Canada's generous (to the rich) Federal legislators
No, they didn't vote themselves a 25 - 30% bonus, like the provincial trough-hoggers did ... they're operating a minority government (5 parties - but the Green Party lacks a single seat).
They did arrange, though, for people earning solely one kind of income to have a 50% increase in such income before they became liable to pay income tax - last year it was about $27,000., this year it's about $40,000.00. While the average person becomes tax-liable at just around $10,000. income.
1. Ya gotta be rich (well, in today's economy, at least moderately so).
2. Ya gotta have only one kind of income.
3. Ya can't work. Well, if you feel socially obligated to work, to pay your way in society, justify your spot on the earth, etc., fine - just don't take pay for it.
If they have a spouse with income under about $10,000., are aged over 65, receive a private pension, make substantial contributions to charity and/or a political party, or have qualifying medical expenses above 3% of net income - they can push their level of tax-free income even higher.
If, however, you choose to accept your pay - or I accept my pensions - the benefit mentioned still works.
It's just that we can't (well, probably can't, depending on certain parameters) avoid paying even a cent of income tax.
The regular "taxpayer" was able last year to pay no tax on income solely as dividends from Canadian corporations up to about $27,000.
This year, thanks to a different system of calculation, that tax-free amount has risen to around $40,000. - with possible extensions above that amount, as mentioned.
If one receives dividends at a rate of 4%, a million invested would do it ... but that average rate's a bit difficult to obtain, investing responsibly.
More like $1.3 million at 3%.
But very likely total portfolio much larger, as some stocks pay a much lower rate, and quite a few that many investors, especially young ones, would find attractive - pay none at all.
Probably total portfolio somewhere in the neighbourhood of $2.5 - 5 million.
Quite a nice windfall, huh?