April 29, 2013 - 7:23 AM
OTTAWA - The contentious issue of family income-splitting is back on the Ottawa agenda today, with noted economist Jack Mintz saying it is a policy whose time has come.
But Mintz wants the policy with a twist.
He says income-splitting should be accompanied by a separate measure that would end the ability of one spouse to transfer the unused portion of his or her basic personal tax exemption to the other spouse.
That way, he says, income-splitting would not simply help rich families or act as an incentive for one spouse to stay home and look after the kids.
The Conservatives pitched the family income-splitting idea in the last federal election campaign, saying they would implement the measure once the federal deficit was eliminated.
Critics say the policy would do little for low-income families and would encourage women to stay at home rather than join the paid workforce.
News from © The Canadian Press, 2013