RE:RE:RE:RE:RE:Here is WHAT is Horribly WRONG with Capital Gain TAXATION Packer, packer. Comrade Pack driver! Here is another example of you say something on the internet, and then someone jumps in red faced spewing foam screaming, BS, Wrong, False.
It is very common that when people, tax professionals included, discuss various incomes say this income is taxed 100%, dividend income, for instance is taxed at less than 100% and capital gains are taxed at 50%.
What it means is that various incomes, Employment, Interest, Dividend, Capital Gains and a bunch of others, are treated differently. So when you add them all together to determine Total Income, some are added at the actual value but taxable capital gains and calculated in a separate sheet of paper and you are allowed to take 50% off.
This is not over yet. The next step is a bunch of deductions, such as RRSP and dozen more like Union fees, etc., and you come up with Net Income. And then there is even more deductions and you come up with Taxable Income.
My post was a simple explanation of why only 50% of capital gains are taxed. I.e. risk, to encourage investments...
A 10-year old would understand and he may even start debating it. He would argue that it's a loop hole abused by greedy wealthy people. He would argue that an income is an income and all should be treated equally. Bla, bla, bla.
But then you jumped in to start lecturing about tax rates and other stuff. You are not a very intelligent person, you know what I mean.