The problem lies in the significant gap between the tax rate of corporations and individuals. If a corporation is a "person" then it should be taxed as a person. If you take away the incentive for the loop hole, the loop hole goes away. 

The problem we have in Canada, and other wealthy nations, is that the money is increasingly being concentrated in the hands of a few, who fund elections and lobby governments for favourable loop holes that exacerbate the problem. It is an unsustainable situation that is either addressed through progressive public policy or pitchforks at the gates. 

We just experienced 10 years with a government who claims lower taxes makes it better for all. How many of you are better off now that you were 10 years ago? When the wealthy 10% can pay taxes at a rate of 15% or 20% and salaried workers pay 30% to 50% the system needs a reset.