Thread: Alberta Taxes
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Old 09-26-2013, 12:57 PM   #79
MarchHare
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Quote:
Originally Posted by stampsx2 View Post
Aberta pays over 20 billion in equilaization payments with over 7 billion going to Quebec. Why do i have to get taxed to balance the budget when Quebec is getting free tuition, double the maternity leave and who knows what else.

In that case, all Albertans should be getting a vote in Quebecs next provinicial election since it's having an impact on us.
Quote:
By the way i'm fine with equilization payments cause i understand it's part of being a country, but when a new tax is being discussed to support other provinces poor government decisions it rgmg.
You really need to research what the equalization program is and how it actually works before posting nonsensical and erroneous rants about it.

First, Alberta does not pay "over $20 billion in equalization payments". For 2013-2014, the entire amount of equalization will be $16.1B. Source: http://www.fin.gc.ca/fedprov/eqp-eng.asp

Second, no province "pays" equalization. The Government of Alberta does not cut a cheque and send it to the Governments of PEI, New Brunswick, Quebec, etc. Equalization is a federal program that sees money sent from the Government of Canada to selected provinces that are deemed, by a complex mathematical formula, to not have the same revenue-generating power ("fiscal capacity) as other more prosperous provinces. The Equalization program is funded by the taxpayers of every province. My parents, who live in New Brunswick, see a portion of their federal tax dollars spent on equalization, just like I do in Alberta. The only difference is that their provincial government receives money back from Ottawa while mine does not.

Also, contrary to your assertion, any hypothetical new tax at the provincial level in Alberta would in no way whatsoever "support other provinces (sic) poor government decisions".

Third, how Quebec (or any other province that receives equalization, but for some reason raging Albertans only ever complain about PQ in these discussions) manages its provincial budget has no bearing whatsoever on the quantity of equalization they receive. The Government of Quebec could implement the harshest austerity measures imaginable and cut spending to a level that would give pause to even a staunch Tea Party supporter, and they would still receive exactly the same amount of equalization as they do today. Equalization is only determined by fiscal capacity, not by government spending.

Finally, if you want the same quality of government services that Quebec provides its citizens (e.g. greater tuition subsidies, more generous maternity benefits, etc.), then vote for a candidate/party in the next provincial election who will make those things a priority. Of course, funding those services would surely necessitate an increase in your provincial taxes to a similar level that the citizens of Quebec pay, which is substantially higher than what we currently pay in Alberta.
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