Brian Lewis – No Time for Half Measures: Tax Policy Options to Grow Rental Housing
From: Brian Lewis To: Canada’s ministers of housing Date: August 28, 2023 Re: No Time for Half Measures: Tax Policy Options to Grow Rental Housing A significant shortfall in housing supply is an urgent issue across Canada. The need for rental housing is especially acute, especially because the current shortage and corresponding skyrocketing rents is particularly problematic for […] Inflation is making you pay more taxes: yesterday’s thresholds for today’s dollars – Globe and Mail
There’s been rampant inflation in Canada since early 2021. And while money losing its purchasing power hurts on its own, tax provisions that ignore inflation can multiply the pain for Canadians.
Inflation interacts with various tax provisions, often increasing their bite, with little transparency or legislative oversight. This happens in many ways, notably when prices and incomes rise, but the thresholds for determining tax payable and tax credits do not.
For example, if income tax brackets do not rise with inflation, people whose wages have simply grown with inflation can get inadvertently pushed into higher-taxed categories – even when the real value of their wages has not changed.
Some of these interactions…
Double the Pain: How Inflation Increases Tax Burdens
by William B.P. Robson and Alexandre Laurin Inflation and taxation are a painful combination. Money losing its purchasing power hurts on its own, but tax provisions that ignore inflation can multiply the pain for earners, savers, and recipients of benefit programs as well. This E-Brief identifies problematic interactions between inflation and taxes and highlights some […] Munn, Laurin – Productivity Increases Start with Tax Reform
From: Duncan Munn and Alexandre Laurin To: Finance Minister Chrystia Freeland Date: August 9, 2023 Re: Productivity Increases Start with Tax Reform Canada’s labour productivity decline is making headlines across the country and raising concerns about our economic prosperity. In real terms, per capita GDP has been stagnant since 2017. Ontario’s output per capita is now on par with Alabama’s, […] William B.P. Robson – Where Did All the COVID Spending Go?
From: William B.P. Robson To: Government spending observers Date: August 8, 2023 Re: Where Did All the COVID Spending Go? Canadian governments’ lack of transparency is a high-profile concern – and for good reason. Alongside such problems as bureaucratic circumvention of freedom of information laws and ministers responding to questions in legislatures or from the media with mechanical talking points, government […] Tax reform badly needed to help fix Canada’s productivity problem – Financial Post
The decline of Canada’s labour productivity is making headlines across the country and raising concerns about the country’s economic prosperity. In real terms, per capita GDP has been stagnant since 2017. As University of Alberta economist Trevor Tombe has pointed out, Ontario’s output per capita is now on par with Alabama’s. More than ever, Canada needs tax reform to foster economic growth.
Lack of investment is not the sole explanation for our disappointing productivity performance but it is almost certainly a major contributor. The stock of business capital per worker has been on a declining trend since 2015. Canada fares very poorly compared to its neighbour: each U.S. worker, on average, benefits…
Fiscal COVID: The Pandemic’s Impact on Government Finances and Accountability in Canada
Beyond its damage to Canadians’ health and their economy, COVID-19 strained public finances, and both highlighted and exacerbated gaps in governments’ accountability to legislators and voters. Spending by all senior governments jumped in the 2020/21 fiscal year – up 7 percent on average across provinces and territories, and up more than 70 percent for the […] Slaying the Beast with Jeremy Kronick and Steve Ambler
Could the Bank of Canada seen the inflation beast coming? C.D. Howe Institute’s Jeremy Kronick and Steve Ambler tell host Michael Hainsworth that the Institute saw several signs of it rearing its ugly head long before the Bank raised borrowing costs. But what about now?
Munn, Laurin – Time for a Bold Tax Reform Agenda for a Stronger Canada
From: Duncan Munn and Alexandre Laurin To: Canadian tax policy watchers Date: June 14, 2023 Re: Time for a Bold Tax Reform Agenda for a Stronger Canada Canada is more divided than ever, but there is one objective all political parties should strive for: increasing income for Canadians. Tax Reform can help get us there. […] Angelo Nikolakakis – A New Bad Idea: Financial Institution Dividend Taxes
From: Angelo Nikolakakis To: The Honourable Chrystia Freeland, Deputy Prime Minister and Minister of Finance Date: June 13, 2023 Re: A New Bad Idea: Financial Institution Dividend Taxes This year’s federal budget included one very troubling tax policy change. It will end up costing many hardworking Canadians who have invested in Canadian banks and other financial institutions, whether directly or […] William B.P. Robson – The Useful Discipline of a Debt Ceiling
From: William B.P. Robson To: Federal debt observers Date: June 12, 2023 Re: The Useful Discipline of a Debt Ceiling Nobody likes the US debt ceiling, it seems. Before US leaders struck a deal to raise it, fears of default, financial crisis and recession made the criticisms especially pointed. Now that those threats have receded, we should reflect on […] Bill Robson on BNN – Could Canada benefit from a debt ceiling? C.D. Howe CEO on Canada’s fiscal future
Bill Robson, CEO of the C.D. Howe Institute, joins BNN Bloomberg to talk about why Canada could benefit from conversations on implementing debt controls in this country. Robson says the U.S. model is not the right approach but having no radar or limit on debt at the federal level in Canada is not good.