Lib­er­als are de­fy­ing logic

Penticton Herald - - OPINION - Don Turri Kelowna

Dear Edi­tor: Much has been writ­ten in re­cent weeks about the pro­posed changes to small busi­ness in­come tax. Many of the in­equities in th­ese changes have been pointed out in­clud­ing : • Mak­ing it much more ex­pen­sive for a busi­ness owner to tran­si­tion a busi­ness to the next gen­er­a­tion than it would be to sell the busi­ness to an arms length com­peti­tor or pri­vate eq­uity firm.

• Putting small busi­ness own­ers with­out pen­sions at a dis­ad­van­tage to those who are able to split re­tire­ment in­come be­tween spouses.

• Sig­nif­i­cantly chang­ing the re­tire­ment goal line for those small busi­ness own­ers who have been dili­gently sav­ing and ac­cu­mu­lat­ing their re­tire­ment as­sets.

• Re­quir­ing small busi­ness cor­po­ra­tions to pay a much higher rate of tax on pas­sive in­come than a large pub­lic com­pany does, mak­ing it much more dif­fi­cult to ac­cu­mu­late the cap­i­tal re­quired to com­pete, ex­pand and rein­vest in their busi­nesses.

The sug­ges­tion that some­how small busi­ness own­ers are tak­ing un­fair ad­van­tage of a tax sys­tem that has been cre­ated specif­i­cally to al­low them to be suc­cess­ful de­fies logic.

Also de­fy­ing logic is why the fed­eral gov­ern­ment has cho­sen to take the small busi­ness sec­tor to task in the first place.

This was not a topic that has been a source of ir­ri­ta­tion, and no one has been sug­gest­ing that strong small busi­nesses are do­ing any­thing but help­ing our econ­omy.

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