canada

Globe editorial: The junk-food economics of corporate subsidies

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Globe editorial: The junk-food economics of corporate subsidies

Corporate subsidies have become a significant problem for the Canadian economy, with Ottawa projected to spend .4 billion on subsidies by fiscal 2028. Economist John Lester’s analysis shows that the majority of these subsidies are ineffective and actually harm the economy. Only 20% of total subsidies have a positive impact on real income. The subsidies also contribute to a fiscal burden, requiring Ottawa to raise taxes or issue debt to cover the costs. The Liberal government’s continued indulgence in corporate subsidies, particularly in the electric vehicle industry, is criticized for not creating the promised jobs of the future and potentially shifting workers from Canadian-owned firms. Scrapping these subsidies could provide an economic boost and free up billions of dollars for other priorities, such as reducing the deficit, cutting taxes, or funding national defense or child care.

Canada’s capital-gains tax change continues decades-old debate over economic growth and tax fairness

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Canada’s capital-gains tax change continues decades-old debate over economic growth and tax fairness

The fact described in the text is that Finance Minister Chrystia Freeland announced an increase in the capital-gains inclusion rate to 66 per cent for corporations and trusts, and for individuals on gains above 0,000, in order to raise nearly billion over five years to pay for housing initiatives.

Airbus ready to lock out A220 workers if offer rejected

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Airbus ready to lock out A220 workers if offer rejected

Airbus is prepared to lock out its Canadian A220 workers if a contract offer is rejected on Wednesday, as recommended by a conciliator in Quebec’s labor ministry. Airbus is aiming to boost production and control costs on the A220 jet, and is hoping for a positive outcome in the negotiations. Unions have been successful in securing significant raises in other industries, and the outcome of these talks will be closely monitored by IAM leaders in Washington state.

Digital Taxation around the World

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Digital Taxation around the World

Digital Taxation around the World | Tax Foundation Skip to content taxA tax is a mandatory payment or charge collected by local, state, and national governments from individuals or businesses to cover the costs of general government services, goods, and activities. policies, a significant number of countries adopted unilateral tax measures targeted at digital businesses, … Read more

G7 agree deal to quit coal by 2035, but with caveat

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G7 agree deal to quit coal by 2035, but with caveat

Energy ministers from the G7 countries have agreed to end the use of coal in power generation by the first half of the 2030s. However, there is a caveat that allows for flexibility based on each country’s net-zero pathways. Germany and Japan, which heavily rely on coal-fired power plants, have been given room for manoeuvre. The agreement on coal aligns with the goal set at the COP28 climate summit to phase out fossil fuels. Additionally, the G7 countries recognize the need to reduce Russian energy revenues to support Ukraine but did not reach a common position on potential sanctions on Russian LNG.

Plastic talks gather steam amid impasse over production limits

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Plastic talks gather steam amid impasse over production limits

Countries are considering launching a series of smaller meetings before reaching an agreement on the first plastics treaty in December.

Doctors say capital gains tax changes will jeopardize their retirement. Is that true?

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Doctors say capital gains tax changes will jeopardize their retirement. Is that true?

The Canadian Medical Association asserts that the Liberals’ proposed changes to capital gains taxation will put doctors’ retirement savings in jeopardy, but financial experts argue that incorporated professionals like doctors can shield their retirement savings from capital gains taxation by setting up a registered pension plan.

Changes to capital-gains tax may prompt doctors to quit, CMA warns

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Changes to capital-gains tax may prompt doctors to quit, CMA warns

Doctors in Canada are concerned about the federal government’s proposed increases to capital-gains taxes, which could have a significant financial impact on them. The changes will affect physicians who operate their practices through medical professional corporations, as they will be taxed at a higher rate on capital gains. The Canadian Medical Association conducted a survey in 2021 that found a deterioration of doctors’ mental health during the pandemic, with 47% describing themselves as “flourishing” that year, down from 63% in 2017.

Taxes should not wag the tail of the investment dog, but that’s what Trudeau wants

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Taxes should not wag the tail of the investment dog, but that's what Trudeau wants

The Canadian federal budget includes a proposal to increase the capital gains inclusion rate to 66.7% from 50% for dispositions effective after June 24, 2024.

As plastic treaty talks open, countries more divided than ever

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As plastic treaty talks open, countries more divided than ever

Countries are facing tense negotiations in Canada over a global plastics treaty that could be a significant pact to address climate emissions. Plastics production contributes to climate emissions and could increase unless limited. Delegates are divided over including production limits and banning certain chemicals in the treaty. The U.S. wants the treaty to be ambitious, while some countries argue for global measures and targets.