Mad Math: Income-splitting meets Don Draper
Jennifer Robson / iPolitics.ca
In The National Post, Tasha Kheriddin critiques a recent study on income splitting by Tristat Resources for The Broadbent Institute. Kheriddin argues that income-splitting is just a matter of establishing fairness between families with kids and those without.Read more
Income splitting can make our tax system fair for taxpayers with young children
Tasha Kheiriddin / National Post
The issue of income-splitting — a tax policy whereby income is reattributed within a household from a higher-earning spouse to a lower-earning spouse — has been front of mind among tax experts, federal Conservative ministers and, most recently, the left-leaning Broadbent Institute. The practice advantages households in which income is predominantly earned by one spouse, since it allows a taxpayer in a high tax bracket to attribute income to a partner who pays at a lower marginal rate (or who earns nothing at all).Read more
Face the facts
Editorial / The St. John's Telegram
If you don’t have the facts, it makes it that much easier to simply apply your own ideology. But it doesn’t mean good results are on the way for everyone involved.Read more
Who wins with income splitting?
If Stephen Harper’s goal was to design a tax policy to make income inequality in this country even worse, he can pat himself on the back. That’s exactly what the Conservatives’ family income-splitting tax scheme will do.
Research from various organizations across the political spectrum has demonstrated already that this tax policy, projected to cost the federal treasury $3 billion in 2015, would be an expensive and inequitable tax giveaway.Read more
Opposition push income splitting motion on Tories
Annie Bergeron-Oliver / iPolitics.ca
The government’s commitment to a controversial election promise will be tested Tuesday when the Opposition forces a vote on a motion opposing income splitting.Read more
Income splitting benefits flow to west: study
Julian Beltrame / Canadian Press
Employment Minister Jason Kenney says the Harper government has no intention of backing away from its income splitting pledge, despite a new report concluding the plan would exacerbate income inequality and bestow the most benefits to the West.Read more
Most Canadians wouldn't benefit from income splitting
Jessica Hume / Toronto Sun
The NDP used its last opposition day this session to rail against the government's proposal to allow income splitting, saying it would help too few Canadians and not those most in need.Read more
Quebec a sign that federalism works
The run up to the recent Quebec election prompted a revival of the argument that only federal transfers keep that fiscally-challenged province afloat. For example, Mark Milke of the Fraser Institute argued in the National Post that Quebec is “massively subsidized by the rest of Canada.”
This argument is hugely over-done. And it contradicts a more effective and positive argument for federalism, namely that it has been no barrier to the construction of a distinctive and progressive social model in Quebec.Read more
Take a closer look: the (real) state of the Canadian middle class
A widely-reported study by the New York Times shows that middle-class Canadians now have higher after-tax incomes than middle-class Americans, and that Canadian middle-class incomes, adjusted for inflation, have been rising significantly over the past decade.
The facts cited in the original article are not in dispute. The median per-person income in the United States (half earn more and half earn less) has stagnated for the past decade, and the income share of the top 1% in that country has continued to rise to record-high levels.
But this does not mean, as the Harper Conservatives and right-wing pundits have been quick to claim, that all is well with the Canadian middle class.Read more
Maclean's: which way forward for progressives?
Aaron Wherry / Maclean's
At one point last Saturday afternoon in the main ballroom of the Delta hotel in downtown Ottawa, epicentre for the Broadbent Institute’s first annual Progress Summit, Alex Himelfarb, a former clerk of the privy council and now co-editor of a book entitled Tax Is Not a Four-Letter Word, recalled being at a dinner party and wondering aloud about “how nice” it would be to have universal daycare in this country.Read more