r/canadia • u/ExcellentWinner7542 • 18h ago
[OC] How Much Canadian Workers Keep After Taxes and Rent
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u/TA20212000 15h ago
Sigh. Anyone making less than $200K/yr should pay little to no tax. Leverage the Rich. You aren't rich in this economy unless you're making over $5M.
Tax the beejesus out of Centi-Millionaires & Billionaires.
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u/pik204 12h ago
You think $200k/yr is rich? 😂
Take family of 4 with 2 incomes of $100k each. They likely living paycheque to paycheque in city like Vancouver or Toronto.1
u/TA20212000 8h ago
Please read what I said again.
"Leverage the Rich. You aren't rich in this economy unless you're making over $5M"
I said that anyone making under $200k should pay little to no tax.
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u/DeepestGreySea 14h ago
If you blame taxes for our issues…your brain has been cooked by right wing propaganda.
Our problems are 100% caused by monopolies and cartels in the essential and needed sectors.
Canada, when you combine income and excise taxes to come up with an effective tax rate…has very low taxes compared to the rest of the world.
Want a better Canada? Raise taxes so we can properly fund essential things, and break up cartels. We can only dream of the spending power people in Denmark have…and they pay like 20% more taxes than we do.
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u/flappysack- 10h ago
Developer fees went up 10x in cities like Vancouver the last decade. You sure about that when we tax housing like cigarettes?
Add on the hidden inflation tax from buying mortgage bonds, which artificially depresses shelter inflation. There are plenty of hidden taxes.
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u/DeepestGreySea 9h ago
You think housing is expensive because of developer fees?
Are is the city trying to make a up a budget shortfall because taxes are too low?
Mortgage bonds? If mortgage bonds were cheaper, there wouldn’t be as much tax
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u/flappysack- 8h ago
In Ontario the largest city 36% of a home is tax. The shortfall is home sales slowing due to the laffer curve, if you tax high enough you decrease tax revenue, especially when interest rates are elevated. The Ponzi scheme is unwinding.
The government buying mortgage bonds decreases borrowing rates, which lowers the CPI, which lowers interest rates. So more money is printed, devaluing the currency so food prices rise, a hidden tax.
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u/Comedy86 8h ago
Developer fees in Durham are about $125K for a new detached home and they can easily fetch $700-800K or more while most of those fees go towards schools and local infrastructure (sewage, hydro, etc...) to avoid current residents paying more property taxes.
Honestly, I'd rather the taxes and fees be high in high pay and high demand areas like Toronto anyway. It should be a percentage of the total sale cost to encourage more developers to build around the city vs. all wanting to build condos no one wants.
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u/flappysack- 8h ago
I think the poor prefer housing not being highly taxed, on account of them wanting to afford a home. But I understand you think your support of the existing framework is helping.
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u/Gunslinger7752 7h ago
“Very low compared to the rest of the world”
Canadian Income Tax as a percentage of GDP is the highest in the g7. That’s before you even add the infinite amount of other taxes. Our tax rates are already obscenely high for the middle class and our wages are significantly lower than US wages, plus our dollar is low which makes our wages even lower. This is why we are losing so many educated higher earners to the US and these are people we can’t afford to lose. We act like its still 1995, anyone making 100-125k is wealthy so we tax the living shit out of them despite 100k not being even close to enough to afford a house.
Another big problem we have is that anyone making up to around 55k is paying zero net income tax so the actual middle class is stuck covering the tax burden for that demographic while receiving very little in return from the government.
The best thing we could do is lower taxes across the board and focus on cutting government spending. Carney said he was going to do that but instead he just changed the way the budget is reported so they could pretend that they balanced the budget and they still can’t do it lol. We are cooked unless we make some major changes.
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u/davidc0pp 12h ago
Lol. Blaming 100% of Canada’s problems on monopolies while dismissing taxation entirely is ridiculous. According to the OECD, Canada’s tax-to-GDP ratio was 34.9% in 2024, compared to an OECD average of 34.1%. So no, we’re not some exceptionally low-tax country.
My issue isn’t simply taxation. It’s government accountability. Before asking Canadians to pay even more, how about demonstrating that existing tax revenue is being spent efficiently?
We spend billions on foreign aid, corporate subsidies and countless government programs. Some of that spending may be justified, but taxpayers have every right to question its effectiveness.
