Quick Sunday Thought and Question

[chuckChuck]

Agree on offshore tax havens but this would affect Morneau and Trudeau's social circles in a negative way.
Morneau has taken advantage of offshore tax havens already.

Likely why public traded companies, banks and unions are not being reviewed while small business is as well.

Gerald Butts knows which demographic votes Conservative and which doesn't.

Conservatives are in the same social circles as Liberals. Conservatives were implicated with the KPMG case. Neither party is willing to take on the biggest tax avoiders.

[LEP]

Once I have tax paid money in my personal hands it is legal to move it to offshore accounts, never to be taxed in Canada again.

The KPMG issue was trying to skip paying Canadian tax to start with.

If the liberals go through with their tax "fairness" reform expect that a lot of money will move offshore never to create growth or be invested in Canada. ALOT.

The liberals aren't above helping out a few friends regarding the first round of taxation when they let the Irvings skip out on a billion dollars of tax when taking the bulk of their investments offshore.

[chuckChuck]

All kinds of large multinational Corporations use tax havens to shelter profit and pay lower taxes in Canada by setting up shop in low tax jurisdictions and making sure their profit is moved there. The effective tax rate in Canada can be much lower that what is actually listed.

It will take a Canadian government with the guts and international cooperation to fix this problem.

If you make profit in Canada it is your Corporate duty to pay the tax owing since the corporation benefited from Canada's stable business environment, workers, subsidies, research and development, rule of law, education, healthcare and infrastructure, much of which is paid for by taxpayers.

[Jay-mo]

Liberal mindset when they identify tax "unfairness": MORE TAXES!

There, now everyone is equal and "fair" in getting screwed.

[sumdumguy]

Once I have tax paid money in my personal hands it is legal to move it to offshore accounts, never to be taxed in Canada again.

The KPMG issue was trying to skip paying Canadian tax to start with.

If the liberals go through with their tax "fairness" reform expect that a lot of money will move offshore never to create growth or be invested in Canada. ALOT.

The liberals aren't above helping out a few friends regarding the first round of taxation when they let the Irvings skip out on a billion dollars of tax when taking the bulk of their investments offshore.

Are you sure of that statement that once you have paid tax on the money, you can move it off-shore never to be taxed again? I assume that you mean that only the income generated by that money off-shore is taxable in Canada if you are a Canadian resident?

[LEP]

I wouldn't want to give you tax advice. 😀

I believe the US taxes worldwide income, however I dont think Canada does. That is the purpose of offshore havens. I think, if you repatriate any of the profit it is taxed.

It is all legal if you pay the proper tax before you move the money offshore.

[farmaholic]

Money "problems" of the rich and famous....usually the only money problem we have here in the Slum of the Ghetto is not enough of it.

[macdon02]

If politicians had to pay tax after life in politics, his wouldn't be am issue. They should have to live with the decisions they make. Only group in at the 1% level not paying tax are the pols. They are pointing the finger while 4 are pointing back at them.

[Guest]

The other question is why does the government go soft on those wealthy Canadians who can hide from tax in tax havens? The Conservatives and the Liberals have both shown little interest in preventing and prosecuting the wealthy from sheltering their wealth in tax havens. KPMG was at the centre of this scandal as detailed in some of the following links from CBC and Huff post..

It doesn't seem to matter whether it is the Conservatives or the Liberals in power they both have strong connections to the rich and powerful in this country and won't prosecute tax evasion unless it is small potatoes and an easy target.

The current proposals for taxing small businesses were originally aimed at high income professionals who are using the advantage of small incorporated business to reduce taxes. I think there is merit to doing something about those problems.

Other less profitable and unique small businesses including farms are getting caught up in this broad approach. Fairness in the tax system is important.

http://www.cbc.ca/news/business/harper-government-partnered-with-industry-group-battling-cra-over-kpmg-case-1.3257994

http://www.cbc.ca/news/business/cabinet-ministers-met-publicly-with-kpmg-while-firm-s-tax-sham-under-cra-probe-1.3234876

http://www.huffingtonpost.ca/dennis-howlett/kpmg-tax-fraud-isle-of-man_b_15267920.html?utm_hp_ref=ca-kpmg

Exactly