(Gatineau) Québec solidaire has unveiled part of its tax reform, which aims to introduce a “tax on large fortunes” targeting people with net assets of more than one million, as well as a tax on large estates . These measures must “return 2.65 billion to the community”.
Posted at 9:48 a.m.
The main tax bracket will be 0.1%, or $1000 per million per year. For example, a person who owns three income properties and a boat with a total value of two million will have to pay an additional $1,000 on his tax return, since the first million is not taxed.
For buildings and houses, the amount of mortgage debt is subtracted from the real estate value to calculate net assets.
Québec solidaire believes that “the richest 5% must contribute more to finance health, education and the environment” and that “millionaires will have to contribute more”, in particular “to finance the fight against poverty”.
As for the “tax on large estates”, it targets fortunes of more than one million. “Anything over $1 million in net assets will be taxed at 35%. Thus, if a person bequeaths a million dollars, he will not pay any additional tax, ”explains the party.
With this inheritance tax, QS wants to tackle the fact that for the “greatest fortunes”, the most significant inequalities “are not in terms of income, but in the sums accumulated”. He points out that there is an inheritance tax in 24 of the 37 OECD countries, including Germany, France, the United Kingdom and Japan.
Wealth tax
- The first million of 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 first million net assets of the estate are exempt from tax
- The rest is taxed at a rate of 35%.