Fair
Taxation
Making Our Tax System Work for Everyone
Our tax system isn’t fair. Working families struggle to pay their bills. Meanwhile, big corporations hide billions in profits. The ultra-wealthy find ways to avoid paying their share. The Green Party will fix this unfairness. We’ll make sure everyone helps build our country’s future.
Tackling Wealth Inequality
Too much wealth is in too few hands. This threatens both our democracy and our economy. Statistics Canada confirms income inequality has reached the highest level ever recorded in Canadian history. 20% of Canadians hold more than two-thirds of the country’s wealth. Meanwhile more than 33% of Canadians earn less than $40,000 a year. That’s barely enough to cover basic necessities in most communities.
Eliminating Federal Income Tax on Earnings Under $40,000
Our first major policy to address income inequality is eliminating all federal income taxes on earnings under $40,000. This transformative change will:
- Ensure working Canadians keep more of what they earn
- Strengthen local businesses and revitalize communities
- Help break the cycle of debt for those forced to spend more than they earn on basic necessities
This plan achieves tax elimination by raising the “basic personal amount” from $15,705 to $40,000 – the portion of income that all Canadians can earn without paying federal income tax.
For Canadians experiencing financial strain, especially renters who spend a greater percentage of their income on housing, this tax relief creates a positive ripple effect throughout their lives and communities. When workers keep more of their earnings, they can afford necessities without taking on debt. They spend locally – at neighborhood grocery stores, restaurants, and small businesses. These businesses then hire more staff and pay better wages. Those workers, in turn, support other local businesses. Money flows through communities rather than to distant shareholders, creating stronger local economies from coast to coast to coast.
For someone earning $40,000, this means up to $6,000 more in their pocket each year – enough to cover several months of rent, reduce crushing debt, or build emergency savings. This isn’t just about individual relief; it’s about making Canada more secure and more resilient, because when communities thrive our country thrives too.
Making Big Business Pay Its Fair Share
Big corporations aren’t paying what they owe. Canadian families and small businesses pay their taxes faithfully. But big corporations use complex schemes and tax loopholes to avoid paying. This is especially true for big tech companies and banks. We’ll close these loopholes. We’ll make sure big corporations contribute to the services we all use and depend on.
Building a Better Tax System
Canada hasn’t updated its tax system since the 1960s. The world has changed. Our tax rules haven’t. It’s time for a modern, fair tax system. One that fits today’s economy. When everyone pays their fair share, we can build a better Canada. We can have better public services. We can have stronger communities. We can protect our environment for our children.
We have a simple goal: taxes that work for people, not profiteers. In the coming weeks, we’ll announce the next pieces of our new tax plan. Together with eliminating federal income tax under $40,000, these policies will create the biggest change to taxation in generations.
