Canadian Prime Minister Justin Trudeau The U.S. government announced Tuesday it is imposing higher taxes on the wealthiest Canadians as part of the federal budget.
The Budget proposes to increase the capital gains inclusion rate, which relates to the taxable portion of profits realized from the sale of assets.
The taxable portion of capital gains exceeding C$250,000 ($181,000) will increase from half to two-thirds, which the federal government says will affect only 0.1% of Canadians and generate nearly C$20 billion ($14.5 billion). US dollars) income for five years. .
“I know there will be many voices of protest. Nobody likes paying more taxes, even—or perhaps especially—those who can afford it the most.” This was stated by Finance Minister Chrystia Freeland.
“But before they complain too bitterly, I would like the one percent of Canada’s population—0.1% of Canada—to think about this question: What kind of Canada do you want to live in?”
Freeland unveiled a federal budget that included C$53 billion ($38 billion) in new spending that she said focused on economic justice for younger generations.
Freeland denied that her latest budget was primarily a political exercise, but nonetheless acknowledged that it is “simply harder for anyone under 40 to establish themselves” in Canada than it was for previous generations.
Freeland presented a budget that she said caps the federal deficit at C$40 billion ($29 billion).
Trudeau’s Liberal government is lagging far behind in the polls amid concerns about the cost of living in Canada.
“This budget will do little to improve the Liberal prospects. They are going to fail and they know it,” said Nelson Wiseman, a political science professor at the University of Toronto. “Their only hope is if Justin Trudeau steps aside and a new Liberal leader is chosen. And even then it will be difficult for them to win.”