 pm

Tomorrow I will visit another country.
This is how most likely it will go…
I will catch a taxi to the airport approximately 1.5 hrs before my flight.
I will state my surname ,show my passport,go through a screening and sit on my bum for a couple of hours.
If I get hungry, I wil have multiple options even if it is overpriced crap.Open arrival I will catch a taxi to my downtown hotel.

This is what a lot of other people will be doing tomorrow to “visit ” another country…
Wake up on the floor of a train station,try to find a bread kitchen or scrounge through garbage cans to find food to feed their families.
Find out if the government of the country They’re in will be running a train to pass their problems onto the next one or have to walk through the countryside hungry and sore to be held up at the next border not knowing where their next meal is coming from or where they are sleeping that night.

I am going on a budget holiday ,because that is all I can afford ,yet I am better off than 3/4 of the worlds population…I can’t complain, just have to be grateful for what I have…

M41BC

#167 hope & ruin on 03.15.16 at 1:38 pm

#114 Fortune500 on 03.15.16 at 1:18 am
In my 30s circle of peers the only ones ‘winning’ at life are working for the government. Guaranteed multi-millionaire pensioners all of them. They thank you for your massive contributions. Now look over there! A doctor! Get’m
____________________________________

Yep. Agree with that. Not to mention the internal brain drain this situation has created. A couple of the most productive, industrious young men I know, now work for the public sector. They’d be stupid not too. Six figure pay cheques. Free time in the evenings. Low stress. But the situation is starving the private sector of it’s innovators and industrialists.

#168 tundra pete on 03.15.16 at 2:07 pm

#68 Marco Polo

Harper Haters? Didn’t he do that himself? An Economist? You sure about that after a $168 Billion more in defecit legacy?

Harper’s boneheaded dictatorial media blocking Stasi Government is what did him in.

Trudeau has done in 8 weeks what Harper was unable to do in 8 years. Good riddance to that menace.

Perhaps you would be better off taking up sex with your partner or yourself than trying to justify a loser.

#169 understood by few on 03.15.16 at 2:21 pm

#130 CHERRY BLOSSOM on 03.15.16 at 8:24 am
My accountant told me I would keep more money in my jeans and pay way less taxes if I worked less and made less money.

————–
Either you are a liar or you have a crappy accountant. The more you make the more you make. Period. They may take more of the next dollar but there’s no crossover in brackets where jumping into the next bracket results in less take home pay.

This is simple stuff, but a common misconception (heck my wife believed that), which leads me to believe you are making up a story. Any “accountant” that would claim that should have their letters pulled, but I’m guessing you are putting words into a non-existent accountant’s mouth.

I’m with Ray Skunk and HD. Very similar situation. I’ve have to look at previous returns but I was in the 50-60K range in 2008. Was living pretty well off that too (paid-for reliable vehicle, paid-for used Harley, always met rent and always had beer money). Modest lifestyle but my needs and wants were met. I thought the amount of tax I was paying was fair (~16% avg).. around 8-9K.

Now that I’m making over 100K I’m paying a lot more in tax. Enough that I care how much I’m paying. Why should it be more than double what I paid when I made 50K? If I make double, instead of paying twice as much (enough to support my services and someone else’s) I have to pay for myself and 2 others? If I make 200k I have to pay for myself and 7-8 others? Someone making 4x your wage should pay 9x the tax?! That’s fair?

If my buddies tried to pull that when going out for beer I’d laugh in their faces. Maybe I’ll buy a round or two if I’m feeling gregarious, but you better come prepared to buy your own beer. Of course my friends have self respect and would never expect handouts (half of which are millennials!).

Of course your average person forgets that the gov’t services they use cost money. They want every benefit under the sun, but scoff at paying for what they use. Instead the “rich” (which consume less public services due to opting for private services) should pay for most of it for all citizens, because they have more. The majority decide on the services, but don’t have to stomach the full bill. Like ordering lobster when you’re out with your rich friend. You wouldn’t on your own, but it’s ok when someone else is footing the bill.

