And that’s including our healthcare and other social services. That ~$2000 CAD goes a long, long way and I’d rather have it doing what it’s doing than gain it for what I’d lose.
And the marginal rate is not what you end up paying.
I don’t understand what you’re trying to say. In my example the $2000 CAD paid in Canada to taxes at the same income in Ontario versus California goes to fund one of the worlds highest ranked public education and healthcare systems. I’d call that a meaningful impact.
Healthcare is paid by the province. Take 42% of the province taxes only. Maybe $190. Most of the tax paid is federal. That means more of the $2000 goes to the military.
Still think it's a good idea? A lot of health related causes could use the remaining 2000.
And my 2000 figure is the difference you pay when making an extra 10,000 at the 100,000 level.
Marginal tax gets above 50% pretty quickly. For example Ontario takes a bit about 200k a year to get >50%. For average tax rate yes you’ll need a lot more. 800k a year gets you pretty close at 49.1%. Sounds like a lot but that’s “only” 600k usd at today’s exchange rate. High but in the ball park of a staff level engineer at Facebook or google.
I mean, you are technically correct. If you earn more than approximately 800k in Quebec, you would pay about 50% of your income in taxes. But how many people earn remotely that much? Is this really a concern for us mere mortals?
Average tax of 50% is pretty hard to hit you are right but I was more pointing at marginal tax rate which is what most people refer to when they say Canadian income tax are high. Just check the CRA tax brackets and add in the Revenu Quebec tax bracket for instance.
