A good number of people are either confused about or purposely misinforming re: capital gains. The 50% inclusion rate is *not* a tax-rate. The Globe and Mail is using “tax rate” in a sentence about capital gains. Wrong! /2 #cdnpoli
2/ The inclusion rate (50% or 66-2/3%) is how much of the capital gain is included in income for tax purposes. So, if one has a capital gain of $50k, $25k is taxable *at the rates that apply to all income, including employment income. The other $25k is exempt. /3
@DianeMariePosts Thank you for the clarifications. Real estate will generate considerable tax revenues. Estates will pay a greater capital gains tax on property and other investments. People who sell or gift the family cottage will also pay more tax.
@DianeMariePosts Wow great explanation, I actually understand that 👍🙏
@DianeMariePosts Thanks for this clarification to help counter the dishonest and often uninformed criticism of this policy. To be fair, most people have never had to pay tax on capital gains. However, it is baffling that these folks also think the policy is unfair. Everyone can be rich, I guess.
@DianeMariePosts The G&M being confused or purposely misleading? Say it isn't true! /s
@DianeMariePosts Ya, tax the rich, don't care about the details. The more they pay the better.
@DianeMariePosts Yes. I had to run through this with my wife last night.