Irresponsible government penalizes responsible citizens
It was Winston Churchill who famously stated, “I contend that for a nation to try to tax itself into prosperity is like a man standing in a bucket and trying to lift himself up by the handle.”
Sadly, this obvious (and consistently historically proven) truism has not permeated the tax-happy crowd in the Prime Minister’s office.
In their latest assault on taxpayers, the Liberals are targeting Canadian seniors (and others) who have paid off their homes.
Canadian seniors (and others) who own their home may soon be facing another devastating Trudeau tax, a tax on home equity.
The Prime Minster and Finance Minister have been meeting with their usual band of left-wing consultants to discuss what they claim are issues of “generational fairness”. Among the proposals being seriously considered by the government is a new tax on home equity.
In short, this Prime Minister who has been so financially irresponsible is going after those who have been financially responsible in order to pay for his irresponsible and reckless spending.
Seniors and others who have worked hard so they can have a tangible asset and the financial freedom that provides should be applauded, not penalized for their success, hard work, and good planning.
Arbitrarily penalizing seniors and others who have the good fortune to be able to pay off their home and build some capital appreciation on their investment (for many their only investment) is far from “generational fairness”. In fact, it is the exact opposite.
The government’s bogeyman approach to housing is quite literally attacking one generation in a disingenuous attempt to appeal to another for political purposes.
This is not this government’s first attempt to shift the blame for the housing crisis they have created.
First it was house flippers who were the enemy, then foreign investors, then too many new immigrants. Then it was those who owned short term rentals. Now it’s those terrible “rich” seniors sitting on their pots of money in modest suburban dwellings. Clearly, they have not been taxed enough! (So goes the Liberal mind.)
Never ones to capitulate to reality, especially when there is a divisive narrative to be spun, the government is proving they still do not understand the most basic tenet of economics.
To be clear, taxing those who own their homes—or taxing them out of their homes—does not mean homes will become more affordable for younger Canadians. The issue in Canada is an issue of supply and demand. Too many people and not enough affordable housing.
Those in favor of the proposal are trying to pretend it will only affect “high value homes” valued at over $1 million. However, this too is completely disingenuous as the cost of the average modest home in Canada’s largest cities (Toronto, Vancouver etc.) has long since passed the $1 million mark.
Trudeau drove up housing costs and now he claims seniors (in Liberal language, the “super-rich”) must pay more as a result of their “excess wealth”.
The ridiculousness of that proposition aside, Canadians already pay a long list of taxes on their homes, including ever-increasing municipal property taxes, carbon taxes and GST/HST on new builds, renovations, repairs, and utilities (where homeowners pay a tax—carbon tax—on top of a tax–the GST). Plus, if a home or rental property does not qualify for the cap gains principal residence exemption, they will also pay capital gains taxes on any appreciation in value.
Canadians pay enough taxes. Too many taxes. The last thing we need is another Liberal tax that will do nothing but make Canadians poorer.
Conservatives have and will continue to oppose Justin Trudeau’s hike in capital gains taxes.
We are opposed to this latest proposal and will fight it tooth and nail.
When we get elected, we will make life more affordable by axing the tax and fixing the budget.
Only Conservatives will build the homes by getting rid of government gate keepers and other policies that prevent building affordable housing.
