Ottawa, Sept. 18, 2017 (GLOBE NEWSWIRE) -- Organizations from different sectors across the country representing over 4 million Canadians have come together to form the new Coalition for Tax Fairness — in support of the federal government’s efforts to close unfair tax loopholes that allow some wealthy Canadians to reduce their taxes using private corporations. The group issued a joint statement today. Membership is open and the coalition is growing fast.
According to the group’s statement, the research clearly shows that the wealthy are far more likely than middle or low income Canadians to own a private corporation, and are far more likely to take advantage of these tax loopholes.
”We represent Canadians concerned that high levels of inequality are dragging down our economic growth and wellbeing,” says spokesperson Diana Sarosi from Oxfam Canada, “Women are particularly impacted by the lack of funding for universal programs like child care.” She adds: “Closing these private corporation tax loopholes is a positive and important step, but it falls short of a full tax fairness strategy.”
“This is a critical issue for all Canadians,” says Dennis Howlett from Canadians for Tax Fairness, “Unfair tax loopholes exacerbate inequality, undermine the integrity of our tax system and limit the ability of government to fund the social and physical infrastructure we need to ensure a healthy and fair economy.”
Coalition members include:
Alberta Federation of Labour
Broadbent Institute
Canadian Association of University Teachers
Canadian Centre for Policy Research
Canadian Federation of Students
Canadians for Tax Fairness
Canadian Labour Congress
Canadian Union of Public Employees
Citizens for Public Justice
International Brotherhood of Electrical Workers
Labour Council of Toronto and York Region
Newfoundland and Labrador Federation of Labour
Nova Scotians for Tax Fairness
Oxfam Canada
Saskatchewan Federation of Labour
Public Interest Alberta
Unifor
For more information contact:
Diana Sarosi: (604) 736-7678
Dennis Howlett Canadians for Tax Fairness (613) 863-3670
For French media, contact Diana Gibson (780) 910-0665
Watch for updates on our website at: https://coalitionfortaxfairness.civicrm.ca/
Joint Statement
(version française- https://coalitionfortaxfairness.civicrm.ca/)
The Canadian Coalition for Tax Fairness supports the federal government’s efforts to close unfair tax loopholes that allow some wealthy Canadians to reduce their taxes using private corporations.
Unfair tax loopholes exacerbate inequality, and undermine the integrity of our tax system and the ability of government to fund the social and physical infrastructure needed to ensure a healthy and growing economy.
The private corporation loopholes that the government aims to close largely benefit the wealthy and create significant inequities in our tax system. The research clearly shows that the wealthy are far more likely than middle or low income Canadians to own a private corporation, and are far more likely to take advantage of these tax loopholes. This is also a gender issue; a disproportionate benefit of the loopholes goes to men while it takes money away from universal programs such as childcare. With $27 billion sheltered in passive investments to date, this is a significant public subsidy to the wealthy.
Although closing these private corporation tax loopholes is a positive and important step, it falls short of a full tax fairness strategy. There are many other unfair loopholes, such as those for stock options and capital gains that mostly benefit the wealthy and do not serve the broader public interest, while making the tax system overly complex.
We encourage the government to take substantial steps to further improve tax fairness and implement a broader package of reforms. The money currently providing taxpayer-funded subsidies for the wealthy could be much better invested in poverty eradication, better public pensions for all, universal child care, long-term care for seniors, action on climate change, public education, community economic development, international development, programs for indigenous communities, agricultural research, or other measures that would build a healthy, growing economy.
Attachments:
A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/08546b79-7efc-4e15-a4c7-5d9e0c548e30