In 2007, CCPA-BC economist Marc Lee studied tax incidence in Canada and discovered that our tax system had become an inverted u-shape, with middle-income Canadians paying the highest proportion of their income in taxes and the richest Canadians paying the lowest proportion of their income in taxes.
Yesterday, CCPA-BC released an even more disturbing report – a study of tax incidence in BC reveals that the tax system in BC is downright regressive. Not only does the richest 20% of British Columbians pay the smallest proportion of their income in tax, but the poor pay the highest! This shift has taken place over the last decade as the province has cut income taxes (which are still modestly progressive) and increasingly relied on regressive sales taxes. Read more about BC's regressive tax system