Quote:
Originally Posted by XeO
What happens with provincial equlity payments. I know before we were considered a "have" province. Does this mean some other province gives us money this year? or do we still have to give away money to the other provinces?
|
It doesn't exactly work like that. t's not exactly like Alberta writes a cheque with pay to the order of Quebec.
Equalization payments are taken from general revenue and distributed to 'have not' provinces based on a complicated formula that is supposed to average out per capita revenue potential (taxation) in all ten provinces. Every citizen who pays taxes contributes, so a wealthy person in Quebec will pay far more into equalization than a 'poor' person in Alberta. I
Alberta is definitely a have province.