Legalize weed and tax it. Currently most of the weed industry is illegal and goes untaxed. The bit that is taxed is only taxed as business revenue, not like liquor/tobacco as it should be. Raise taxes on luxury items (consumption tax). I’m willing to pay extra on things I don’t need but want. Things your average person can’t afford (or shouldn’t be buying, but do anyhow with credit). Maybe it’ll tame some consumer debt spending. Lol. Yeah right. Nice thought though.

#170 JimB on 03.15.16 at 2:25 pm

Not sure why I’m wasting my time trying to change Garth’s mind, but here goes…

Forbes magazine’s most recent “Best Countries for Business” list:

1. Denmark
2. New Zealand
3. Norway
4. Ireland
5. Sweden
6. Finland
7. Canada
8. Singapore
9. Netherlands
10. United Kingdom

It hardly needs to be pointed out that five of the Top 10 (Denmark, Norway, Sweden, Finland, Netherlands), not to mention poor, blind, hopeless Canada, qualify as “socialist nightmare states” in the jargon of Garth’s peers (if not in Garth’s per se) with their job-destroying, achiever-hating Trotskyist policies. Of course, the story goes beyond the simplistic high taxes versus low taxes meme, but that’s what Garth seems to obfuscate on a regular basis. Raise taxes on “successful achievers” and see your economy go down the drain. OK, Garth. Maybe. But show us the data. Give us some evidence. Don’t just keep saying it over and over again.

Tearing others down does not build you up. That’s all you need remember. — Garth

#171 JimB on 03.15.16 at 2:29 pm

#161 “Actually successful people come in a variety of professions, many of them related to sales. They almost all have a better attitude than you, however.”

Not considering high income earners somehow better than the rest of us means I have a bad attitude? Really, Garth, I expect better from you.

Not at all. Your comments just reeked of jealousy. — Garth

#172 The Other Chris on 03.15.16 at 2:35 pm

The problem with taxes in Canada is that high marginal rates come too early, which really exacerbates the unfairness of not being able to file jointly with your spouse.

For example, you hit the 46.41% (fed+prov) marginal rate in Ontario at just $140k of income. If your spouse doesn’t work, the taxes you pay are hugely different compared to a family with two $70k income earners. And it does seem punitive and unfair. Even I can see that, and I don’t make anywhere near $140k.

(These marginal rates also probably seem ludicrous to a lot of US readers… imagine the uproar in the US if you hit a marginal rate of 46.41% at the equivalent of about $100k USD of income. And then someone comes along and starts talking about taxing long term capital gains at 34.8% (i.e., 75% inclusion)… there would be open revolt.)

But the problem is there aren’t that many wealthy Canadians, and we have a very expensive government, so we’re stuck with high marginal rates that hit relatively early.

#173 NoName on 03.15.16 at 2:47 pm

Interesting
http://stocktwits.com/davidmoadel/message/51054214

#174 Mr. Frugal on 03.15.16 at 2:51 pm

Doesn’t it seem kind of odd that we bring in 50,000 new Canadians and give them free stuff and at the same time we can’t pay our bills. Clearly virtue signaling is more important that fiscal responsibility.

#175 Mark on 03.15.16 at 2:52 pm

“Yep. Agree with that. Not to mention the internal brain drain this situation has created. A couple of the most productive, industrious young men I know, now work for the public sector. They’d be stupid not too. Six figure pay cheques. Free time in the evenings. Low stress. But the situation is starving the private sector of it’s innovators and industrialists.”

I’ve been saying this for years. Its gotten so bad that, at least out of my graduating class, the bottom half found employment, significantly with government, with ease. While the top half, particularly the top quartile, is still struggling even to this day, either unemployed or significantly underemployed in the private sector. The public sector managers who did (and still do) the hiring looked for mediocrity as a character trait (good for retention apparently), while telling us in the top half that we were “too good” for the public sector. The top half would have ordinarily been snapped up by the tech and/or IT sector, but most of us know that hiring of Canadians has substantially collapsed in Canada and the US as well (TN visa issuance is a mere fraction of the past!).

