Quote:
Originally Posted by darklord700
I didn't have time to read all the articles but if what we are talking about is 1% more in personal or corporate tax rate, I would argue that it's more harmful to the economy to levy it on personal.
For example, if I have to pay $1000 more in taxes, it's $1000 less I would spend on my consumption as my disposable income goes down by $1000.
Corporates are not the same, especialy big corporation. Right now the big discussion among OECD countries is base errosion, why big corporations like Starbucks and Apple only pay a few percentage points of income taxes in countries like UK and US where corporate tax rates are north of 30%.
As long as for corporations AB is the lowest or among the lowest provinces in Canada, and Canada is among the lowest taxed country in OECD, I would argue the impact of a 1% increase in corporate tax will not be felt by the economy. Certainly much less than similar increase in personal tax.
The studies you posted seem to compare corporate tax rates between 20% and 40% which is a much larger jumper than the 1% or so increase we are talking about here.
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You should read the articles.