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Gold/Mining/Energy : Canadian REITS, Trusts & Dividend Stocks -- Ignore unavailable to you. Want to Upgrade?

To: Taikun who wrote (9783)	9/26/2005 12:42:40 AM
From: whitepine	Read Replies (1) \| Respond to of 11633

But why should Goodale do anything at all about the trusts? And even if he were to do something, why should it be behind closed doors with his fellow cronies? IMO, trusts, by their very nature, enhance corporate governance. Since the profits are regularly distributed back to the unit holders, and since distributions cant be restated or spent on lavish cars, foolish acquisitions, etc., the managers are forced each month to distribute earnings. What really is the beef? Is it the mutual fund advisors who lose sales? Is it those companies who have not become trusts? Is it just a simple revenue grab by the liberals? I fail to understand why corporations should be subject to double taxation anyway. Why is a flat tax so objectionable, especially to the egalitarian left? To those who might reply, if my questions seem OT, send a PM. wp

To: Taikun who wrote (9783)	9/26/2005 11:48:48 AM
From: a.handbag.	Read Replies (3) \| Respond to of 11633

What happened was that some joker came out and said that EVERY Canadian corporation would be better off tax-wise if it converted into a trust. At the same time a large number of corporations were making noises about converting, and to cap it all a bank jumped on the bandwagon. It must have looked like an unstable situation with out of control mis-allocation of capital, all due to a tax anomaly. The minister reacted in a reasonable way by saying "hang on, we have to look at this." They are looking at it with input from all parties, in a calm and deliberate manner (hey, we're Canadians) and we trust investors should do the same.