I’d like to think that, at some point, there will be a private sector revival so vigorous that its essentially “payback time”. But the damage such has inflicted upon us has been extreme. Some troll might say, “well just go get a job in the public sector”. The problem with that is that the public sector HR people have conspired with their existing staff to not only place ridiculous barriers to recruitment that protect their own (ie: demands for excessive ‘experience’, non-recognition of on-the-job skillsets, etc.), but also overly rigid salary tables which basically force people to “start at the bottom” with no recognition of the widely different aptitudes and abilities people even within their professions bring.

#176 Ole Doberman on 03.15.16 at 2:52 pm

What a devastating decent in Valeant Pharma today – this could become the new Nortel moment.

Hope Canadian RE doesn’t end up like this – NOT!

#177 JimB on 03.15.16 at 2:57 pm

#130 Cherry Blossom

“My accountant told me I would keep more money in my jeans and pay way less taxes if I worked less and made less money.”

To echo “understood by few” (#167) okay, either (a) you’ve got the worst accountant in history, (b) you were in the higher-than-100% tax bracket in whatever imaginary country you’re citing, or (c) you’re lying. Know where I’d vote.

#178 Tony on 03.15.16 at 3:04 pm

If they increase taxes on capital gains I hope they come up with a “valuation day” like has always been the case in the past.

The exclusion rate will simply drop. — Garth

#179 For thou about to flop... on 03.15.16 at 3:31 pm

Mark at 173

I’d like to think that, at some point, there will be a private sector revival so vigorous that its essentially “payback time”. But the damage such has inflicted upon us has been extreme. Some troll might say, “well just go get a job in the public sector”. The problem with that is that the public sector HR people have conspired with their existing staff to not only place ridiculous barriers to recruitment that protect their own (ie: demands for excessive ‘experience’, non-recognition of on-the-job skillsets, etc.), but also overly rigid salary tables which basically force people to “start at the bottom” with no recognition of the widely different aptitudes and abilities people even within their professions bring.

////////////////////////////////

When I am at work ,I think about all the things I’d like to be doing with my time but for one reason or another I know I will be there tomorrow putting in another shift.

If I want to do something different I have to take a pay cut and possibly go into debt.

My point is a lot of us have two paths employment wise,the one we have that pays the bills but is rough on the soul or the dream of doing what you love but suffering financially for it( not always the case)

Your Landlord/ bank / phone company etc doesn’t care where you pull the money from only you do.

I am one of the lowest earners on this blog ,yet at the moment I am self employed and doing my current job because it is the most money I can get in this city at this time.

It is good to dream,but dreaming dosen’t pay the bills.
You seem to waste a lot of time dreaming what could have been instead of finding a way to make a living.

I have a trade certificate I spent 4 years of my life to get in Australia,number of times anyone has asked to see it in Canada…Zero.
People want to see what I can do instead of talking about it,I guess that is a difference between blue collar and white collar jobs.
In the blue collar world talk is cheap ,roll up your sleeves and show us what you got…

M41BC

#180 Unhinged Loon on 03.15.16 at 3:36 pm

TRUMP TRUMP TRUMP TRUMP

#181 TurnerNation on 03.15.16 at 3:38 pm

Canine in today’s photo may be one Buster Reeko.

#182 For those about to flop... on 03.15.16 at 3:41 pm

Mark at 173

I’d like to think that, at some point, there will be a private sector revival so vigorous that its essentially “payback time”. But the damage such has inflicted upon us has been extreme. Some troll might say, “well just go get a job in the public sector”. The problem with that is that the public sector HR people have conspired with their existing staff to not only place ridiculous barriers to recruitment that protect their own (ie: demands for excessive ‘experience’, non-recognition of on-the-job skillsets, etc.), but also overly rigid salary tables which basically force people to “start at the bottom” with no recognition of the widely different aptitudes and abilities people even within their professions bring.

////////////////////////////////

When I am at work ,I think about all the things I’d like to be doing with my time but for one reason or another I know I will be there tomorrow putting in another shift.

If I want to do something different I have to take a pay cut and possibly go into debt.

