Taxation? Bend over....

[xsbank]

I was having a chat with my lovely wife last night and I decided that the entire taxation process is f*cked in this country. Why, just because I got educated, worked hard and organized my life and make more money than the Globe says is average in Canada do I pay more taxes? We have decided that we can't discriminate because of gender, race, sexual preference or religion, yet we single out those who have been successful and hose them for taxes?

I am a person therefore I pay a tax, you are person and you pay a different tax. You get the same medical, same schooling, same everything as I do yet I pay more for it all than you do? Why should my percentage of my income that I pay for taxes be higher than the percentage you pay? You make $40,000 and pay maybe 10% and I make more and pay 40%? How is that fair? Apparently, in this dump they call Quebec, only 40% of the wage earners pay any tax at all, yet they all get medical, schooling, and all the stuff that I pay for. How is this fair?

I think its long past due for a flat tax in this country. I pay 10% (or whatever the final reasonable amount is) and so does every other person in this country who earns a wage.

I am actually tempted to quit my nice job and get a crappier, lower-paying job with less responsibility so the tax I pay is less - my "standard of living" will hardly suffer because my tax rate drops. I really don't have a clue how any of you just starting out in this industry and living in this screwed up country will ever save enough to retire on. I'm going to be lucky but I will likely get all of the government stuff I've paid into all my life taxed away so that I might just end up eating dog food if I live long enough.

If anyone asks, I would tell them to take their Canadian Passport and use it to get an offshore job so you can actually save something for your own retirement. One of my friends just got an offshore job and not only is it double his pay in Canada, IT IS TAX-FREE!

So next time you go see your doc, watch a Canadian F-18 shoot somebody or you send your little monster off to school, take a moment to thank Xsbank for paying your way for you.

[cdnpilot77]

Good Rant!!

[Prairie Chicken]

Ditto on the good rant. Unfortunately, all you said is sad but true. I'll only add a few points.

Regarding working off-shore and the double pay & no taxes ... that essentially quadruples your take-home if my math is correct. Unfortunately, those offshore jobs where the employer pays the taxes (of the country you're working in) are hard to come by. AND, the good old Canadian tax system requires you to give up Cdn. residency in order to avoid at least some paying taxes in Canada. Most countries only tax money earned in that country, but not Canada. We pay tax on all money earned--anywhere; period. But I agree, offshore is a great deal if you can swing it.

Also, don't forget that your taxes are going to have to pay for all those out there that either haven't been lucky enough or worked hard enough to make a decent living, not to mention those who lived the good life early & haven't saved for their retirement. So, that's going to leave you & me with money in our bank accounts to pay for our own retirements. But, since many others won't have those savings, you and I will still be taxed heavily just so those other guys won't be any less under-priviledged than us.

I agree 100% with the flat tax idea! AB already has it, for the most part.

Oh, and you forgot the part where you can enjoy watching kids go to government-sponsored day care that you're paying for. Yeah, I know you paid for your own kids, but you need to help the next generation too!

If you want a change of government, enjoy paying for that too, because at the moment we pay political parties every time they have an election. Iggy or Jack running short of cash in the coffers? Just have an election & you get $2 for every vote you can muster.

Ok, I'll turn my rant switch off now, before I get really upset!

[Cat Driver]

My wife worked in Quebec teaching school in 1968/69.

Because she worked outside of Canada for that winter I have yet to get the death benefit to help pay for her funeral expenses.

The Canadian federal government by law must pay me within three and a half months of having received the death certificate it is coming up on five month now...still no money.

Why is that legal?

[xsbank]

Jeez Cat, they really do screw us especially when we are at our lowest. I'm still sorry for your loss and I am completely embarrassed that our country, which has everything, really, is so f*cked up and can cause so much pain in an offhand, uncaring and feckless manner.

Like that woman in Ontario who had a tumour discovered in her breast but she was refused treatment because it wasn't big enough!

We are really pretty pathetic - what we need in this country is a revolt; we need to completely cut off Quebec, stop the promotion of French everywhere and fire half of all 'civil servants;' we need to run the country with some sort of logic and sense of responsibility. I would establish firing squads to immediately deal with corruption (maybe with the Bloc too?) and I would establish a flat tax. We would also have conscription for all 18 year olds to form a militia to do public works and defense for 2 years. Prisons would be emptied and their denizens employed digging ditches and filling potholes, Immigrants not vetted at an embassy first would be immediately returned to their country of origin and any immigrant who breaks our laws would likewise be tossed. Oh yeah, 100% secular society - feel free to worship what you please but no correlation with governing.

Xsbank has spoken. Kneel in reverence and awe.


Now, God help me, I have to go to Ikea.

[cdnpilot77]

I like it!

[BTD]

Not that I disagree with a flat tax, but I often hear people talk about how a raise or a higher paying job is useless because of a higher tax rate.

Rather then stepping down your pay, if not already maxing out your RRSPs why not max those out. You could possibly get yourself into the next lower tax bracket, therefore getting a greater tax return, and saving boat loads for retirement.

