From the Fraser Institute

By Alex Whalen and Jake Fuss

With Major League Baseball’s regular season winding down and NHL training camps starting up, some big-name athletes including Maple Leafs captain John Tavares and former Toronto Blue Jays Josh Donaldson and Jose Bautista are involved in lawsuits with the Canada Revenue Agency. While the specifics of each case differ, the overall theme is the same—when signing their contracts in Toronto, these athletes adopted tax planning strategies to manage Canada’s burdensome tax structure.

One might ask: who cares about the tax plight of multi-millionaire pro athletes? But these high-profile cases underscore Canada’s comparative disadvantage in attracting top performers in all fields.

Similar to professional athletes, other high-skilled individuals including doctors, engineers, scientists and entrepreneurs are more likely than other workers to consider tax rates when choosing where to live and work. By maintaining high tax rates relative to similar jurisdictions, Canada has a harder time attracting and retaining these talented individuals.

And you’re almost guaranteed to face higher tax rates in Canada than in the United States. When it comes to top personal income tax rates, 10 of the top 15 highest-taxed jurisdictions in North America (among 61 provinces and U.S. states) are Canadian including the entire top eight.

In fact, a top performer in Ontario, British Columbia or Quebec faces a marginal tax rate at least 11 percentage points higher than the median U.S. state, and 16 percentage points higher than nine U.S. states (which have no state income tax). For a doctor, entrepreneur, professional athlete or other high-skilled worker, the tax differences between these jurisdictions can be substantial. Not surprisingly, the nine U.S. states with no state tax such as Texas, Florida and Tennessee have become favoured destinations for pro athletes and other top talent.

In addition to hurting Canada’s ability to attract high-skilled individuals, high personal income taxes reduce incentives for Canadians to work, save and invest. For example, higher taxes reduce the income workers take home from each hour worked, so many will choose to work fewer hours, resulting in reduced economic growth and prosperity. And higher taxes reduce savings and investment by consuming larger portions of a worker’s earnings.

High tax rates can also lead to less innovation and entrepreneurship, which limits economic growth and thereby affects all Canadians, not merely the wealthy. These innovators and job creators operate in a global marketplace for talent. Once achieving free agency, the typical hockey or baseball star generally will only have 30 to 32 destinations to choose from, all within North America. In contrast, Canada competes for other types of talent with countries from around the globe, making competitiveness even more important.

Professional athletes have a few things in common with other top performers. They are highly mobile, and all else equal, will move to jurisdictions that allow them to take home the highest possible after-tax earnings. While no Canadians are likely losing any sleep over John Tavares’ tax lawsuit, the broader concern over Canada’s competitiveness should be a top priority for policymakers.

Authors:

Alex Whalen

Director, Atlantic Canada Prosperity, Fraser Institute

Jake Fuss

Director, Fiscal Studies, Fraser Institute

From the Brownstone Institute

By Clayton J. Baker, MD  

In its current iteration, bird flu has caused no widespread human illness, no human deaths, and sporadic outbreaks in farm animal populations. However, there is much evidence that bird flu could be used as a bioweapon.

Bird flu was the hot topic in pandemic fear-mongering until very recently. Just a few months ago, former CDC director Robert Redfield publicly described Bird flu (also known as H5N1 Influenza A or Avian Influenza virus) as the likely next pandemic – predicting a laboratory-leaked virus as the cause. Meanwhile, Deborah Birx, aka the “Scarf Lady” of Covid infamy, was making the TV news, promoting an unrealistic and excessive program of testing farm animals and humans for Bird flu.

At present, bird flu seems to have been put on the back burner by the authorities. Monkeypox has since taken center stage, with the World Health Organization declaring a state of emergency over that virus. Furthermore, the “experts” have trotted out numerous other viruses with which to terrify the public. Examples include West Nile virus – who no less than Anthony Fauci himself supposedly contracted – and even the exotic “Sloth virus” (also known as Oropouche virus).

The first step in dealing with these continual reports of horrific pathogens is recognizing the vital importance of living in knowledge rather than in fear. “Fear porn” is a real psychological weapon and one that is being used against us on a daily basis. As we painfully learned during Covid, a terrified population is easily manipulated, controlled, and exploited. As free citizens, we must remain mindful and knowledgeable, rather than fearful, about the flood of information and propaganda that is hurled at us.

Regarding bird flu, we should remain mindful of the following. In its current iteration, bird flu has caused no widespread human illness, no human deaths, and sporadic outbreaks in farm animal populations. However, there is much evidence that bird flu could be used as a bioweapon. Furthermore, it could also be applied to disrupt the November 5 US Presidential election.

Here are 3 reasons why bird flu may still be weaponized to alter the election:

• Multiple bio labs in the United States and abroad – such as the lab run by Yoshihiro Kawaoka, PhD at the University of Wisconsin – perform alarming Gain-of-Function research on the H5N1 virus, making variants of the virus that are much more dangerous to humans than variants that occur in nature. These labs have had leaks with alarming frequency. The current strains of bird flu in the US show strong genetic evidence of having originated in a laboratory. A laboratory leak of a new strain of the virus, manipulated to be highly transmissible and/or pathogenic in humans, remains a real possibility.
• The “International Bird Flu Summit” will be held on October 2-4, 2024 at the Hilton Fairfax in Fairfax, VA – just outside Washington, DC – exactly one month prior to the election. Listed topics include “Command, Control and Management,” “Emergency Response Management,” and “Surveillance and Data Management.” If this sounds eerily reminiscent to you of the Covid lockdowns – which were also closely preceded by government-based planning exercises – your memory serves you well.
• The infrastructure is already in place for a “pandemic” of bird flu, much more than it is for other potential pathogens. Already, widespread testing of farms is underway. The development of bird flu vaccines has increased dramatically. The FDA has already approved vaccines made by Sanofi, GSK subsidiary ID Biomedical Corporation of Quebec, and CSL Seqirus, while Moderna recently received a $176 million government grant for its mRNA-based bird flu injection, which is in development.

In the bigger picture, a number of viruses could potentially be employed as an “October Surprise” to disrupt the election. Bird flu appears to be a leading candidate (pun intended), but it is not the only one.

We, as citizens, must remain vigilant to this threat to our electoral process. We should contact our local and state officials now, before anything is attempted, and express our absolute insistence on fair, legal, and regular elections. We should share this information widely with others so that all are aware of what might be attempted. Over the longer term, we must work to end Gain-of-Function research.

With Covid, we experienced first-hand what can be done to our civil rights and to our Constitutionally guaranteed electoral and governmental processes when a fear-driven, emergency-based takeover of society occurs. As free citizens, we must never allow this to happen again. From now on, we must live in knowledge, not in fear.

Author

Clayton J. Baker, MD

C.J. Baker, M.D. is an internal medicine physician with a quarter century in clinical practice. He has held numerous academic medical appointments, and his work has appeared in many journals, including the Journal of the American Medical Association and the New England Journal of Medicine. From 2012 to 2018 he was Clinical Associate Professor of Medical Humanities and Bioethics at the University of Rochester.