Taxes on banks, life insurers could reap $5.3bn over five years – PBO

Proposed federal taxes on sure monetary establishments could generate $5.3 billion within the subsequent five years, in response to two new experiences from the parliamentary finances officer (PBO).

Those mooted taxes embody the Canada Recovery Dividend, a one-time 15% windfall tax on earnings made by banks and life insurers throughout the COVID-19 pandemic, and a proposed everlasting improve to the company taxes paid by banks and life insurance teams.

The former would generate $3 billion, in response to the PBO, whereas a deliberate hike to financial institution and insurance earnings over $100 million – from 15% to 16.5% – could produce $2.3 billion within the subsequent five years.