Financial Channel

I was told by a friend a little while back that the Conservatives were wanting to make tax cuts to capital gain as well as eliminate it for gains that are reinvested after a certain period? I'm sketchy on the details/truth, so if anyone has any info or links that would be great.

forget it.
they never introduced it.
I doubt they'd do it with a minority gov't.
btw, unless you're rich (large investments), you really wouldn't benefit much anyways.

They floated the idea of eliminating capital gains taxes if you reinvest your capital gains within six months. I'm not sure how they'd administer such a program. I'm 100% for it, but I doubt we'll ever see it happen.

I think the Tories did say that as a promise for election.
That sounds like a great idea. How many people can take advantage of that?

I'd definately take advantage of it. All of my returns are in automatically rolled back in anyway, so it wouldn't matter to me, except at tax time next year.

Anybody with a capital gain can take advantage of it.

Or anyone who holds a non RRSP mutual funds account will benfit from it. The reason is you get tax for any capital gain the fund made as they are evenly distributed to each unit holder. So even though you did not buy or sell any units, you're still liable to the capital gain incurred by the fund that year.

They suggested the idea, but didn't promise it. The effect can be staggering for those who invest, so if any government can put this bill into law I'd vote for them.

Right now the Conservatives have other issues on their plate than to entertain this idea. The Liberals won't support it because it's a Tory idea. The NDP won't support it because it supports the rich. The Bloc, well I don't know about their opinion on this issue. If they're also against it, then the Conservatives don't have enough support to pass the bill.

You seem to be suggesting that if they could pass it, they would. I highly doubt this.

It wasn't a very well thought out idea (they didn't give any clue how they would administer this), that for some reason they just threw out there during the election. Due to all of the tax deferrals this would cause in the short term, the government would take a pretty nasty hit in their annual revenue for a couple of years.

They don't have a lot of room to play with if they want to avoid a deficit, and it this political climate I can't imagine they would even think of running a deficit.

I'm quite sure if the Liberals announced today that they thought it was a good idea, and would be prepared to support it immediately, it still wouldn't happen.