The 2015 federal budget is intended to be "a balanced budget, low tax plan for jobs, growth and security."
US experience shows that low taxes are no guarantee of jobs and growth. In fact, a recent study by the IMF found equality matters more for growth than low taxes. I quote: "lower net inequality is robustly correlated with faster and more durable growth."
There is nothing inherently good about low taxes. What's important is to have a well-designed tax system, which raises revenue equitably and efficiently - providing both income security, and the foundation for economic growth.
The question I wish to address is: which of the tax measures announced in the 2015 federal budget help build a good Canadian tax system, and which ones fail to promote economic efficiency and/or equity.
The table below the fold summarizes the major tax changes introduced in Part I of Bill C-59, this year's omnibus budget bill: