How tax cut promises stack up to Canada's soaring cost of living [Yahoo! Finance Canada]
Royal Bank Of Canada (RY)
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Source: Yahoo! Finance Canada
The election focus thus far has been on a pair of different – but similar – tax cuts meant to appease Canadians who have been frustrated with the cost of living. The Liberals are pledging to cut the marginal tax rate by one percentage point, which the party believes will save the average middle-class two-income family up to $825 a year. The marginal tax rate is the tax you pay in the highest tax bracket you reach. The Conservatives, however, are promising to cut the lowest income tax bracket from 15 per cent to 12.75 per cent, which the party said will save the average worker $900 per year, or $1,800 for a two-income family. But does either plan really move the needle for Canadians struggling with the cost of living? With half of Canadians just $200 away
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