As an example, in regards to Federal Tax, if you make over $127 021 you are in the highest tax bracket of 29%. So lets say you make 150 000. You are allowed to contribute 18% of that towards RRSP and receive the tax break. That means that you can put 27 000 a year into your RRSP. So contribute 22 980 per year. You will reduce your taxible income so you are now in the next bracket down of 26%. So you not only will you get a cheque back for roughly 6000 on your 22 980, you will also get back additional amounts because (presumably) you have been recieving deductions at 29% throughout the year when you should have been at 26%. And that money you would have given up by taking a lower paying job can accumulate in a tax shelter until retirement.

Although the numbers are slightly different the same idea applys to the provincial tax.

Thats way better then just taking a job that moves you into the lower tax bracket. If you already max out your RRSPs contribute to your spouse's, and find other ways to reduce taxable income while still taking advantage of the extra money you are earning.

[beaverbob]

Another law would be to allow a party to run in the federal election only if they have a representative in every province in Canada. That would stop the Block head on. Better yet, a government that stopped bribing Quebec with our money. They don't vote for the federal parties anyway, what is there to loose?
Bob

[cdnpilot77]

Another law would be to allow a party to run in the federal election only if they have a representative in every province in Canada. That would stop the Block head on. Better yet, a government that stopped bribing Quebec with our money. They don't vote for the federal parties anyway, what is there to loose?
Bob

I like that too!

[BTD]

To add:

If you make 50 000 a year and the guy down the street makes 30 000. You are both taxed the same on the first 30 000 you earn. The cut off for the lowest bracket and the next highest one is $40 970 for Federal tax. It is only on the additional $9030 above that that you will be taxed at a higher rate. While it still is not a great system, it isn't like they are taxing you at a higher rate then the guy down the street on the first 30 000 you earn.

I don't think a lot of people know this. They think he is taxed at 15% and I am taxed at 22% on all the income earned.

[Prairie Chicken]

allow a party to run in the federal election only if they have a representative in every province

Amen to that Bob!

While we're at it, let's abolish the Senate. And drop our expensive ties to the monarchy.

[xsbank]

RRSPs are a have. You will be taxed at a higher rate after you retire if you have lots of money in RRSPs. Temporary solution at best. Not only do you have to convert them to annuities at a rate that benefits some financial firm, the government will claw back any senior's benefits you will otherwise be entitled to, something we are all forced to contribute to but if we are good and save our nuts like good little squirrels, we will be hosed in retirement.

Take a good look at RRSPs - it is also a total myth that borrowing for RRSPs is beneficial - wrong. You've been drinking the government Kool-aid.

[Prairie Chicken]

I, at least, was aware of the varying taxes for various levels of your income. I still like the flat tax.

And as for the RRSPs, they're only a good deal if you're already in the top tax bracket & expect to stay that way as long as you're working (you're still going to pay thru the nose; you're just deferring the paying); or if you plan to be in a very low tax bracket when you have to cash in the RSPs. And I never planned on the latter.

[Expat]

Offshore is where it is!!! No taxes!
And to dispel any myth about health and dental care, private clinics in the third world offer better service than normal hospitals in Canada. And with no waiting time, and dirt cheap…

[Canuck223]

When the revolution is over and I'm the benevolent dictator of Canada;

1) No person other than someone medically certified as genuinely disabled will be allowed to collect public welfare for greater than 10 years. Hard times fall on good people, but the public purse should be used to look after those we genuinely need to care for, not those who refuse to help themselves.

2) No person who arrives in Canada without documentation will be allowed entry, except in the case of bonafide refugees with a UN passport. Those arriving without paperwork or claiming refugee status will be held in detention centers pending verification of the claim. The expectation is that if the migrant arrives without prior clearnace, his claim will be rejected and he will be returned to his place of birth, or willing third nation.

3) No person will pay more than 10% of thier yearly income as tax. Money exported to foreign accounts would be subject to the same 10% tax unless covered by reciprical tax treaty.

4) The GST/HST rate would increase to 20%. Fuels would be taxed at a flat rate per liter or M3.

5) The personal salaries of doctors trained in Canadian Universities would tax exempt for the first 10 years of practice in communities designated by the provincial ministers of health as underserved.

6) Small business owners will be allowed to set aside $100K per year as personal income, if the funds are left on the company books. (ie, owner draws a $25K salary but only pays 10% on the remaining $75k left in the business account)

7) Corporations setting up medical clinics in underserved communities will be able to shield the first $1M in profits from taxes. (Such a corp disolving within 5 years of claiming a credit would be liable for all credits recieved)

[Expat]

...and foreign companies doing business in Canada should pay taxes in Canada!!!

[beaverbob]

Any immigrant that commits a federal crime would be deported to his/her country of birth forthwith. Punishment to be handed out in home country, why give them room and board here?

Bob

[beaverbob]

While we're at it, let's abolish the Senate. And drop our expensive ties to the monarchy.

I actually prefer an equal and elected senate. Something that the Conservatives also champion, but can't do with a minority government. It makes me wonder, Why does the opposition not want the same?
Bob

[fish4life]

Any immigrant that commits a federal crime would be deported to his/her country of birth forthwith. Punishment to be handed out in home country, why give them room and board here?

Bob

agreed

[Hedley]

Deleted.