Premiers lash out at Trudeau over budget

Ottawa’s tax hike on big capital gains has been framed as a tax on the rich, but some entrepreneurs say it threatens Canada’s overall economy. Anytime taxes go up, it takes dollars out of the economy. I’m going to have less of an opportunity to deploy that capital into the next start up. In Tuesday’s budget, the federal government announced it was increasing the tax on capital gains, the profits earned from an asset sale. Businesses will pay tax on 2/3 of those gains, up from half. That will also apply to some people who report a gain of $250,000 or more. With the economy stuck in neutral and productivity slumping, it’s a mistake, this investor says. Right now we’re in a place where we desperately need more investment. The plan is also getting bad reviews from some of the premiers. It’s a same old Liberal plan. Stick your hands in someone’s pocket, tax the death of the people. But Canada’s finance minister says it won’t affect that many people. We are asking those at the very top to pay a little bit more as an individual. You only start paying a little more. After your first $250,000 in capital gains. The capital gains hike isn’t the only thing that has premieres up in arms. They’re overtaxing, overspending, over borrowing and over interfering in provincial affairs. In a recent letter, all 13 premiers accuse Ottawa of encroaching on their jurisdiction. Plans to spend billions more on housing, pharmacare and a new dental program. Trudeau says he’s only spending more because premiers aren’t doing enough. I’d always rather work with provinces, but if we have to, I will go around them and be there for Canadians. Conservative Leader Pierre Polio has condemned the capital gains hike. He says Canadians already pay enough in taxes. But NDP Leader Jagmeet Singh wants the Liberals to squeeze even more money out of the rich and big corporations. He’s demanding some changes before agreeing to support the budget. JP Tasker, CBC News, Ottawa.