Well, sure, as soon as the second earner goes into the workforce, those tax savings from income splitting are lost, and so that raises the effective tax rate. When you have higher tax rates you have efficiency costs.
October 21st, 2014 / 5:35 p.m.
Professor, Associate Dean, Carleton University, As an Individual
Well, sure, as soon as the second earner goes into the workforce, those tax savings from income splitting are lost, and so that raises the effective tax rate. When you have higher tax rates you have efficiency costs.
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