Tax design for a northern tiger

At the choice of tax level can be purely a matter of domestic federal level, personal taxes in Canada are signifi- priorities — whether the value of public services out- cantly smaller than they are in the US (even as a per- weighs the cost of the associated taxes — not a matter cent of GDP). [...] The remedies for these problems, be able to reduce its tax burden to that of the US as a however, are to be found in improved governance percentage of GDP without sacrificing the size of its and regulation, not in tax policy. [...] In most cir- improve the lifetime horizontally equitable treatment of cumstances, the burden of a payroll tax falls fully or households with different savings preferences — that is, mostly on the worker regardless of whether the tax is individuals with the same lifetime labour earnings nominally paid by the employer or by the employee. [...] In effect, this method obviates the need for border controls or the taxing of provides for the deferral of tax on both the principal the movement of goods and services. [...] With the tax-deferred method, there is a gain to tion tax due in the first period, but the dollar grows to the individual whose MTR declines between saving 1 + r in the second period, when it is spent, incurring and the withdrawal of funds for consumption.