My point is a lot of us have two paths employment wise,the one we have that pays the bills but is rough on the soul or the dream of doing what you love but suffering financially for it( not always the case)

Your Landlord/ bank / phone company etc doesn’t care where you pull the money from only you do.

I am one of the lowest earners on this blog ,yet at the moment I am self employed and doing my current job because it is the most money I can get in this city at this time.

It is good to dream,but dreaming dosen’t pay the bills.
You seem to waste a lot of time dreaming what could have been instead of finding a way to make a living.

I have a trade certificate I spent 4 years of my life to get in Australia,number of times anyone has asked to see it in Canada…Zero.
People want to see what I can do instead of talking about it,I guess that is a difference between blue collar and white collar jobs.
In the blue collar world talk is cheap ,roll up your sleeves and show us what you got…

M41BC

#183 Happy St. Paddy's week!! on 03.15.16 at 3:42 pm

#168 JimB on 03.15.16 at 2:25 pm

with their job-destroying, achiever-hating Trotskyist policies. Of course, the story goes beyond the simplistic high taxes versus low taxes meme, but that’s what Garth seems to obfuscate on a regular basis. Raise taxes on “successful achievers” and see your economy go down the drain

whoaa. ease up on the rhetoric there JimBeam. Your list needs some context to go beyond the simplistic high taxes vs low taxes meme. Ireland makes that list because it has slashed corporate taxes to the bone and places the tax burden on ALL of it’s citizens.

Corporation taxes in Ireland are at 12.5% to help them compete with german manufacturers. Which the Germans aren’t too happy about. Source:

http://businessetc.thejournal.ie/eu-minimum-tax-rate-ireland-2125341-May2015/

Instead it has a 40% tax rate on any income over EUR43k (~$65k CAD). You need to be up to $90k a year in Canada to get taxed like that. Never mind the cost of basics like fuel and groceries over there. I wonder why they have a brain drain problem? Not sure I would call that a break for the middle class though.

On the flip side. Corporations are not punished for having citizens that demand a lot of social services. Not exactly the rhetoric we have in Canada. We want socialism and we want everyone else to pay for it.

Maybe the Canadian middle class should accept a serious tax hike to pay for all the services we demand. Then we would see how many people vote liberal.

#184 understood by few on 03.15.16 at 3:45 pm

#170 The Other Chris on 03.15.16 at 2:35 pm

But the problem is there aren’t that many wealthy Canadians, and we have a very expensive government, so we’re stuck with high marginal rates that hit relatively early.

—————
This.

Most Canadians want to have their cake and eat it too. The T2 solution is to eat the “rich”. Problem is we don’t have enough rich people in Canada.

Canada’s top earners:

Top 1 per cent: income of at least $222,000. A total of 264,030 tax-filers earned that amount or more in 2013,
Top 5 per cent: income of at least $115,700,
Top 10 per cent: income of at least $89,200.

In the US 200K (USD) only puts you in the top 5%.

222K CAD is currently 166K USD. So more like the top 8% of US earners (i.e. not rich).

People are so caught up in the term 1%er, but in Canada a 1%er isn’t the same thing. The majority of wealth in Canada is held by an even smaller % of the population.

#185 Reasonfirst on 03.15.16 at 4:17 pm

Garth, we said goodbye to our dog a few months ago and was planning on taking a dog break but pics like that make it hard for me to resist getting a new one. (for a dog in general, not the bum licking part…really!)

A day without a dog is a day incomplete. — Garth

#186 The Other Chris on 03.15.16 at 4:19 pm

@181 understood by few on 03.15.16 at 3:45 pm

Exactly. When people say “just tax the top 5% to pay for it”, people think the targets will be people somewhere living it large. But in Canada what taxing the top 5% means is taxing people with incomes over $115k. i.e., People who are somewhat comfortable, but by no means wealthy.

As more and more of the civil service and the broader public sector move into that top 5%, especially after pension accruals are taken into account, the government will have no choice but to crank up taxation at those income levels.

#187 Retired Boomer WI on 03.15.16 at 4:24 pm

#164 FOR THOSE WHO ARE ABOUT TO FLOP…

Well said… And enjoy your visit. Are you by chance visiting us here in the crazy yet desirable US?

