Complete Solutions Manual for Byrd & Chen's Canadian Tax Principles, 2023|2024 Edition, 1st edition by Gary Donell, Clarence Byrd,Ida Chen. Volume 1 Solutions included (Chap 1 - 10)
1 Introduction to Federal Taxation in Canada
2 Procedures and Administration
3 Income or Loss from an Office or ...
Thanks for your valuable feedback. Do not forget to visit us again for more documents you need. If you need any other document, let us know so we can help you further. We are available 24/7.
By: suzanneohalloran5 • 1 month ago
By: StepsSol • 1 month ago
Thanks for your valuable feedback. Do not forget to visit us again for more documents you need. If you need any other document, let us know so we can help you further. We are available 24/7.
By: aprilcockerill • 7 months ago
By: jonalyngmendoza • 9 months ago
By: StepsSol • 9 months ago
Thanks for your honest review. Good luck. Keep visiting us for more educational stuff.
Chapter 1 – Solutions to Assignment Problems
Solution to AP 1-1
Although there may not be one single solution to this problem, and student answers will be
limited to their preliminary understanding of income tax concepts and procedures, this
problem provides the basis for an interesting discussion of various qualitative characteristics.
Equity or Fairness The increase provides both horizontal and vertical equity. Individuals
with the same income will receive the same treatment, while individuals with different income
will be treated differently.
Neutrality The increase is not neutral. It targets high-income individuals and is likely to
influence their economic decisions.
Adequacy While the increase was intended to create additional revenues, there is some
evidence that the opposite has happened. This reflects the fact that high-income individuals
are sometimes in a position to move some, or all, of that income out of Canada (e.g., move
their residence to the U.S.) and to engage in complex income splitting transactions.
Flexibility With respect to flexibility, the rate can be changed at any time. However, as a
practical matter, such changes would need to be on an annual basis.
Simplicity and Ease of Compliance This change would not appear to present any
compliance issues.
Certainty The increase makes it clear to individual taxpayers the amount of income tax that
they will be required to pay.
Balance between Sectors Unfortunately, this change will increase the imbalance in the
Canadian tax system between corporate and individual taxpayers. Before the change,
individuals were already paying a disproportionate share of tax revenues. The intent of this
change was to further increase this imbalance.
International Competitiveness This increase further widens the gap between Canadian
and U.S. personal income tax rates, making Canada far less competitive with the U.S.
However, Canadian income tax rates are not out of line with income tax rates in other
industrialized countries.
1-1
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through EFT, credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying this summary from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller StepsSol. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy this summary for R737,85. You're not tied to anything after your purchase.
