News Article: Canadiens wrapped up in legal tax evasion leak - Paradise Papers

[CHaracter79]

ITs more worth it for a young family to have one income then 2 once you start havign kids. If you each make 60k.... after taxes you are left at about 41... after taxes.

after pre school fees and travel costs. you might as well stay home, take care of the kid.. and have the GOV give you money as low income family.

 

[MXD]

Weird, some people are telling me it's about 40%.
I recall paying way more than what would be 20% of 50K, but it was a while back so don't remember quite clearly.
Could be wrong.
Are you guys only talking about income tax? Because I am including everything, all form of taxes.

- Most people have no f***ing clue.
- If you paid way more than 20% out of 50K, then you probably did something that wasn't right. I mean, on top of my head, it's probably something like 12K. (It's more than 20%, but closer to 20% than to 40%...)
- Of course we're only talking about income taxes. I mean, how the /$"()%$*"/($ can we account for the GST and the HST when we aren't carrying on a business?

(I mean, we could, but you'd gather that I have something else to do with my life than this...)

 

[Wats]

So that's where the 9M in cap space is, offshore account.

 

[CHaracter79]

right but youre still at 40% from 40k still ridiculous

 

[MXD]

East coast of Canada is around 40% in income tax (Provincal, Federal, etc). Problem is the tax brackets you are in and this will change based on the salary you have and how much you invest to offset your taxes. The variables vary

You don't pay 40% in Income Tax if you're making 50K on the East Coast.
40% is probably the Marginal Tax Rate (taux d'imposition marginal, AKA the % of tax on the last dollar you earned) though, but the Marginal Tax Rate absolutely isn't how much you paid during a year.

 

[Adamcrazy3]

Weird, some people are telling me it's about 40%.
I recall paying way more than what would be 20% of 50K, but it was a while back so don't remember quite clearly.
Could be wrong.
Are you guys only talking about income tax? Because I am including everything, all form of taxes.

People don't know how income taxes work.

right but youre still at 40% from 40k still ridiculous

31% of the first 43k minus the 12k basic personal exemption.. then it goes up to around 40% for the remaining 7k.. in total like I said you pay around 11k in taxes far from 40%.

 

[Kriss E]

- Most people have no ****ing clue.
- If you paid way more than 20% out of 50K, then you probably did something that wasn't right.
- Of course we're only talking about income taxes. I mean, how the /$"()%$*"/($ can we account for the GST and the HST when we aren't carrying on a business?

(I mean, we could, but you'd gather that I have something else to do with my life than this...)

I'm talking about assurance maladie, regime des rentes, chomages, etc.

 

[CHaracter79]

the employer pays Assurance maladie. Chomage pension and parental are paid by empoloyee and the employer matchs the contribution and in some case pays 1.4 times the amount.

put it this way... the habs have contributed an average of 1.5 million dollars a year to health care...whilst most of their 'employees' rarely require health care in quebec to begin with ( this based solely on the salary of the players) and this isnt even converted to CAD

 

[CHaracter79]

its also costing the employer an extra 17% of gross income in his employers share..mayeb a little less maybe a little more depending on CSST rates.

 

[CHaracter79]

People don't know how income taxes work.


31% of the first 43k minus the 12k basic personal exemption.. then it goes up to around 40% for the remaining 7k.. in total like I said you pay around 11k in taxes far from 40%.

I meant FROM 40 k On...

 

[MXD]

I'm talking about assurance maladie, regime des rentes, chomages, etc.

...Yeah, come to think of it, between an interpretation that makes sense, and an interpretation that makes no sense, always presume your interlocutor went with the interpretation that makes sense.

So... Honestly, I don't know the exact amounts.

From personnal experience, I don't give 40% of my yearly earnings to the government (and I earn more than 50K, but less than 300K, if you get my drift...), so I'm pretty sure that a person who earns 50K doesn't do so either.

 

[Price4Prez]

It looks like the Canadiens are wrapped up in the "Paradise Papers" leaks.

This refers to roughly 3,300 Canadian companies, trusts, foundations and individuals whose names appear in a leak of millions of records from an offshore law firm and the corporate registries of 19 tax havens.

Basically, the Canadiens have been caught creating an offshore trust or corporation in countries where they pay little or no taxes, as a way to legally avoid — or potentially evade — paying taxes in Canada.

While this is legal, given Canada's lax corporate tax laws, it's dirty. I've been a Canadiens fan since I was a kid in the mid-70's. This is shameful. This team used to represent something, and it wasn't legal tax evasion.

Good work by the CBC and the Toronto Star (as well as an international consortium of journalists) for uncovering this. Molson needs to address this.

Spoken like someone who has not an ounce of business sense in his blood lol
So because the team is using LEGAL methods of deferring tax, it makes them less great? That is the epitome of silliness. News flash, MOST large corporations use every tool at their disposal to pay less tax. The only difference is, it doesnt come out in the news because some low grade, subpar, journalists think it proves a point to leak that info.