Be prepared for endless primary voting stuff as Tuesday is another multiple state primary election. This stuff gets tedious, but…. beats most other forms. Enjoy your visit!!

On other matters… Yes, Canadian TAXES do seem a bit “HIGH” but, I am measuring them by US standards, not the standards of say Norway, Denmark, the UK, Sweden other nations who provide the services (health & social) closer to the Canadian standard.

When compared in that light, are you overtaxed?

How would you plan to lessen the services provided to also reduce the tax burden?

Seems you can’t have one without the other.

#188 Retired Boomer WI on 03.15.16 at 4:35 pm

Valiant Pharmaceuticals fell out of bed today.

Good, they can do the same tomorrow, as their practices leaves me totally cold.

Business needs fewer parasites, and more creative innovators not preying on the backs of the ill.

#189 Vundo on 03.15.16 at 4:51 pm

Question about capital gains tax exclusion: if less of the profit is exempt from taxation when it goes up, then does it work the other way too? Would lowering the exclusion mean that more losses can be claimed?

One would hope so. — Garth

#190 For those about to flop... on 03.15.16 at 4:59 pm

#164 FOR THOSE WHO ARE ABOUT TO FLOP…

Well said… And enjoy your visit. Are you by chance visiting us here in the crazy yet desirable US?

Be prepared for endless primary voting stuff as Tuesday is another multiple state primary election. This stuff gets tedious, but…. beats most other forms. Enjoy your visit!!

////////////////////////////////

Hey Boom ,yeah you guys will have to tolerate my Southern Hemisphere sense of humour for a week or so.

I was always told that March Madness was a basketball tournament but this year it seems it will be a political tournament with ridiculous theatre.

I mentioned it on the blog a few times but I think you were defrosting in Florida at the time,that I am visiting New Mexico for the first time as I always wanted to go to Santa Fe although we will probably spend most of our time in Albuquerque.

I enjoy seeing big city America but my true travel love is for places like Savannah,Charlston and St Augustine.
Shiny skylines are great for photos but I like history and culture the best.

WUL gave me a few tips including taking a jacket, but this year has been really hot there which is why we choose to go now.

This will be around my 15th state but I haven’t done much out your way but I hope to get out there one day with my campervan.

I will go anywhere twice,even if the second time is to say sorry for misbehaving…

M41BC

#191 The Other Chris on 03.15.16 at 5:04 pm

@184 Retired Boomer WI on 03.15.16 at 4:24 pm

On other matters… Yes, Canadian TAXES do seem a bit “HIGH” but, I am measuring them by US standards, not the standards of say Norway, Denmark, the UK, Sweden other nations who provide the services (health & social) closer to the Canadian standard.

Actually, income taxes are lower in Norway (top marginal rate of 46.9%) and the UK (top marginal rate 45%), and a little lower in Denmark (top marginal rate of 51.95%). Of those countries you list, only Sweden has a higher top marginal rate. (And until New Brunswick rolled back their top bracket two months ago, New Brunswick was only 1.4% off Sweden.)

Basically, we’re already heavily taxed by any measure, even measured against the European social democracies.

Granted, our HST is lower than some of those countries, but I think we all realize that an HST increase is probably on Trudeau’s list sooner than later.

#192 Mr. Bubble on 03.15.16 at 5:07 pm

if someone paid 100k for a house in 1985 in leaside and sells today for one million, that would be a tax on inflation, calling it profit is Orwellian Newspeak. The same inflation, which is built into the banking system, is already taxed with MVA…

#193 JimB on 03.15.16 at 5:20 pm

#168 “Tearing others down does not build you up.”
#169 “Your comments just reeked of jealousy.”

Please, Garth….

Advocating somewhat higher taxation on higher income earners (as many successful countries do; look again at the list, if you even did so the first time around) does not mean wanting to “tear them down” (whatever the heck that means).

