Wheather you are in the world of Marketing like me or work in Tim Horton’s or as Nurse, well guess what? We’ve been told that we have to pay even more income tax. Nearly every Canadian worker will be faced to pay more in income tax starting January 1st. The kicker to it all is, residents of Ontario will be hit the most, over residents of other provinces. Yay! I am excited to hear that. I was still trying to comprehend the fact that I simply got to pay more income tax, as if I already don’t pay enough. A projected 2 percent average increase in income tax will affect almost everyone. What’s different this income tax increase, is that it’s designated to affect everyone. Including the working poor across all provinces. This year we all are losers. In the previous years, you might have gotten hit with a tax increase, which depended on your level of income, province you live in & if you were a family or single.
Biggest reason for the increase in income tax, is because Canadian Government has come up with new social programs and needs the money to offset the funding it has designated for these programs. What else is new? Seems like every time there is a new program introduced, Government helps out on one end, but takes it all back on the other end. A great example of this was with introduction of HST in Ontario. Let’s hike the tax to 13 percent, but we will be nice enough and give the people of Ontario a tax relief of 3 payments spread over a year ($330 for families & $100 for singles).
The government simply feels entitled to our money, with no obligation or accountability for it. Despite the increase, most are surprised (like my self), while there are many who are not. After all the money has to come from somewhere, after various bailouts. Canada has taken on a $164 billion dollar debt, which is spread between 2009-2015.Gone are those days of surplus. Billions were put into infrastructure spending, bail outs for banks, bail outs for car companies, 6 billion dollar tax cut for corporations & $200 billion to banks to buy out bad mortgages. Seems like the only the corporations are getting the breaks, while the working class is getting hit hard. Seems fair huh? I didn’t think so.
The disappointment continues with our government, no matter which way you look at it. Seems like there are taxes on everything, not matter which province you live in. Let’s not forget property tax, GST/PST/HST, fuel tax (which is tax on top of tax), property transfer tax, medicare tax, payroll tax and last but not least, property tax. It’s not wonder people are in debt, yet the government is worried about the rising household debt. The answer lies right here, in taxes and taxes on top of taxes. In defense of those who are debt free, the reason why household debt is so high, is because of foolish spending, but again that is a whole other never ending story on it’s own.