CARBON TAX REBATES DONE RIGHT WAY BY NDP FOR FINANCIAL FAIRNESS OF SINGLES

CARBON TAX REBATES DONE RIGHT WAY BY NDP FOR FINANCIAL FAIRNESS OF SINGLES

(These thoughts are purely the blunt, no nonsense personal opinions of the author about financial fairness and discrimination and are not intended to provide personal or financial advice.)

(This opinion letter was published in a local newspaper with some modifications as only a limited amount of words are allowed in opinion letters for newspapers.)

(six-reasons-why-married-coupled-persons-are-able-to-achieve-more-financial-power-wealth)

Whether the carbon tax is right or wrong is in the eye of the beholder.  However, one thing that is being done right is the NDP carbon tax rebate program.  Finally, there is a program which follows semblance of equivalence scales for cost of living.

The NDP 2017 carbon tax rebates will be $200 for one adult household up to net income of $47,500, $300 for two adults up to net income $95,000, $230 for one adult with one child up to net income $47,500, and $360 for two adults with two children up to net income $95,000.

Equivalence (cost-of-living) scales like OECD and square root scales show cost of living is spread out over number of persons in family units, not times number of persons in family units.  Needs for housing space, electricity, etc. will not be three times as high for a household with three members than for a single person. With the help of equivalence scales each household type in the population is assigned a value in proportion to its needs.  Cost of living for one adult household is more expensive than for two adult household.  The StatsCan square root equivalence scale shows that if single adult is equivalent to 1.0, the scale for one adult with one child is 1.4, two adults 1.41, two adults with one child 1.73, two adults with two children 2.0 and two adults with three children 2.24 (full table can be found at statcan).

There never will be a perfect way of doling out dollars including rebate dollars since it can be shown that the more income family units make, the more they will usually spend. In this case, the income level is generously based on net income, not gross income. Winners and losers show net income of $95,000 for two adult family unit is quite generous and are the winners. The $230 rebate for adult with one child with net income up to $47,500 could be considered the losers.  This same logic can also be applied to the rebate dollar amounts.

Finally, there is a political party that has attempted to provide a financial program that follows equivalence scales for family units instead of giving more benefits to married or coupled families with children. Such attempts mean more financial fairness for singles never married, no children without giving unequal and multiple boutique tax credits and other benefits to married or coupled family units with and without children.

(This blog is of a general nature about financial discrimination of individuals/singles.  It is not intended to provide personal or financial advice.)

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