In November 2006, the conservative led government in Canada has proposed income splitting for retired couples, but say would not do it for others.

Now, the Finance minister is leaving the door open for income splitting for others.

It should be noted that a couple earning $40,000 a year each would pay $3,500 less than if one of them is the sole earner and makes $80,000 a year. The latter article mentions a saving of up to $8,000 a year.

The practice is common in some other industrialized countries, most notably, the USA. However, there are some criticisms to the idea, such as the case for women who get divorced. It would also decrease government tax revenues by some $5 billion per year.