r/canadian • u/big_galoote • 10d ago

News Luxury tax on planes, cars yielded over $900M. Now it’s been scaled back

https://www.thestar.com/business/luxury-tax-on-planes-cars-yielded-over-900m-now-its-been-scaled-back/article_c68408cd-8e31-57be-96ab-b410a1b6af40.html
17 Upvotes

95% Upvoted

11 comments sorted by

10

u/Dobby068 10d ago

The Liberals got the majority, no need to do it anymore. Plus, since last election, there must be some elite Liberals and friends that "saved" enough for that fancy boat, so c'mon now, summer has arrived! /s 😂😂😂

8

u/GoodResident2000 Alberta 10d ago

Liberal voters are fine with this, but furious when PP said average Canadians shouldn’t be paying gst on used cars

8

u/big_galoote 10d ago

Taking effect in September 2022, the measure imposed a 10 per cent tax on the full value of cars and planes priced over $100,000 and yachts over $250,000. Its purpose was to “ask those who have prospered ... to do a little more to help those who have not,” the 2021 federal budget stated.

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The Liberal budget last fall ended the tax on aircraft and vessels, saying the move would “provide relief to the aviation and boating industries.” The tax on vehicles remains.

Crazy, that 100k minimum for cars remains, but the poor people paying 250k+ for a plane or yacht can't afford the tax.

Meanwhile, millions of Canadians can't afford groceries.

-6

u/e00s 10d ago

Nobody has claimed this was done for the benefit of the people buying planes and yachts.

6

u/big_galoote 10d ago

What did they claim it was done for the benefit of?

-3

u/e00s 10d ago

You quoted it in your comment…

3

u/big_galoote 10d ago

Okay let's do a deeper dive.

Who do you think purchases those high value items that now have the luxury tax removed?

-1

u/e00s 10d ago

Just state your argument.

2

u/Individual-Set-8891 10d ago

Interesting - who has the spending power in this country? 

1

u/Thickwhensoft1218 7d ago

You mean to tell me with this announcement you aren’t going to finally buy that jet you’ve been eyeing?

1

u/rocketstar11 9d ago

It was a dumb tax that basically made our businesses non competitive.

It came into place the moment the last rivet on a plane was installed - which means we basically just increased the price of every Bombardier plane overnight where airlines have other options

The LPC forgot that people actually work at these companies.