TMX Group CEO warns capital gains changes are a tax increase on investing in Canada

Capital Gains Tax News

TMX Group CEO warns capital gains changes are a tax increase on investing in Canada
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Ottawa is planning to increase the taxable portion of capital gains to two-thirds from 50 per cent for corporations and trusts, with the same increase applying to individual investors with capital gains above $250,000 per year, as of June 25

John McKenzie, CEO of TMX Group, pictured during the Piper Sandler Global Exchange and FinTech Conference in New York City in June 2023. He calls the timing of the capital gains tax changes this year particularly concerning.Canada’s largest stock exchange operator is urging the federal government to mitigate the risk of a higher capital gains tax inclusion rate before the increase takes effect next month.

“When we are talking about investing, particularly in venture-sized companies, they don’t pay dividends, a lot of them are pre-income so it is a different risk profile that shouldn’t be thought of in the same lens as selling a 50-year-old cottage,” he said. Opinion: Own a cottage or investment property? Here’s how to navigate the new capital gains tax changes

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