Quote:
Originally Posted by Harry Lime
The most obvious is to raise royalty rates. Also, to raise corporate tax rates.
It was stupid to lower corporate tax rates when the UCP took office. Corporations just took the money and downsized anyway.
2025–2026 Provincial Corporate Income Tax Rates (General/Small Business)
Alberta: 8% / 2%
British Columbia: 12% / 2%
Manitoba: 12% / 0%
New Brunswick: 14% / 2.5%
Newfoundland & Labrador: 15% / 3%
Nova Scotia: 14% / 1.5%
Ontario: 11.5% / 3.2%
Prince Edward Island: 16% / 1%
Quebec: 11.5% / 3.2%
Saskatchewan: 10% / 0%
Upping to 10% would make a massive difference, and not change a thing in terms of corporate offices moving, or any of the usual threats.
Having a 2% royalty before payout, when no one ever reaches payout, is blatant thievery from the province. Even OPEC has a 9% royalty, and they own all of the wells themselves. It's just a protection against future princes bankrupting the country. No resource company would leave, as they would still be making money. They are already downsizing anyway, even with record output.
This province needs balls. Not big ones, normal ones, just the basic minimum.
That's how you get rich as a province. That, and non-corrupt scum in office.
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Companies are post payout all the time.
The Royalty system was reevaluated recently by the NDP government using the foremost economic experts in the field and found the system to maximize capture by Albertans
It makes no sense to compare middle eastern rates to Canada given the different capital intensity. The rotary structure led to a 23 billion dollar windfall 2 years ago.
The system works we just have to quit squandering results. We would have a sovereign wealth fund paying a significant dividend if we just taxed like the next least taxed province and didn’t squander away our money.