 

[Kriss E]

...Yeah, come to think of it, between an interpretation that makes sense, and an interpretation that makes no sense, always presume your interlocutor went with the interpretation that makes sense.

So... Honestly, I don't know the exact amounts.

From personnal experience, I don't give 40% of my yearly earnings to the government (and I earn more than 50K, but less than 300K, if you get my drift...), so I'm pretty sure that a person who earns 50K doesn't do so either.

Maybe start by understanding the point first and realize this is an internet forum where exaggerrations are made. Seems like another poster had no problem understand this.
Point was the guy who makes a pretty low salary still gives up a crap load. Whether it's 50% or 40 or 37.5%. Point is he gives up a big chunk of his earnings.
Meanwhile the multimillion or billion dollar company tries to avoid some taxes and it looks bad.
Point was simple and clear but you know, you felt like pointless arguing.
Cool. Moving on.

 

[CHaracter79]

if make 100k im takign home around 65k thats 35k the employer has to remit... but there is also another.... 13-15k he has to remit on top of that salary... so in all technicalities... your empoloyer is paying 50cents to every dollar he pays you to the government.

 

[mitchmagic]

everything is legal and within the law.

Doesn't make it morally or ethically right.

 

[MXD]

Maybe start by understanding the point first and realize this is an internet forum where exaggerrations are made. Seems like another poster had no problem understand this.
Point was the guy who makes a pretty low salary still gives up a crap load. Whether it's 50% or 40 or 37.5%. Point is he gives up a big chunk of his earnings.
Meanwhile the multimillion or billion dollar company tries to avoid some taxes and it looks bad.
Point was simple and clear but you know, you felt like pointless arguing.
Cool. Moving on.

This isn't even an appropriate answer to my post.
Not that you're the kind of give many of them in the first place.
But... yeah, move on. You could've been better informed. You weren't. Your loss.

 

[Habs Halifax]

You don't pay 40% in Income Tax if you're making 50K on the East Coast.
40% is probably the Marginal Tax Rate (taux d'imposition marginal, AKA the % of tax on the last dollar you earned) though, but the Marginal Tax Rate absolutely isn't how much you paid during a year.

Nova Scotia Provincial tax brackets:
9% ($0 - $30k)
15% ($30k - $60k)
17% ($60k - $93k)

Quebec Provincial Tax brackets:
16% (0 - $43k)
20% ($43k - $85k)
24% ($85K - $104k)

Canadian Federal Tax Brackets:
15% ($0 - $46k)
21% ($46k - $92k)
26% ($92k - $143k)

- $50k in Nova Scotia would be approx taxed 27%
- $50k in Quebec would be approx taxed $32%

This does not factor in CPP and EI deductions.

 

[MXD]

@Habaholicgolfer , that's the marginal tax rate.

At Federal, dollar 45 999 is taxed at 15%
Dollar 46000 is taxed at 21%

Or else it would be very stupid, as you'd see people who would refuse to do things like accepting a 95K/yr job because it doesn't pay as much as a 91K/yr job.

 

[ColinO]

Doesn't make it morally or ethically right.

What is immoral about paying the least amount of tax that you are legally obligated to pay? The answer is, of course, nothing at all. To answer otherwise would be to suggest that individuals and companies ought to structure their affairs in order to pay the most tax possible - which is exactly what no-one would ever do.

 

[Habs Halifax]

@Habaholicgolfer , that's the marginal tax rate.

At Federal, dollar 45 999 is taxed at 15%
Dollar 46000 is taxed at 21%

Or else it would be very stupid, as you'd see people who would refuse to do things like accepting a 95K/yr job because it doesn't pay as much as a 91K/yr job.

According to my calculations, Quebec is taxed 32%. It also does not factor in CPP and EI deductions. So it becomes closer to 40% more than you think.

 

[MXD]

For the record, Michael Hutchence was apparently named in these papers.
For you youngsters who don't know him, Michael Hutchence was the lead singer of INXS and passed away 20 years ago.

 

[Kriss E]

This isn't even an appropriate answer to my post.
Not that you're the kind of give many of them in the first place.
But... yeah, move on. You could've been better informed. You weren't. Your loss.

You could have also understood a simple point better. You didn't. Not that this is surprising, so ya, move on indeed, or go ahead, have the last world, it'll probably make you feel good.

 

[MXD]

According to my calculations, Quebec is taxed 32%. It also does not factor in CPP and EI deductions. So it becomes closer to 40% more than you think.

You're possibly not including the Base Exemption.

 

[Adam Michaels]

So is this where all the cap space is? Offshore?

 

[Habs Halifax]

You're possibly not including the Base Exemption.

I applied the same method to my current salary and it's spot on. After you factor in CPP and EI deductions (which is a form of a tax), it becomes closer to 40%