80% Say “Don’t Overtax Seniors”

A Knowledge Bureau opinion poll on wealth and wealth inequality has touched a nerve.

Older means richer in Canada, according to the Survey of Financial Security, 2012. But at the same time, there is concern about wealth inequality in Canada. When asked whether retirees should pay more tax on their income and capital to address the issue, there were some strong opinions with a few common themes.

From Sharon: “Retirees who planned and saved for retirement should not pay a penalty for doing so.”

Gil makes this point: “If you knew you were going to pay a higher tax when you retired, would you save?”

Janet is firm: “Absolutely not! There are two types of people – savers and spenders. . .how you manage your money is a choice. Hard workers and savers should not be penalized.” 

The last word goes to Don: “I agree with all of those who replied that there should be no extra tax on these people nor on their estates. I work with a number of seniors who earn more from pensions and investment income than their children in their 30s do from employment earnings. They use a lot of those earnings to help their children and grandchildren enjoy the extras and fun things…”

Thanks to all for participating. Next month’s poll celebrates Small Business Week in Canada, October 19 to 25. The poll question is one of concern to business people who use their vehicles for business purposes: Should the maximum limit on capital cost for passenger vehicles in Class 10.1 be raised above $30,000 plus taxes?