lifetime income tax

A lifetime income tax is an income tax that would tax a person based on their total lifetime income to date, rather than their yearly income.

You would not be taxed at the END of your life, but rather whenever, in your life, you hit certain levels of total earned income.

The main advocate of the idea is Roger Martin, Dean of the University of Toronto's Rottman School of Business. Former Ontario health minister and Conservative Party of Canada leadership candidate Tony Clement has come out in favour of a tax reform to embrace this notion.

  • Those who have earned less than $250,000 in their life wouldn't have to pay taxes.
  • Those who have made between $250,000 and $500,000 would be taxed at a 14 percent rate.
  • Earners of a cumulative $501,000 to $750,000 would be taxed at a 24 percent rate while those who had made $1 million would be taxed at 27 per cent.