The Parliamentary Budget Officer came out with a report yesterday on the proposed tax changes around passive income, and all of the headlines screamed that they could net the federal government $6 billion. “Oh, but it’s not a cash grab,” opposition MPs said sarcastically in return, including during QP yesterday. The problem, of course, is that if they read, that $6 billion would be over two decades, and more importantly, that the PBO confirmed that three percent of personal corporation holders generate some 90 percent of passive income, which confirms that the point of the measures is to target those who incorporate for the sole purpose of investing and taking advantage of the lower rates as a part of that.
To help walk us through the report and its findings, here are Kevin Milligan and Lindsay Tedds:
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https://twitter.com/LindsayTedds/status/933759825908862976
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