Alberta Envy in Macleans
October 27, 2005 · By Tom Cerber
Via Small Dead Animals, check out this article on the 6/49 winners from Camrose, Alberta in Macleans. Here’s the 1st line of the story:
It’s just the thing Alberta needed - another multimillion-dollar windfall.
Funny, I didn’t win $54.3 million and I’m not envious.
Are Eastern Canadians that pathetic? I suppose Jack Layton’s going to call for Lotto 6/49 winnings to be spread around the country, except when it’s won by someone in BC, Saskatchewan, Manitoba, Ontario… well, you get the idea.
Half of it will end up in Ottawa, anyway. So, what gives?
Kaqchikel - minor correction - lottery winnings are seen as “windfall” income and therefore tax exempt under Canadian tax law.
(Of course, a fair percentage will wind up in Ottawa if the winners fritter it away on silly things - like flashy cars)
OTOH: A fair percentage will also wind up in Ottawa if they “fritter” it away on useful things like investments.
Taxes are the price we pay for civilization. And while I agree that over-taxing is not just, neither is an unprogressive tax system where the poor and middle class are saddled with un-realistic burdens. I do not think that most Canadians would bemoan a very rich person paying a little more in taxes now and then, especially on luxury items. All taxes are not evil or a money grab from governments. The problem with tax is the distribution of who pays what and how much disposible income is left over for whom. A carton of milk costs the same if you are rich or poor. However, higher taxes hurt those who can barely afford milk in the first place, and do very little to harm those who could afford to buy the entire dairy farm. Get your priorities straight and start complaining about those who cannot afford to pay more taxes, and quit worrying about the new millionaires. They will be fine, even if they don’t “fritter” their money away and invest it wisely.