(Gatineau) Quebec Solidaire has unveiled part of its tax reform, which aims to introduce a “tax on large wealth” targeting people with net worths of more than one million, as well as a tax on large estates. These actions must “return 2.65 billion to the community”.
Posted at 9:48 am
The main tax rate is 0.1% or $1000 per million per year. For example, a person who owns three income properties and a yacht valued at a total of two million would have to pay an extra $1,000 on their tax return because the first million is not taxable.
For buildings and homes, the amount of mortgage debt is subtracted from the value of the real estate to calculate net assets.
Québec solidaire believes that “the richest 5% should finance health, education and the environment” and that “millionaires should contribute more”, especially to “finance the fight against poverty”.
As for the “tax on large estates”, it targets fortunes of more than a million. “Anything above $1 million in net assets is taxed at 35%. Therefore, if a person gives a million dollars, he will not pay additional tax,” explains the party.
With this inheritance tax, QS wants to address the fact that for the “greatest fortunes”, the most significant inequalities are “not in terms of income, but in the sums accumulated”. He pointed out that 24 of the 37 OECD countries have an inheritance tax, including Germany, France, the United Kingdom and Japan.
wealth tax
- The first million in net assets are tax exempt
- Between $1 million and $9.9 million: 0.1% of net assets
- Between $10 million and $99 million: 1% of net assets
- Over $100 million: 1.5% of net assets
inheritance tax
- The estate’s first million in net assets are exempt from tax
- The rest is taxed at 35%.
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