The $500 million amount is continuously changing. It is based on a terribly flawed methodology and a number of slightly far-fetched hypothesis. It is also based on the premise that cooperations pay the normal tax rate of 35%. Reference was also made to RRSPs, RRIFs, and pension funds. Quite frankly, this whole business of lost tax revenue is a great political tactics which goes over well with the print media and the public. It is not an easy argument to resist because the public... One of my neighbours told me that it was incredible that trusts generated losses and that you had to pay taxes because of that. So I then ask him if he knew what a trust was, and he admitted that he did not know.
On February 1st, 2007. See this statement in context.