Trudeau’s massive capital gains tax increase passes Parliamentary vote; Poilievre calls it ‘the definition of insanity’

Conservative leader Pierre Poilievre sparred with Prime Minister Justin Trudeau over the Liberal government’s proposed massive capital gains tax increase during Question Period Tuesday. The House of Commons approved the tax hike Tuesday evening with the New Democratic Party and the Bloc Quebecois supporting the Trudeau government.

“It's incredible that during a housing shortage [the prime minister] wants to tax home builders, during a health care shortage, he wants to tax away our doctors, during a food price crisis he wants to tax our farmers and while our economy is shrinking more than any other economy in the G7, he wants to tax our small business job creators,” Poilievre declared.

“Mr. Speaker, isn't this the definition of insanity?”

The capital gains tax was originally included in the April 15 federal budget but became separate legislation when Finance Minister Chrystia Freeland attempted to showcase the tax as a major initiative to make “the wealthiest Canadians” pay their fair share, according to Global News. 

The tax will be raised from 50 percent to 66.7 percent effective June 25, 2024.

Poilievre reminded Trudeau that the tax increase will affect mostly middle-class Canadians, not the super-rich, because it will be applied to properties worth $250,000 and above, the asking price of many summer cottages across Canada.

Trudeau clung to his government’s line that the tax would only affect “the wealthiest Canadians.”

“Today, Mr. Speaker, there is an opportunity for everyone in this house to stand up and ask the wealthiest Canadians to pay a little more when they sell extremely profitable investments. We are doing that on this side of the house. The Conservatives will be protecting the advantage that is there for the wealthiest Canadians while we invest more in housing, while we invest more in dental care, while we invest more in Canadians who need it," the prime minister said.