Weigh tax plan’s risks, benefits

Re: Taxing our tolerance, Sept. 16.

I would like to compliment the Citizen for its excellent editorial. Given the importance of our tax system to the financial foundation of our social programs, it has been very disturbing to watch an important debate unfold through political rhetoric and self-serving buzzwords rather than meaningful analysis. Canadians deserve better and the editorial makes that clear.

I find it sad that so much of the current rhetoric is aimed at high-income taxpayers, as if they are doing something wrong. I am not personally part of this group but know a few people who are. None came by their earnings the easy way. The top one per cent of this group now accounts for 10 per cent of our tax revenue and the top 10 per cent contributes 45 per cent.

Without this group, our current fabric of social programs would be nothing more than a dream and I have trouble understanding why such people are maligned by some of our political leaders.

One of the key elements of policy formation is to ensure that benefits outweigh costs. Bill Morneau’s latest proposals will lead to a few percentage points of additional tax revenue from high-income taxpayers who are willing to accept the additional tax burden and continue to work in Canada.

The government will, however, lose 100 per cent of the revenue from anyone who decides to move, restructure their assets or take other steps to move their tax obligations to a lower-cost jurisdiction.

Doctors are a key target of the latest proposals and there is no doubt that the new measures, if enacted, will lead to some ceasing their practice in Canada. Our political leaders are unlikely to be affected by any reduction in the number of doctors, but the average Canadian will. Allan Poole, Nepean