Ottawa doctor joins group backing proposed tax reforms

An Ottawa doctor is joining a group of physicians from across Canada bucking the trend by speaking out in favour of the federal government's proposed tax reforms.

More than 280 doctors and medical students have signed an open letter addressed to Finance Minister Bill Morneau. In the letter, the doctors said they support a fair tax system "as a pillar for a just and healthy society."

"These changes should not be made without a transition plan, nor in isolation, but rather as part of a comprehensive review of tax policy with a view to equity," the letter states.

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Hasan Sheikh works as a family and emergency room physician in Toronto and Ottawa. He said he signed the letter because he hadn't seen his views reflected in the discussion so far.

"It's always a difficult thing to voice an opinion that is not popular," Sheikh said. "What I've realized is the feelings around this issue are far more nuanced than I think our provincial and territorial medical associations and our Canadian Medical Association are making it seem."

I don't think the view of all physicians has been included.- Dr. Hasan Sheikh

The government is planning to remove several tax-saving mechanisms available to physicians through incorporation. Some physicians have said those measures are essential, given that they have no access to benefits other employees enjoy.

In a recent statement, the president of the Canadian Medical Association said that a delegation told Morneau that doctors also rely on the tax measures to expand their practices and — among other things — to deal with "unanticipated costs, sick or parental leave, staff turnover and other business requirements."

Other medical associations have warned physicians may pack up and head to the United States as a result of the changes. But Sheikh doesn't buy that argument, saying he has seen no evidence to suggest a large number of doctors are thinking of heading stateside.

"Friends that I have in the medical system in the States, they talk about how complicated it is to deal with insurance companies and how difficult it is to work there," he said. "They talk about moving to Canada."

Overly complex system

As an incorporated physician in Ontario, Sheikh said he has to spend quite a bit of time trying to make sense of an overly convoluted corporate tax system. That involves spending time and money on accounting services — money that Sheikh said is really intended to be spent on patient care.

"What I'd like to see is a simplified mechanism for how doctors are paid," he said.

That mechanism should ensure that doctors are paid the same for the work they do, whether they're incorporated or not, and whether they're single or living in a family, Sheikh said.

"Doctors should be paid based on the work they do, and not the work that their accountant does."

Still, Sheikh said the federal government should acknowledge the impact its proposed changes will have on physicians. He hopes this debate will lead to a broader discussion about how doctors are compensated.

The open letter made several recommendations, calling for discussions with the provinces and territories to provide extended health benefits, parental leave and pension plans for all Canadians, as well as payment reform options for all physicians.

"I have a lot of faith in our medical community to have very nuanced and reasonable discussions about this," he said.

The government is expected to introduce the changes into legislation this fall.