Angelo Nikolakakis – Here’s How Ottawa’s Financial Institution Tax Will Really Work
From: Angelo Nikolakakis To: Finance Minister Chrystia Freeland Date: January 2, 2024 Re: Here’s How Ottawa’s Financial Institution Tax Will Really Work Tucked into November’s 500-page Notice of Ways and Means motion is an unwise measure that urgently needs to be withdrawn. First announced as part of Budget 2023, it imposes an additional $3 billion of federal income tax on “financial institutions” over […] Inflation targeting ain’t broke so let’s not fix it – Financial Post
The last two years have not been kind to central banks. Inflation in many countries soared far beyond target, reaching levels not seen in decades. Central bankers have responded with necessary but painful interest rate hikes.
Despite disappointment in the performance of many central banks, let’s not lose sight of key lessons. First, inflation stinks, inflicting most harm on those who can afford it least. Second, central banks are the best institutions we have to make sure it goes away and doesn’t come back. As we head into 2024 and inflation continues to fall, it’s worth remembering why the world established central banks and low inflation targets in the first place.
Until the 1990s, central banks struggled…
Ottawa’s move to tax the rich more will backfire on charities – Globe and Mail
‘Tis the season for giving, and as the year ends, many Canadians are planning substantial donations. However, they should consider maximizing those donations in 2023 while full tax relief for charitable giving is still guaranteed. The federal government has yet to table its legislation for reforming the alternative minimum tax (AMT), but if it sticks to its commitments laid out in the 2023 budget, tax relief for charitable giving will be curtailed for some high-income filers in 2024.
Donating to charities can lower our taxes. The charitable tax credit lowers taxes by about half of the amount of donations in excess of $200. And, donated accrued capital gains from gifts of publicly listed securities are exempted from taxable income…
Daniel Schwanen — Preparing Ontario SMEs for the supply chains of the future: Part 1
To: Canadians concerned about small business growth amidst reconfiguration of supply chains From: Daniel Schwanen Re: Preparing Ontario SMEs for supply chains of the future – getting the big picture right Date: December 22, 2023 While supply chain challenges of the pandemic era and its immediate aftermath seem to have abated at the global level, […]Daniel Schwanen — Preparing Ontario SMEs for supply chains of the future: Part 2
To: Canadians concerned about small business growth amidst reconfiguration of supply chains From: Daniel Schwanen Re: Preparing Ontario SMEs for supply chains of the future – getting the big picture right – II Date: December 22, 2023 My previous Intelligence Memo focused on the overarching importance for Ontario’s economy of being home to firms that […]Charles DeLand – Alberta Needs a Stable Policy Approach to Power
From: Charles DeLand To: The Hon. Nathan Neudorf, Alberta Minister of Affordability and Utilities Date: December 19, 2023 Re: Alberta Needs a Stable Policy Approach to Power Background It’s all electricity all the time in Canada these days as we come to grips with the green transition and its electric vehicles, its electric heat pumps […] Has Ottawa destroyed its own carbon tax? Canada needs a climate Plan B – Globe and Mail
Suggestions that carbon pricing is not working because Canada’s emissions have kept rising miss the mark, as a large chunk of the increase is due to rapid population growth. The country’s energy efficiency has, in fact, improved considerably under the carbon tax introduced by the federal government.
But unfortunately for carbon price supporters, Ottawa has directly contradicted the principle underlying the tax. In late October, it decided to selectively pause its application to heating oil, a fuel used primarily in homes in Atlantic Canada, ostensibly on affordability grounds, but largely viewed as a cynically political move. Quite logically, provincial leaders immediately asked for exemptions covering fuels used in their regions…
Leonard Waverman – Why Government Electric Vehicle Mandates Won’t Work
From: Leonard Waverman To: Canadian automotive observers Date: December 18, 2023 Re: Why Government Electric Vehicle Mandates Won’t Work On Dec 31 2022, the federal Liberal government mandated that in 2035, 12 years from now, no internal combustion engine cars and light trucks can be sold in Canada. This ban takes place gradually, beginning at 20 percent of electric […] Putting Together a Holiday Dinner Basket
We at the C.D. Howe Institute wish you a happy holiday season. We also wish we could wish you an affordable one. We asked how big a bite a holiday dinner for ten would take out of the average weekly wage of a worker in Canada, Australia, the UK and the United States. The painful answer is […] How the Price of Milk Threatens Canada’s Auto Industry with Bill Robson and Martha Hall Findlay
How would the price of milk threaten Canada’s auto industry? Bill C-282 risks upturning trade negotiations with the world, especially our biggest trading partner. And if Donald Trump returns to the White House, Martha Hall Findlay tells the Institute’s Bill Robson and Michael Hainsworth that all bets are off.
Business investment ‘awful’ in Canada – Financial Post
William Robson, CEO of the C.D. Howe Institute, talks with Financial Post’s Larysa Harapyn about how capital per worker has been falling for the first time since the 1930s and what it means to the economy. Freeland’s new hidden tax on everything and everyone – Financial Post
Tucked into the 500-page Notice of Ways and Means Motion Finance Minister Chrystia Freeland released last month is an insidious measure that urgently needs to be withdrawn. First announced as part of Budget 2023, it imposes an additional $3 billion of federal income tax on “financial institutions” over the next five years. We all know how popular financial institutions are. A tax imposed on big banks and insurance companies will appeal to many people. But who really will pay this tax is: everyone — despite the government’s cynical attempt to try to convince us all that someone else will ultimately bear its burden.
It is a fundamental principle of Canadian income taxation that corporate profits should be taxed…