do not have a family doctor. The share of the population without a regular place of primary medical care ranges from a low of 13 per cent in Ontario to 27 per cent in British Columbia to a whopping 31 per cent in Atlantic Canada and Quebec.
The CMA says that “many community-based physicians have incorporated their practices as a means of efficiently delivering health services to Canadians,” and the tax advantages allow for “saving for retirement, since most do not have access to employer retirement plans.” . It means only 50 per cent of a capital gain is taxable – and the other 50 per cent attracts no income tax. In other words, capital gains are currently subject to a tax rate half that of regular income.
But the basic story is that Ottawa aims to tax capital gains at a higher rate – but still a third lower than the 100 per cent inclusion rate the doctor’s office receptionist pays on her salary. Reasonable people can debate what is the appropriate capital-gains tax rate, and the economic pros and cons of higher or lower taxes on certain investments. What reasonable people can’t disagree about is why Canada has a doctor shortage. It’s not about taxes.
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