The Liberal government’s tax plan a failure
A few years ago, the federal Liberals told Canadians that they would help the middle class by raising taxes on the rich. According to the early evidence, the plan has flopped.
This was entirely predictable. In 2015, the C.D. Howe Institute (formerly chaired by the current federal finance minister) called the policy a “losing proposition.”
The government forged ahead with the tax hike anyway.
The data so far suggests that this soak-the-rich fiscal strategy was so economically damaging that it actually reduced federal tax revenues. The Globe and Mail recently reported that the “Liberal government’s tax on Canada’s top one per cent failed to produce the promised billions in new revenue in its first year, as high-income earners actually paid $4.6 billion less in federal taxes.”