Income Splitting DÃ©jÃ Vu
This blogâ€™s unofficial slogan has been â€œTomorrowâ€™s conventional wisdom, today.â€ After this weekâ€™s Conservative backpedalingÂ on income splitting, we may need to change it to â€œTodayâ€™s conventional wisdom, seven years ago.â€ Or we could just stick with â€œYou read it here first.â€
My first-ever blog post, Income Splitting Redux, argued that this tax policy â€œwould benefit an affluent minority at the expense of important public programs and create a disincentive for women to engage in paid employment.â€ I made the same case in an opinion editorial published in The Ottawa Citizen seven years ago this month and revived it during the last federal election campaign.
That critique now seems to have garnered widespread agreement, even though the numbers are a bit less dramatic for the Conservative platform proposal to allow spousesÂ with children to shift up to $50,000 for tax purposesÂ than for unlimited income splitting between spouses.
Great stuff Erin, I also wanted to mention David MacDonald’s excellent piece from the CCPA on this subject.
I think the whole of the progressive movement really took this issue on for several years now and have been debunking it with effectiveness. Another victory for progressives- we do have victories and it is important for to recognize and celebrate them- good work by all.