Tuesday, November 21, 2006

Income Splitting

Please! Income Splitting is the ultimate in fair taxation, allowing families to be taxed on total family income rather than their individual incomes. It will make family accounting so much simpler, rather than having to use complicated tools like spousal RRSPs, and other tax deductions. It also saves the silly problem that arises when one spouse gets a refund and the other has to pay additional tax. The tax cheque gets cashed right away, but the refund takes a lot longer.

2 comments:

Spinks said...

Frankly this recognizes that families are unique and a valuable component of society. Excellent news.

simplemelodiesoffolk said...

You have a good point. Income splitting is a good way to ensure for easy accounting- and certaintly saves money for millions on hiring CPA's. However, it would be a pretty controversial topic as to who or what defines as the head of the household, to decide who to fill out the form. On the other hand, the family could fill it out together, with each member filling out all of thier necessary information from thier W-2 forms.

It would be an interesting issue to continue to explore.