And regarding “jealousy” toward the “successful achievers” you’ve convinced yourself is at the root of any “progressive” (AKA Marxist) ideas about tax policy, perhaps you could ponder these words of the most recent Nobel laureate in economics, Angus Deaton: “To worry about the consequences of extreme inequality has nothing to do with being envious of the rich and everything to with the fear that rapidly growing top incomes are a threat to the wellbeing of everyone else.”

#194 Ry YYZ on 03.15.16 at 5:33 pm

#155 What goes around on 03.15.16 at 12:20 pm

You’re right, it is the ultra-wealthy who really run the world (and this country) who have been behind the policies that have hurt the average person in this country, and even many of the above-average earners.

And it is those same ultra-wealthy (and powerful) who ultimately pull the strings behind the scenes in all our western governments (to a greater or lesser extent), regardless of the party in power. Notice how, for example, the Liberals are keeping right on with signing Canada onto the TPP, even though it contains many rather frightening provisions.

I don’t think reasonably well-off professionals in this (or other) countries are responsible for much of this, any more than the rest of us who bought into the globalization/free trade rhetoric that we were sold. But as I say, it doesn’t even matter who we elect or have elected, because ultimately the Liberals and the PCs/Cons have been following pretty much the same playbook in regards to globalization.

And even our politicians have only limited control/influence on the forces of globalization and free trade. There has been a huge change in the world in terms of where the technological and manufacturing bases are, and I’m not sure that any national policies, unless coordinated between countries, could have done much about it. Of course, there has been coordination between nations, mostly in promoting globalization.

#195 Mr. Frugal on 03.15.16 at 5:37 pm

#190 JimB on 03.15.16 at 5:20 pm

——————————————————

So what you are saying is that we should eliminate inequality by taxing the rich to the point where they are no longer rich.

#196 Bobs ur uncle on 03.15.16 at 5:37 pm

#184 Retired Boomer WI on 03.15.16 at 4:24 pm

“How would you plan to lessen the services provided to also reduce the tax burden?

Seems you can’t have one without the other.”

Thank you for another thoughtful comment. Maybe being south of the border allows you to provide a POV that is not emotionally tied to one side or the other.

Most comments here could use more rational analysis, less emotional ranting.

#197 Jim B on 03.15.16 at 5:52 pm

#192 Mr. Frugal

Gee, okay, if that’s what you want to pretend you think I’m saying, then sure, whatever. I can see that nuanced argument will be lost on you, with your “all or nothing” mentality, so I won’t bother.

#198 CanMex on 03.15.16 at 8:33 pm

#18 No, the failure to extend the Canadian border to the Columbia River was entirely the fault of the British Gov’t, which had little or no interest in those days in any tough negotiations with the USA over a tract of what was then mostly trapped-out beaver meadows. Come to think of it, little has changed (not the beaver meadows; the attitude).

#199 Chris on 03.15.16 at 10:08 pm

There are things an activist government could be doing to make life more hopeful for everyone. Calling people out for being achievers ain’t one of them.

So Garth, apparently everything being proposed is wrong by your standards – so what would you do…or have you nothing better to offer than calling other people out…

#200 Victoria Real Estate Update on 03.16.16 at 1:02 am

do not post

. . . . . . . Single Family Home Prices. . . . . . . . .
. Percent Above/Below March 2010 Price Level. .
. . . . . .x = Toronto, * = Saanich East. . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
+25%. . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . x. . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
+20% . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
+15%. . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . .x. . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
+10% . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
+ 5%. . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
….0%. . . x*. . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
– 5%. . . . . . . . . . . . . . . . *. . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
-10%. . . . . . . . . . . . . . . . . . . . . . . . . *. . .
——————————————————————————
. . . . . . March. . . . . . . March. . . . .December.
. . . . . . .2010. . . . . . .. 2012. . . . . . .2013. . .

(sources: indices of Victoria’s R/E board, Toronto’s R/E board)

#201 Okanagan Man on 03.16.16 at 11:32 am

vreu #200….for the love of God, please stop with posting mean nothing graphs. Who really cares as to comparison of real estate in Victoria and Toronto between 2010 and 2013. It means squat with respect to 2016