2024 Federal Budget - Increasing The Capital Gains Inclusion Amount Bad Tax Policy, Bad For Productivity, Unfair For Families, Professionals And Business Owners.

The 2024 Federal Budget proposes an increase in the tax on capital gains by raising the inclusion amount, which is criticized as bad tax policy that could harm productivity and be unfair to families, professionals, and business owners. The comparison with the United States' lower tax rates on capital gains is highlighted, with concerns raised about the negative impact of the proposed tax increase on savings, investments, and overall economic competitiveness. The article also discusses the potential implications for doctors and other small business owners who rely on their corporations for retirement savings. Tax planning strategies to mitigate the impact of the proposed tax increase are mentioned, but caution is advised due to potential risks associated with aggressive tax planning. Overall, the article argues against the new capital gains tax regime, emphasizing the need for a more competitive tax structure to support economic growth and wealth generation in Canada. [Extracted from the article]