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Showing posts from September, 2020

Alberta Will NOT Start Its Own Personal Income Tax

I summarize why not in Canadian Public Policy ’s October 2020 special issue on impacts of the COVID-19 crisis. Full text: https://www.utpjournals.press/ doi/pdf/10.3138/cpp.2020-073 Abstract: https://www.utpjournals.press/ doi/abs/10.3138/cpp.2020-073 Stephen Harper urged Alberta to introduce a separate provincial personal income tax (PIT) in his 2001 firewall letter when he was taking a break from partisan politics. Premier Ralph Klein ignored Harper’s idea rather than burden Albertans with unnecessary costs. Current Premier Jason Kenney revived the Alberta PIT plan in November 2019, but put the idea on the back burner after the COVID-19 crisis blew a hole in the Government of Alberta’s accounts. Proponents of a separate Alberta PIT must pin their hopes on a future federal government agreeing to Quebec’s request to grant provinces the right to collect all income tax and then send the federal portion to Ottawa. Even if Quebec succeeds, I explain in my article why other provinces may

Trump vs. Value Added Tax

I have 3 articles in Tax Notes International ( TNI ) on Donald Trump’s crusade against foreign Value Added Taxes (VATs) -- known in Canada, Australia and New Zealand as the Goods and Services Tax or GST.  https://www.taxnotes.com/document-list/contributors-authors/sayeed-adil   Trump’s false notion that VAT is an unfair trade barrier was fed to him by his team of trade advisers:  • Commerce Secretary Wilbur Ross  • US Trade Representative Robert Lighthizer  • Director of Trade and Manufacturing Policy Peter Navarro, PhD  Trump successfully nominated David Malpass to be World Bank President. Malpass made the same mistake about VAT in a New York Times article. (Scroll down to his 3rd last paragraph.) https://www.nytimes.com/2016/09/01/opinion/why-this-economy-needs-donald-trump.html The “VAT as trade barrier” error may not fade into history if Trump is defeated. Sadly, economic nationalist believers in the same error may wield influence in the Biden Administration and Democratic Congres