Anyone with a net worth of $20 million can afford to pay $200,000 more in taxes. The question is, will we be able to actually generate this extra revenue? As wealthy people have great accountants who can hide their wealth from the government. And a certain percentage of wealthy people might leave the country. Most wealthy Canadians probably have roots in this country (ie. friends, parents, siblings, aunts, uncles, cousins) and wouldn't leave over a 1% wealth tax bill. I imagine that hiding their wealth from the government is going to be the bigger problem.
The other question is, if you collect the revenue, what is it going to be spent on? The government wastes money on all kinds of shit. In fact they just ran up a $400 billion deficit over a virus that killed only 0.0273% of the country.
Trickle Down economics is a theory that has been disproven. The wealthy invest in whatever is going to get them the best return on investment, not in what is going to create the most jobs. Canada's wealthy prefers to invest in Canadian real estate and foreign enterprise rather than Canadian enterprise. The Canadian housing bubble is responsible for a lot of the homelessness and poverty in Canada in the first place. As the cost of housing represents a large percentage of the working poor's paycheque. Just because you give the wealthy a tax cut, that doesn't necessarily mean they're going to invest in Canadian enterprise. The TSX even pre-COVID has been doing ass.
Anyone with a net worth of $20 million can afford to pay $200,000 more in taxes. The question is, will we be able to actually generate this extra revenue? As wealthy people have great accountants who can hide their wealth from the government. And a certain percentage of wealthy people might leave the country. Most wealthy Canadians probably have roots in this country (ie. friends, parents, siblings, aunts, uncles, cousins) and wouldn't leave over a 1% wealth tax bill. I imagine that hiding their wealth from the government is going to be the bigger problem.
The other question is, if you collect the revenue, what is it going to be spent on? The government wastes money on all kinds of shit. In fact they just ran up a $400 billion deficit over a virus that killed only 0.0273% of the country.
Trickle Down economics is a theory that has been disproven. The wealthy invest in whatever is going to get them the best return on investment, not in what is going to create the most jobs. Canada's wealthy prefers to invest in Canadian real estate and foreign enterprise rather than Canadian enterprise. The Canadian housing bubble is responsible for a lot of the homelessness and poverty in Canada in the first place. As the cost of housing represents a large percentage of the working poor's paycheque. Just because you give the wealthy a tax cut, that doesn't necessarily mean they're going to invest in Canadian enterprise. The TSX even pre-COVID has been doing ass.