An Act to amend the Income Tax Act (deductibility of remuneration)

This bill is from the 39th Parliament, 1st session, which ended in October 2007.

Sponsor

Chris Charlton  NDP

Introduced as a private member’s bill. (These don’t often become law.)

Status

Outside the Order of Precedence (a private member's bill that hasn't yet won the draw that determines which private member's bills can be debated), as of March 27, 2007
(This bill did not become law.)

Similar bills

C-418 (39th Parliament, 2nd session) An Act to amend the Income Tax Act (deductibility of remuneration)

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-418s:

C-418 (2024) An Act to amend the Employment Insurance Act (accessibility and other measures)
C-418 (2018) Protection of Freedom of Conscience Act
C-418 (2013) Extraterritorial Activities of Canadian Businesses and Entities Act
C-418 (2012) Extraterritorial Activities of Canadian Businesses and Entities Act
C-418 (2010) Children's Commissioner of Canada Act
C-418 (2009) Children's Commissioner of Canada Act

Income Tax ActRoutine Proceedings

March 27th, 2007 / 10:05 a.m.

NDP

Chris Charlton NDP Hamilton Mountain, ON

moved for leave to introduce Bill C-418, An Act to amend the Income Tax Act (deductibility of remuneration).

Mr. Speaker, in my riding of Hamilton Mountain, and indeed right across this country, hard-working families are increasingly recognizing the existence of a prosperity gap. They do not feel that they are benefiting from the economic growth they keep hearing about. They are right. The numbers back them up. Not only is there a growing gap between the rich and the poor, there is also an alarming erosion of economic security for middle class families.

In 2005 Canada's top 100 CEOs were earning 240 times the salary of the average Canadian worker. By 10 a.m. on New Year's Day, the top CEOs have earned more than most Canadians make in a year. A recent poll showed that 82% of Canadians believe that one of the ways to narrow that prosperity gap is to close the tax loopholes that allow wealthy Canadians and corporations to pay less than their fair share of taxes. That is precisely what my bill does.

This legislation will no longer allow companies to write off against their business taxes the salaries of their CEOs and corporate officers in excess of $1 million. This is particularly important in communities like Hamilton, where companies that are seeking CCAA protection from the courts are protecting the multi-million dollar salaries of their key executives through court-supported KERPs while they are exacting wage, pension and benefit concessions from their workers.

I want to thank my colleague, the member for Winnipeg North, for her support. I hope the House will recognize the inherent fairness of this legislation and pass it quickly.

(Motions deemed adopted, bill read the first time and printed)