Budgets balance themselves – small dead animals

Lindsay Tedds take on the LSVCC.

Trudeau is going to bring back the Labour Sponsored Venture Capital (LSVCC) tax credit.
That is bad tax policy and means the Liberals now join my wall of Stupid Tax Policy Initiatives.

20 Replies to “Budgets balance themselves”

We bought some Working Opportunity Funds here in BC, back in 2004 and 2005. Just a few months before our final purchases became eligible for redemption, WOF froze future redemptions until further notice. We have a number on paper of approximately $6000.00 which in all likelihood we will never see. Our return on investment, including the 30% tax break at the time of purchase, will probably be in the range of -10%.

“I would like to know why, in the face of academic and international evidence, Justin Trudeau wants to breathe new life into something a putrid as the LSVCC tax credit.”
My experience is a loss of more than 10%. So I conclude this is just another feeding trough for cronies; they’ll divert some money back to the Liberals to keep the scam going.

“Trudeau is going to bring back the Labour Sponsored Venture Capital (LSVCC) tax credit. That is bad tax policy and means the Liberals now join my wall of Stupid Tax Policy Initiatives”
She is just now adding Turdeau le deux and the LPC to that wall???
What rock has she been under? Must have just got her first non-gubermint pay check, and saw how much us plebes where paying in slavery costs(tax).

A flat tax with appropriate level (s) of exemption for those unable to reach a level of income which can reasonably be expected to provide funding for the Social Contract. Naturally all exemptions directed to the source of income will be eliminated.
The arguement will then be dependent on need to meet expenses for governing and security. Security to be defined within the expectations of; Peace, Order and Good Government.
The progressive element of taxing wealth to be accomplished within the Value Added Goods and Service Sales Tax. Any efforts undertaken to avoid tax to be considered outside the Social Contract. Penalties to be commiserate with any other penalty for attempts to disturb P.O.G.G.

Did some quick calculations and my loss would be around 64% of my original investment. Based on the 8 year investment requirement before redemptions are permitted, that would be -8%/ year .

Economist Stephen Gordon is also crushing the Liberals over this.
https://twitter.com/stephenfgordon/status/571457486789718016

I worked in the industry. The only people to make money were the administrators, the salesmen, and the bureaucracy set up to oversee them. High tax bracket investors were able to lessen their taxes payable but saw very little or nothing returned on their investment. Most investors lost money excluding the tax break. Very few worthwhile startups were funded. Investment guidelines saw cash accumulate and sit too long uninvested–to the point where it made more sense for a fund manager to pay a penalty than to make an investment. When forced to invest, few good opportunities were available that made sense under the arcane investment rules. Labour Sponsored Funds were a disaster.

Any word on the rest of the Liberal’s economic policy release? I’ve seen nothing so far.

LSVCCs make as much economic sense as do subsidies for solar and wind. If it won’t stand on its own merits, it ain’t worth squat. The only reasoning I can see is lining the pockets of the Liberal/union insiders.
It’s nothing less than institutionalised theft.

”Trudeau is going to bring back the Labour Sponsored Venture Capital (LSVCC) tax credit.”
Trudeau won’t bring anything back, because he’s never formed a government, and he never will.

The old joke about customers’ yachts held true with a vengeance.
Learned that good startups never lack for inside track money, just the opposite.
Money pits on the other hand, – the door is always open and big smiles
always greet the suckers.

So much money produce in ontario and so many program run in city some are good temporarily relief is big cost of living we are paying living in big city in Toronto. Main problem I found with ontario government body they are lack of follow up validation inspection update to program. Such as make fix road few month after all traffic to rix big road today my car three time jump in big hole open in brand new road fixed my ryme came out. Who has time to suee city to damage our cars we must pay from our pockets. With all thoose billion they should hire right asphalt producer with rigbt percentage not open easy with snow removal can break asphalt or salt spreading they could make with thhose billion gave every body new car emision free gas made under ground parking or subway or made more highway they waste money not hire person inspect the road. There is new machine made by vvancover group spray all bridge cement rather than block it. But engineering of plan not right.waste all tax payer money in hand of big private company.

Ok
Go put on your helmet before you hurt yourself.

I believe they will sell large colored photographs of Justin at Christmas time.

She missed the biggest flaw in that policy.
Labour=union sponsored
Unions biggest target is those “evil corporations” that make up the “1%”.
The success rate of labour picking winners and losers is rarely successful and this policy is less for investment and more about covering a loss from a bad investment.
It also looks like Butts…er…justin is attempting to draw on the NDP base for support.

Trust pageboy haircut Justin to try to breathe life into that putrid corpse. He should come here to Manitoba and lecture the Crocus investors as to why they should continue to do their duty and fund these corrupt artifacts!

By the way, Lance, thanks for the reference to that blog. There seems to be some reasonably intelligent and well-articulated discussion of tax topics there.

Why would any rational person give money to unions and expect a positive return? If a project makes economic sense, it will not need taxpayer subsidies. Let unions fund these projects with their own money. If you give taxpayer money to the laziest morons in the nation, it will be wasted at best and stolen at worst. You might as well give taxpayer money to Indians to “invest.”

I had a relatively good experience with the Golden Opportunities LSVCC which shows a 1 year avg of 5.95% a 2 year avg of 3.95% and a three year average of 2.31% on the Globe Fund (http://www.theglobeandmail.com/globe-investor/funds-and-etfs/funds/summary/?id=52859)These returns are shown without considering the 35% tax credit which is rebated “up front” and is not taxed as income. I had a chartered accountant figure out the ROI, all things considered, and it was just over 7%. I know Golden Opportunities is an anomaly in the market place but credit where credit due.