A couple of recent news stories caught my attention.
One is the massive leak of documents being referred to as the Panama Papers and the other is the story about the double dipping/re-hiring of School District 67 staff.
The majority of the working public, dare I say middle class, will never be in a position to collect a large pension while still earning a generous salary.
Most working people would have no need to hide enormous sums of money with the use of shell corporations.
We are back to the class system whether we like it or not.
The upper class can make the choice to not pay income tax, or jump through a loophole to collect a large pension while still working. The middle class cannot.
What got to me regarding both of these stories was the spin from those involved.
In the case of the school district, the story was about how much money the district would save.
Lost in the details was that two individuals took a month off and came back to work.
Instead of one pay cheque, they will collect two.
Why couldn’t they just stay retired and the school district could promote someone new to the positions?
I’m sure there are qualified people that could use the promotion.
Just because a loophole exists doesn’t mean it is okay to exploit it for personal gain.
With the Panama Papers, most involved are making excuses for hiding money in order to not pay tax. It’s interesting what can be justified when it comes to money.
Unfortunately for the middle class, there are no suitable excuses or justifications. If they don’t pay all of their taxes, the Canada Revenue Agency will kick in their door.
The middle class can’t afford the lawyers, accountants and financial gurus to show them how to hide their money. It is middle class tax money that pays for our services like health care, education and highways.
No wonder our health care and education systems are in trouble.
The money that should be coming into tax coffers to support these valuable services is being sheltered overseas.
I believe governments should start cracking down on this gap.
Summerland is a good example of the division between upper and middle class.
There are quite a few wealthy folks living here.
Lots of fancy cars line the streets.
The high cost of real estate keeps a tight lid on growth and the tax base is mostly wealthy seniors, paying a discounted mill rate, and only living here half the year.
Meanwhile, businesses have trouble finding staff because they can’t afford to live here on the wages paid.
I’ve written in a previous column that I hope the upper class doesn’t mind pouring their own coffee at the Beanery because in a few years they might be the only ones left.
During the federal election, lots of ink was spilled about resurrecting the middle class.
The reality is that I don’t think that is possible until we get a handle on our collective greed.
Right now, it’s capitalism run amok.
Rob Murphy is the sales manager at the Summerland Review.
