Canada Moves to End Tax Loophole Used by Doctors and Lawyers

By Josh Wingrove, Bloomberg News

Finance Minister Bill Morneau is proposing tax changes that would close loopholes often used by doctors and lawyers to reduce their tax burden, part of the Canadian government’s pledge to level the playing field for middle-income earners.

In an Ottawa press conference Tuesday morning, Morneau detailed the proposals reported by Bloomberg Monday that were billed as ensuring “fairness for the middle class.” The government plans to crack down on “sprinkling” income to spouses and adult children and other practice the government described as legal but unfair.

“Many of the richest Canadians are unfairly exploiting the ...