Neil Mangan

An ultra-wealthy British Columbian wrote in the Vancouver Sun this week that she "wholeheartedly" welcomes higher taxes, calling the B.C. NDP plan a tax she "won't even feel." I’ve read pieces like this before from ultra-wealthy people who feel the need to chime in on tax policy. The reality: the idea is grossly misinformed. But she's right on one count: she wouldn’t feel the increased tax burden. By her own account, much of her wealth sits in financial assets, and she chooses when to turn them into income. In plain English: wealth held for growth isn't taxed until it's sold. And when it is, only half the gain is taxed. A tax increase that starts at $190,405 of income barely touches someone in that position. Who does it touch? The family doctor. The surgeon. The engineer. The entrepreneur still building something. The people who earn fully taxable income every year and take the risks that grow an economy. Under the NDP plan, B.C.'s top combined marginal rate would jump to 57.5%. Anyone earning more than about $266,000 would face 55.5%, higher than the top rate in any other province in Canada. Here's the irony. In an earlier piece, she explained that her family's wealth came from a startup sold to Twitter and a career in Silicon Valley. That's exactly the kind of risk-taking B.C. should want more of, and exactly the kind a 57.5% rate tells the next founder to pursue somewhere else. If the author wants to pay more, nothing is stopping her. Both the B.C. government and the federal government are qualified donees under the Income Tax Act. Write the cheque to either one. You'll even get a donation receipt. In other words, volunteer your own money. Don't encourage poorly thought-out taxation policy that will drive away the risk-takers and investment B.C. desperately needs. ca.news.yahoo.com/opinion-ul…