We hear a lot about Muskrat Falls as Danny Williams’ legacy, but it is hardly the only problem he left us to sort out. He rejigged provincial income tax rates between 2007 and 2010 so as to primarily benefit our wealthiest citizens. The result is that people earning in excess of $100,000 a year have since received – in the form of reduced taxes – more money than the province normally raises through income tax in an entire year. Income distribution changing Income figures for 2015, recently released by the Canada Revenue Agency (CRA), reveal our province to be profoundly divided. Our income distribution now exhibits a strangely inverted symmetry: more than half the people earn only a fifth of the income, while a fifth of the people earn more than half. This pattern is new and results from changes in provincial government policy that favour high-income earners. This policy…
Economists from Memorial University have some ideas for changing the tax system in order to fight poverty.
The dropping price of oil reveals more than just the dangers of relying on oil revenue. It also reveals the dangers of letting high income earners and corporations skip by without paying their fair share of taxes.
Food banks were supposed to be a temporary measure, not an institution. Could our energies be better spent tackling income inequality, rather than institutionalizing charity?
If the boom has not led to a marked increase in inequality, the same cannot be said for government policies. They markedly increased our levels of inequality.
Between 2005 and 2009 assessed incomes in Newfoundland and Labrador increased by 49%. The boom we are experiencing is without precedent in Canadian history, but it is also exceptional for a quite different reason.