(Halifax/Moncton)—The authors of a new report estimate that the New Brunswick government could increase its annual revenue by more than $260 million per year, if it chooses to make progressive changes to its income tax system.
The Canadian Centre for Policy Alternatives, Nova Scotia (CCPA-NS), a non-partisan, not-for-profit research institute, has released a report questioning New Brunswick government tax policy over the past three years.
Taxes and tax cuts
Le Nouveau-Brunswick est à une croisée des chemins. Adopter un système d’impôt progressif est le choix clair. En augmentant les impôts de manière progressive, le gouvernement peut maintenir et même élargir les dépenses au-delà de ce qu'elle serait autrement être en mesure de le faire, tout en réduisant le déficit. En comparaison avec l'alternatif - la réduction d'emplois et de services pour payer le déficit - le résultat devrait être une augmentation nette des dépenses et l'activité économique, ainsi que d'une meilleure qualité de vie.
New Brunswick is at a crossroads. Moving toward a more progressive income tax formula is a clear choice. By raising taxes in a progressive way, the government can maintain and expand spending beyond what it otherwise would be able to do, while also reducing the deficit. Compared with the alternative—cutting jobs and services to pay down the deficit —the result should be a net increase in spending and economic activity, as well as an improved quality of life.
For many grade 12 students spring is university application season. But in Western Canada, youth living in families with an annual income over $100,000 are still more than twice as likely to attend university than youth with family income under $25,000.
This is hardly surprising, given average tuition fees run over $4,800 a year these days, but it’s fundamentally inequitable. It undermines social cohesion and there are real economic costs to all of us when we don’t fully utilize the skills and capabilities of all our citizens.
This study shows that university graduates more than pay off the cost of their undergraduate degrees: degrees mean higher incomes, which mean higher taxes paid into the public treasury.
“The Eurozone Summit of October 27 saw the first three steps: a “haircut” imposing losses of 50 percent on creditors who own Greek government debt: a recapitalization of Europe’s banks, to the tune of €106 billion: and an extension of the European Financial Stability Facility (EFSF). Further down the road, some sort of federalization of European debt is surely inevitable. The likely step involves the creation of a eurobond, so that governments can borrow on a continent-wide basis, with continent-wide guarantees of security.”
Inside this issue:
Poverty comes with a high price tag by Iglika Ivanova
A decade of eroding tax fairness in BC by Marc Lee, Iglika Ivanova and Seth Klein
Inventory of BC’s forests incomplete and underfunded by Ben Parfitt and Anthony Britneff
Transportation transformation by Marc Lee
What the frack is going on in the Peace Region? by Ben Parfitt
So the HST was defeated. Now what? by Iglika Ivanova
This detailed statistical review of the 13 statistical graphs contained in the Conservative changebook platform document finds that not one of them conforms to the normal requirements of academic or professional practice.
At least three of the graphs (which illustrate various statistical arguments related to the Conservative platform) present data that is clearly false. All of the others contain major errors in the labeling of variables or axes; internally inconsistent or manipulative scaling of bars and data; and misleading or incomplete references to source data.
Ask a British Columbian about taxes these days, and you’ll likely hear about the HST. But the HST is just one of many tax changes over the past decade, and its introduction is only one small piece of a larger story of eroding tax fairness.
Most British Columbians would agree that everyone should pay their fair share of taxes. And most assume that the wealthy pay more, not only in straight dollars, but also a higher tax rate as a share of their income.
But, in reality, that is no longer how our provincial tax system works.
(Vancouver) Public debate about taxes may be focused on the HST, but a new report suggests that the HST is only one piece of an inequitable provincial tax system, a system in which the richest 20% of British Columbians pay a lower tax rate than the rest of us.