Taxes
The advantage of high employment rates in the country enabled the government to increase income taxes with no real guilt. Income tax was introduced in Canada as a temporary measure to finance World War One. It turned out to be such a good source of revenue for the government that it never cancelled the tax. The 1942 war budget passed legislation allowing for income taxes to be deducted at source. With that legislation the tax came off each pay cheque. The government no longer had to wait for the end of the tax year to collect its money. The government also gave itself the power to introduce whatever new taxes it felt was necessary.
Things To Do!!!
Find out from your parents what are all the types of taxes they pay. Ask them if there is a difference between a tax and a fee. For example, one must pay the government to register a car. It is called a fee. In this case is there any difference between calling it a fee or a tax? Why do you think the government would prefer to use the word fee?
As a young person not yet working or working part-time, what are some of the ways you pay taxes?
In your opinion, is the income tax a fair method of taxation? Ask your parents about the deductions they receive on their taxes.
Is consumption tax a fair method of taxation? Think of the poor and the working poor in comparison to the wealthier consumer as you debate this question.
