Canadian Chamber of Commerce critical of proposed tax reforms by Ottawa
Taylor Rae - Assistant Editor
Finance Minister Bill Morneau speaking to media in Halifax about his work to level the playing field and ensure that the tax system is fair for the middle class.
Image Credit: Facebook/Bill Morneau
September 23, 2017 - 1:00 PM
FREDERICTON - Members of the Canadian Chamber of Commerce say proposed tax changes by the federal government are casting business people in a negative light and the finance minister should apologize.
Chamber members got to put their concerns directly to federal Finance Minister Bill Morneau Saturday at their annual meeting in Fredericton.
There was a round of applause when Morneau was asked if he'd consider an independent royal commission to take a broader look at tax reform, but Morneau said the government has been talking about tax reform since the summer of 2015, and expects the current input will lead to changes in what's being proposed.
The tax proposals include restrictions on the ability of business owners to reduce their tax rate by sprinkling their income to family members in lower tax brackets, even if those family members don't contribute to the company.
Morneau also proposed limits on the use of private corporations to make passive investments that are unrelated to the company.
Another change would limit business owners' ability to convert regular income of a corporation into capital gains, which are typically taxed at a lower rate.
Many of the business owners say the proposed reforms won't let them save for a rainy day.
News from © The Canadian Press, 2017