Omg 50% capital gains tax sounds insane. I feel like that would dissuade people from investing. “Okay you invest in this asset. It might go down, which would be bad, but if it goes up you get to keep half of that and pay me the other half!”
They wouldnt invest in assets if they didnt get paid for it so by your own definition, they are doing work.
(And technically if someone loved their job so much that they would do it even if they didnt get the money, then they would not be doing work and still getting paid for it)…
I don’t know any doctor or high earning professional that makes millions of dollars per year. You’re still thinking about the wrong bracket. We’re talking about the mega wealthy, hundreds of millions to billions in net worth. Also, no, the effective tax rate never actually decreases in Canada. You get taxed at higher percentages the more money you make. Someone making $750k a year gets taxed at a higher rate, both marginally and effectively, than someone making $50k. You’re assuming that all of this extra money is just coming from capital gains. It’s not.
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Omg 50% capital gains tax sounds insane. I feel like that would dissuade people from investing. “Okay you invest in this asset. It might go down, which would be bad, but if it goes up you get to keep half of that and pay me the other half!”
sounds like a great deal for doing literally zero work?
But they took the risk of becoming checks notes … a wage worker.
Whats your definition of work then? Id actually be interested…
things that wouldn’t do if you don’t get paid for it
They wouldnt invest in assets if they didnt get paid for it so by your own definition, they are doing work.
(And technically if someone loved their job so much that they would do it even if they didnt get the money, then they would not be doing work and still getting paid for it)…
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Ah this makes much more sense. Thank you for the explanation
I don’t know any doctor or high earning professional that makes millions of dollars per year. You’re still thinking about the wrong bracket. We’re talking about the mega wealthy, hundreds of millions to billions in net worth. Also, no, the effective tax rate never actually decreases in Canada. You get taxed at higher percentages the more money you make. Someone making $750k a year gets taxed at a higher rate, both marginally and effectively, than someone making $50k. You’re assuming that all of this extra money is just coming from capital gains. It’s not.
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