1. THE ROLE OF TAXES IN CANADIAN SOCIETY What are the various types of taxes How are taxes used by the federal, provincial, and local governments How does the underground economy harm citizens https://www.youtube.com/watch?v =I7kUtA93GCMhttps://www.youtube.com/watch?v =I7kUtA93GCM

2. WHY ARE TAXES NECESSARY There are certain services we expect the various levels of government to provide Taxes in their various forms provide the funding for those services Different levels of government fund different services

3. WHAT ARE THE VARIOUS TYPES OF TAXES For most people the easiest part of their taxes to recognize is income taxes This is a percentage of your earning taken by the government to pay for services People pay both federal and provincial income taxes

4. ARE THERE DIFFERENT WAYS TO CHARGE INCOME TAX there are three different approaches Progressive –The higher your income, the higher percentage of taxes you pay Regressive –The higher your income, the lower percentage of taxes you pay Flat tax –Everyone pays the same rate regardless of income

5. WHAT ARE THE RATES OF FEDERAL TAXES IN CANADA The federal government uses a progressive tax rate http://www.cra-arc.gc.ca/tx/ndvdls/fq/txrts- eng.html http://www.cra-arc.gc.ca/tx/ndvdls/fq/txrts- eng.html Federal tax rates for 2016 are: –15% on the first $45,282 of taxable income, + –20.5% on the next $45,281 of taxable income (on the portion of taxable income over $45,282 up to $90,563), + –26% on the next $49,825 of taxable income (on the portion of taxable income over $90,563 up to $140,388), + –29% on the next $59,612 of taxable income (on the portion of taxable income over $140,388 up to $200,000), + –33% of taxable income over $200,000.

6. WHAT ARE THE RATES OF PROVINCIAL TAXES In Alberta the current tax rates, red numbers indicate increases from previous tax year –first $125,00010% –over $125,000 up to $150,00012% –over $150,000 up to $200,00013% –over $200,000 up to $300,00014% –over $300,00015%

7. HOW ARE LOCAL TAXES ACCESSED Local taxes are based on the actual value of your property, a percentage known as the mill rate Both homes and businesses pay local taxes, but usually there are different rates Local taxes also include education taxes, which are charged to all rate payers

8. HOW DOES EDUCATION PROPERTY TAX WORK Property owners are charged a set percentage, known as the mill rate, which helps fund education About 30% of the total education expenditures come from property tax All owners, whether they have children in the system or not, pay the tax Money from this tax source supports public and separate education, but not private education Property owners must declare their faith, because the Canadian Charter of Rights and Freedoms allows for both Protestant (public) and Catholic (separate) systems

9. ARE THERE OTHER KINDS OF TAXES Sales taxes –Tax paid at the time of buying a product or service, a percentage of the price –All areas of Canada other than Alberta have a PST, provincial sales tax –GST, the goods and services tax, is another example –In some areas of the country, the PST is blended together with the GST –Some products are exempt from taxation under GST rules –The items that GST are not charged on are refered to a zero rated

10. CAN YOU GIVE MY SOME EXAMPLES OF ZERO RATED PRODUCTS basic groceries such as milk, bread, and vegetables. agricultural products such as grain, raw wool, and dried tobacco leaves most farm livestock. To learn which products are zero-rated see most fishery products such as fish for human consumption. prescription drugs and drug-dispensing fees. medical devices such as hearing aids and artificial teeth.

11. SO MY UNCLE WORKS UNDER THE TABLE This is one of the terms for people who earn income but do not pay taxes It is also often referred to as the underground economy, because this is the revenue hidden from the government Another term associated with this activity is the black market Everyone is harmed when people do not pay their fair share of taxes https://www.youtube.com/watch?v=q1Z6sr aXuvAhttps://www.youtube.com/watch?v=q1Z6sr aXuvA

12. WHAT ARE CORPORATE TAXES These are taxes charged to businesses on their profits Both provincial and federal governments collect corporate taxes businesses enjoy many tax write offs http://www.cnbc.com/id/ 30727913/The_World_s_ Highest_Corporate_Tax _Rates_2010?slide=11http://www.cnbc.com/id/ 30727913/The_World_s_ Highest_Corporate_Tax _Rates_2010?slide=11

13. CORPORATE TAXES IN THE G8 NATIONS

14. WHO ARE THE CANADIAN TAXPAYERS FEDERATION http://www.pressprogress.ca/fraser_institute_tax_freedom_day_more_like_facts_freedom_day http://www.pressprogress.ca/fraser_institute_tax_freedom_day_more_like_facts_freedom_day This is a lobby group that typically advocates for low taxes, and flat taxes The CTF was founded in Saskatchewan in 1990 when the Association of Saskatchewan Taxpayers and the Resolution One Association of Alberta joined forces to create a national taxpayers organization. Today, the CTF has over 59,000 supporters nation-wide. https://www.youtube.com/watch?v=kDCaL-P-omk