[Benn]

This is $135K per earner not dual income I assume.

What about the person who earns $135K as a singe earner? Hardly rich.

[andyt]

Benn Benn:

This is $135K per earner not dual income I assume.

What about the person who earns $135K as a singe earner? Hardly rich.

No and they would continue to pay a 29% federal average tax rate on taxable earned income (vs capital gains). (In BC) That's taxable income, ie after all deductions, so they could actually earn substantially more than 138k. Add the basic Personal amount alone, you're up to 149k - say at least 150k they can earn at the 2015 tax rate.

If you have a 138k of taxable earned income in BC (varies by province), you will pay 40k in taxes, for an average tax rate of 29 percent. (If part of your income is capital gains you'll pay less). That's federal and provincial tax, ie you still have 98k in net income.

If you have 200k of taxable income (remember you can earn a lot more than 200k to have a taxable income of 200k), which puts you in the top 1 percent of all Canadians, (does being a 1 percenter qualify as rich yet, or are only the .1 percenters rich?) and they added another tax bracket of say 35% federally for incomes over 138k, (no increase in BC brackets) you would pay 6% extra on the last 62k, so about 3700 more so a total of about 72k in taxes, leaves you 128k in net income so an average tax rate of about 36 percent. Hardly hard done by.

[Benn]

Nothing against setting a new higher tax bracket, so long as it is set safely outside middle class. We get raped enough as it is.

[Jabberwalker]

That will never happen, you know that. The Middle Class no longer has the power to fight back.

[andyt]

Nobody is talking about higher taxes for the middle class, not even the NDP. And taxes have never been lower, so what's all the squealing about?

[Jabberwalker]

History, man. History. It's always the Middle Class that gets hit. The wealthy and the dirt poor both have their political guardian angels but never the Middle Class. No one in Ottawa represents our interests.

[andyt]

As I said, taxes are lower than ever, so what's the squealing about? And look at what happens when I do post stories about inequality or the rich paying more in taxes. All the wannabes just want to defend the situation. The middle class needs to stop trying to live like the rich, just because they see it on TV. Quit buying all the crap, and people would have lots of money.

[Jabberwalker]

... just trying to feed a family, Brother.


taxes are lower than ever,

Utter bullshit. They're still not down to pre-Trudeau levels. You are either too young or you can't remember.

[andyt]

Before 1968? Just how old are you, and still trying to raise a family?

In 1972, the top personal tax rate was close to 70%, when taxable income reached $60,000. Today, the combined top personal tax rate is between 39% and 48% (depending on the province) when taxable income reaches about $128,000. While the top personal tax rate has decreased noticeably, the expansion of the tax brackets has been far below inflation.

The first meaningful reduction in tax rates occurred with the 1981 federal budget. The objective was to broaden the tax base and lower personal tax rates. In 1987 tax rates were again lowered and the tax base was broadened further, along with the conversion of tax deductions to tax credits. We moved from higher rates and a smaller tax base to lower rates and a broader tax base.

[Jabberwalker]

I was twelve in 1968 but I had a good idea of what was going on around me. It's funny. I even remember watching the Liberal Party convention during which Trudeau came to power.

I actually believe that we were better informed in my little corner of the world back then that most kids are, these days. It was a period of rapid and profound change.

[andyt]

they had an 80% top tax rate back then. But I did read that at that time, the average wage earner kept 5% more of their money than now. Average, ie a lot less than 120k in today's money. And, there was probably only one wage earner in the house. Still people seemed happier then than now, tho that might just be the rose colored glasses.

Anyway seems like a long time to look back as a reason for squealing, especially considering the size of houses then vs now, and the number of cars parked by those houses, TVs in those houses, and all the other electronic gizmos that are must have these days.