Conservative Leader Pierre Poilievre is maintaining a cautious approach regarding the Liberals’ proposed changes to capital gains taxes, advising business leaders to independently address their concerns despite criticizing the plan as detrimental.
While Finance Minister Chrystia Freeland recently introduced legislation for the federal budget, a separate bill expected to demand higher taxes from wealthy Canadians and businesses on their capital gains is still pending. This forthcoming legislation forces each political party to either support or oppose the measure through their votes.
Recent public opinion polls suggest a shift in younger voters towards the Conservatives, a demographic traditionally supportive of Prime Minister Justin Trudeau. Trudeau’s recent budget highlighted housing affordability and “generational fairness,” aiming to appeal to these voters.
Despite opposing the budget, Poilievre’s stance on the specific capital gains tax proposal remains unconfirmed. His spokesman, Sebastian Skamski, criticized the delay in the legislation’s introduction as a sign of the current administration’s “incompetence,” making it premature for the Conservatives to formulate a response.
The Liberals, meanwhile, have been actively promoting the tax changes across the country, asserting that the revised taxes would ensure a fairer contribution from those profiting significantly from asset sales. The proposed adjustments would increase the taxable portion of capital gains from one-half to two-thirds for corporations and high-earning individuals, exempting primary residence sales.
According to government estimates, this adjustment could generate over $19 billion in tax revenue over five years, funding new initiatives including housing construction projects.
In an opinion piece published in the National Post, Poilievre urged businesses to resist the government’s tax hikes directly through public engagement rather than relying on intermediaries. His populist rhetoric underscores a commitment to prioritizing the general populace over corporate interests, a stance he pledges to continue if elected prime minister.
As the debate continues, Poilievre remains non-committal on whether a future Conservative government would modify or retain the proposed capital gains adjustments, describing the situation as still “hypothetical.” He criticized the Liberals for separating the capital gains tax changes from the main budget bill, labeling it a strategic retreat and questioning the effectiveness of the measure to target the wealthiest taxpayers.