Minister Bill Morneau says gov’t addressing concerns with proposed tax changes

bill morneau

Finance Minister Bill Morneau plans to address “unintended consequences” of the government’s proposed tax changes on small businesses as quickly as possible, according to the Globe and Mail. He still said that it plans to proceed with the controversial plan “as expeditiously as possible.”

“We will make sure that we get it right,” Morneau said at a news conference. “So, to the extent that there’s any issue that we need to look at carefully, we will. Our view is that we need to move forward with as much clarity as we can, as soon as we can, so that businesses will have certainty.”

Morneau has said that he’s willing to adjust the tax changes to address the biggest issues raised in consultations that ended October 2.

“I think that we’ll see different people across the country with different points of view,” Morneau told the Globe. “We think that it’s important to listen, in getting to the final conclusions. But we do intend on moving forward.”

Entrepreneurs like Bruce Croxon and Allen and Eva Lau have been vocal in their opposition to the proposed tax changes. The changes include restricting the use of income sprinkling to family members, restricting the use of private corporations to make passive investments unrelated to the business, and limiting a business owner’s ability to convert income into capital gains.

The Globe and Mail reports that finance department officials are having trouble finding a solution to the intergenerational transfer problem. General director of legislation in the department’s tax policy branch Brian Ernewein that the government is looking for submissions in public consultations for inspiration.

“In the situation around intergenerational transfers … we know that we need to make sure that we don’t have the unintended consequence of making that more challenging. So getting that right will be important,” Morneau said.

Photo via The Canadian Press

  • Jay Collins

    BM and JT know nothing about business but two crippled loons by looking at the strategies of NAFDA with US which results many Canadians are losing jobs. U two just the coveted dirty politicians who are true divisive hypocrites. It is absurd that the government not focusing on the solutions for national security, NAFDA, and encouraging the business owners to boom the country economy but undermine it.Only the psychopath with the divisive spirit would make such ludicrous tax change proposal which are destroying the back bone of the country economy.
    now, u r ramming small business taxes down our throats which will lead to layoffs , bankruptcies and those who stay in small business will raise costs . Taking it from all Canadians pockets . But when it comes to taxing the billions on offshore accounts . (Which BM and JT both have) they are taking their time lol. It’s also reported that both of them are using loopholes through family trusts to pay little to no tax. But for some reason family trusts are not in the tax fairness plan lol
    A empty chair in the office does the better job than this freak….