It’s a given that nobody likes to pay taxes but it’s also a given that governments need tax revenue to fund the way they do business.
Faced with that economic reality, the challenge for the federal government is to present their tax reform plan in a way that is at least palatable to voters; however, that’s a skill set that seems to be lacking from the current federal government.
First, it was the small business tax plan that caused a huge pushback from small business owners and professionals, who claimed that the tax plan unfairly targeted them as tax cheats.
That debate is ongoing, but now the government has another fire to put out.
Newly released guidelines from the Canada Revenue Agency indicate that they will now be taxing employee discount programs.
That means that if an employee gets a discounted price when they purchase a pair of jeans or a TV from their store, they would have to declare the amount of the discount as income and be taxed for it.
Red-faced government officials are saying that they aren’t trying to target struggling low-income wage earners, but, if it walks like a duck, and quacks like a duck.
The government calls it “tax fairness,” but, let’s face it, the rollout of the tax plan has been a public relations train wreck and for a government that will be seeking a second term in a couple of years, that can’t be good news.
Bill Kelly is the host of Bill Kelly Show on AM 900 CHML and a commentator for Global News.
Comments