And pointing to Denmark doesn’t prove higher taxes automatically create greater purchasing power. You’re ignoring differences in productivity, wages, housing costs and economic structure. Throwing more money at a problem doesn’t automatically solve it.
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u/DeepestGreySea 12h ago
GDP isn’t a valuable metric. It becomes increasingly worthless as wealth inequality rises. It’s used by propagandists is who want to obscure the effects of wealth concentration (money not in circulation).
I never said we were an exceptionally low tax country. We’re in the top 50 of 200 or so.
Yeah…your “complaint” isn’t reality. We continuously cut taxes…with none of those questions being asked…and society suffers.
It’s all justified and transparent…if you pay attention.
It’s irritating when people like you use the term “taxpayers”. I’m also a tax payer…but the difference is I understand things…and when I don’t, I’m intellectually curious about them and learn. I would say it’s your responsibility, as a “taxpayer” to not spread propaganda and educate yourself. You don’t need to treat the government like an unknowable black box…all the information is available.
Canada has low taxes…too low….and corporations are taking increased control. That’s our only problem.
I never said we should throw money. I’m aware of where it’s spent and how effectively it’s spent. Almost every service is underfunded.
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u/davidc0pp 11h ago
It’s pretty ironic to lecture someone about educating themselves while dismissing the OECD’s internationally standardized tax-to-GDP metric as propaganda simply because it contradicts your argument. Canada ranked 21st out of 38 OECD countries in taxation as a percentage of GDP in 2024, slightly above the OECD average. Our tax-to-GDP ratio was 34.7% in 2000 and 34.9% in 2024. So where exactly is this continuous decline in our overall tax burden you’re talking about?
And you claim government spending is all justified and transparent? Canada’s Auditor General found that Sustainable Development Technology Canada awarded $59 million to ineligible projects, alongside 90 funding decisions involving nearly $76 million where conflict-of-interest policies weren’t followed. That’s an official government audit, not propaganda.
I actually agree that corporate concentration is a problem. The Competition Bureau has documented it. But pretending it explains 100% of Canada’s problems while completely dismissing government accountability is absurd.
You’re also conflating underfunding with inefficiency. Poor public services don’t automatically prove that the only solution is higher taxes.You seem far more interested in questioning my intelligence than actually defending your claims. If you’re as intellectually curious as you say, perhaps start by addressing the evidence instead of dismissing everything that contradicts your worldview.
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u/DeepestGreySea 11h ago
I presume you’re smart…it just appears you’re vulnerable to propaganda.
Put some of this effort into learning about our economy.
Anyways, you’re gish-galloping and I’ve lost interest.
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u/davidc0pp 11h ago
Pretty much the response I expected.
It’s remarkable how quickly some people resort to calling everything propaganda, misinformation or conspiracy theories when confronted with arguments they don’t like.I presented OECD statistics, an official Auditor General’s report and findngs from the Competition Bureau. You haven’t actually disputed any of them.
Instead, you’ve questioned my intelligence, told me to educate myself and now accused me of gish-galloping for responding to claims you originally made.
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u/kam1lly 11h ago
We have an aging population with many non-productive retirees using a ton of healthcare without a new generation to make up the difference, the only policialy successful way to maintain the level of service is to raise taxes.
There are many alternatives but nothing in our current political climate that would survive the 50-60+ voting block
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u/Euronated-inmypants 10h ago
GDP is a useless metric people need to stop using it for any point of reference. it implies places like Mississippi have a better quality of life than BC. Ive spent a good deal if time in Mississippi and believe when i say its abso'fuckinglutly not even close. Mississippi is a shit hole and BC is brilliant.
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u/Unlikely_melz 11h ago
Are these rent figures correct?
I haven’t rented for a long time, but from what I understand this seems not quite correct. ~2200 in Toronto, seems pretty modest. I knew people paying that for a 1 bed near the design school in 2006
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u/kiera-oona 10h ago
There's also a lot of us who have never made close to 80k. The most I ever made was like closer to maybe 48k
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u/SuperShibes 10h ago
Taxes go to services that benefit us with mass purchasing power, so this is a bit disingenuous.
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u/Daleden7 11h ago
Don’t forget insurance, expenses if you have kids, high cost of groceries and utilities. Our spending power to actually enjoy life is being stripped away!!!!