Roundup: Closing three loopholes

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As expected, Bill Morneau announced three new measures to crack down on tax avoidance by means of self-incorporation by high earners, many of them doctors and lawyers. While the government goes on a 75-day consultation period (to ensure that there are no unintended consequences) in order that the changes can be legislated in the autumn budget implementation bill, here’s economist Kevin Milligan explaining the problem and changes in detail here, plus his Twitter posts on the topic:

https://twitter.com/kevinmilligan/status/887347823657668608

https://twitter.com/kevinmilligan/status/887348810225143809

https://twitter.com/kevinmilligan/status/887349319413649409

https://twitter.com/kevinmilligan/status/887349919882690560

https://twitter.com/kevinmilligan/status/887350619886895104

https://twitter.com/kevinmilligan/status/887351395929661440

https://twitter.com/kevinmilligan/status/887352251777335296

https://twitter.com/kevinmilligan/status/887353356250992640

https://twitter.com/kevinmilligan/status/887354118846652416

https://twitter.com/kevinmilligan/status/887355324197330944

https://twitter.com/kevinmilligan/status/887356115033260032

https://twitter.com/kevinmilligan/status/887356608518291456

Morneau acknowledged that the changes may personally disadvantage him (though two of the three categories didn’t apply to him) – making it clear that he didn’t look into his own situation to ensure that he was being fair and not self-interested in making them.

Good reads:

  • The Americans are talking dairy restrictions as part of NAFTA renegotiations, so Justin Trudeau is again reiterating his commitment to Supply Management.
  • The government is extending their NAFTA consultations, because of course they are. Retailers are also nervous about the duty-free limits Trump is looking to raise.
  • At the Council of the Federation, Premiers met with our ambassador to the US, Brian Pallister wants a year reprieve on pot laws, and Couillard pushed the constitution.
  • Bill Morneau says that measures to cool housing markets are working as expected.
  • Julie Payette had an assault charge in Maryland in 2011 that was withdrawn and the record expunged; the PMO has no comment.
  • Canada has signed onto a deal that will see greater disclosure of off-shore bank accounts by non-residents.
  • James Bay Cree signed a new agreement with the federal government to allow for greater self-government.
  • Lawyers are complaining that the government is doing enough to combat unequal access to criminal pardons.
  • The government has announced a new Chairman of the CRTC, who hails from the telecom sector.
  • Former AFN National Chief Phil Fontaine thinks legal marijuana is a good financial opportunity for First Nations.
  • Niki Ashton thinks a Crown corporation should deal with climate change. No, really.
  • Jason Markusoff wonders if the Council of the Federation is really the table that Indigenous leaders want to be demanding a seat at.
  • Kady O’Malley looks into the latest filings of the gift registry.
  • Susan Delacourt writes about messy divorces, media reporting, and Julie Payette.
  • My column wonders who will lead the Independent Senators Group come the fall, and warns about the dangers of the damage a weak leader could do.

Odds and ends:

An Australian senator was forced to resign when she learned that she has Canadian dual citizenship, and that’s not allowed for Australian parliamentarians.