Template-Type: ReDIF-Article 1.0
Author-Name: Bev Dahlby
Author-Workplace-Name: University of Calgary
Title: The High Cost of Raising Provincial Tax Revenues Has Gotten Even Higher
Abstract: Households and firms’ responses to higher tax rates alter the volume and the allocation of
land, labour and capital in the economy, reducing our income and consumption opportunities.
These economic losses from raising tax revenues have increased for provincial governments
across Canada in the last decade with the problem being especially acute in Newfoundland
and Labrador, Ontario and British Columbia. However, by lowering personal and corporate
income tax rates and shifting more of the tax burden to a sales tax harmonized with the federal
GST, the provinces could lower the economic cost of raising tax revenues.
Journal: The School of Public Policy SPP Briefing Papers
Volume: 17
Issue: 13
Year: 2024
Month: August
File-URL: https://www.policyschool.ca/wp-content/uploads/2024/08/TEG91-HighCostProvTax-Final.pdf
File-Format: Application/pdf
Handle: RePEc:clh:briefi:v:17:y:2024:i:13