Thursday, February 19, 2015
Many Taxes, One Pocket
The federal and provincial governments collect income taxes. Our national government and most provinces (except Alberta) gather sales taxes. Provinces tax things like liquor and tobacco (so-called "sin taxes"), while the provinces and the federal government both tax gasoline and vehicles.
Municipalities tax properties - but the provinces have a hand out there, collecting its education portion of property taxes. There is also the 'trickle down' tax dollars; the federal and provincial governments send a trickle of dollars down to the level (or levels) below them.
It's all very complicated, but what many of our elected MPs, MLAs and municipal councilors might forget sometimes is that all of these various levels of taxes are paid for out of one pocket.
The same person who pays his property taxes also pays provincial and federal income taxes. The money used to pay property tax, liquor taxes, sales taxes, fuel taxes and other taxes has already been taxed by the federal government before the taxpayer is even allowed to put his wages in his pocket!
All taxes are paid for out of one pocket; the taxpayers pocket!
All elected officials; municipal, provincial, and federal, must be constantly reminded of this very fact.