Taxes and Spending in Canada


Taxes and Spending in Canada

TAX FACT:
Spending on public programs like health care and education is at its lowest level in 25 years. Repairing those programs, and investing in new ones (like child care or pharmacare), must be the first priority.




Taxes didn't increase in the 1990s - unlike previous decades in Canada. But government support for public programs was cut back dramatically. Spending on public programs fell from almost 45 percent of GDP to less than 35 percent, and it's still falling - despite large government surpluses, which totaled over $30 billion in 1999. Canadians now only receive 75 cents in services for every dollar they pay in taxes. Governments must reinvest the surpluses in public programs.

Source: CAW Research from Statistics Canada, "Canadian Economic Observer."


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