What’s This New Tax?

Posted by & filed under Canadian Government, Taxation.

Description: The latest federal government budget has announced a new 15% tax on bank profits over $1 billion. The way the government sees it, banks have done exceptionally well during the pandemic, a time when various federal programs assisted the economy. This special Canada Recovery Dividend could raise approximately $4 billion in government revenue, and… Read more »

Rogers-Shaw Deal Approved

Posted by & filed under Advanced Accounting, Canadian Government, Marketing & Strategy.

Description: Rogers Communications has received approval from the Canadian Radio-television and Telecommunications Commission (CRTC) for its $26 billion plan to purchase Shaw Communications. As part of the approval, Rogers must provide over $27 million to support specific initiatives, including support for local news. Rogers must secure separate approval from the Competition Bureau and Innovation, Science… Read more »

Auto-file for Tax Returns?

Posted by & filed under Canadian Government, Personal Tax.

Description: The C.D. Howe Institute released a report last week questioning the very idea that most Canadians should have to file an annual income tax return with the federal government. The report, Automatic Tax Filing: A Challenging Idea for Canada, compared our Canadian tax system to those of other OECD nations, looking at the feasibility… Read more »

Big Deficit: But Lower Than 2020’s

Posted by & filed under Canadian Government.

Description: The federal Department of Finance has reported the deficit for the first six months of this fiscal year is approximately $69 billion. Though this number is certainly high by normal standards, it is down from over $198 billion in the same six months a year ago. Big reductions in the Covid-19 relief payments such… Read more »

Payroll Burden

Posted by & filed under Canadian Government.

Description: With Canadians already facing a squeeze from rising prices, 2022 promises some additional trouble with the news that payroll burdens will rise. Both the rate and the yearly maximum contribution will be increasing for the Canada Pension Plan (CPP). And while Employment Insurance (EI) rate will not jump in 2022, the overall maximum contribution… Read more »

Pay now? Pay later?

Posted by & filed under Canadian Economy, Canadian Government.

Description: You can pay me now, or pay me later; so goes the old saying from the Fram oil filter commercial. https://www.youtube.com/watch?v=OHug0AIhVoQ Well, the Government of Canada appears to have chosen the pay me later approach with its latest budget, delivered last week by Finance Minister Chrystia Freeland. The budget did contain a few revenue… Read more »

First, Take Wage Subsidy; Second, Pay Dividends

Posted by & filed under Canadian Government, Ethics.

Description: An analysis by CBC of 53 Canadian public companies shows that over half of them have paid out dividends to shareholders while collecting the federal government’s Canada Emergency Wage Subsidy (CEWS). The point of the CEWS was to help these and other companies to keep their staff working while facing the economic crush of… Read more »

How About This?

Posted by & filed under Canadian Government, Student life.

Description: An opinion piece in the Globe and Mail this past week offered that cutting student debt may be an excellent policy alternative for generating entrepreneurship in Canada. Over the past few decades, government support for higher education has declined. Combine this with higher tuition and it means students are graduating with higher debt loads…. Read more »