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An acquaintance who
was campaigning for the federal Liberals called to ask if my daughter would like
to assist in the effort. A libertarian, my daughter puffed up indignantly,
mostly at her mother's lack of ideological camaraderie. I was left to ponder how
my acquaintance could have failed to detect my sentiments about the Liberals,
especially since I had explained that the recent absence of the head of the
household was due primarily to them.
My husband had packed
his Ph.D. and left for the neighboring U.S. State, embracing the place that, to
use his words, "steals less". Perhaps this haranguing harridan might
have tried to stop him. But why would I? For six months of the year he had
toiled for Jean Chretien and his capos, not counting time done for property
taxes, sales taxes, profit taxes, fuel taxes, import duties, license fees, and
other levies. How, in good faith, could I not encourage him to flee to where his
sentence is much reduced?
My friend remained
convinced that it was in her interest to vote for the party that promises to
rope the so-called rich into the service of the less fortunate. Ironically, she
would benefit under the Canadian Alliance Party as they intend to raise the
threshold bellow which no taxes are collected, taking 1.4 million taxpayers off
the tax rolls. This is good only for those who intend to work.
The option to
postpone adult decisions and remain betrothed to the state is appealing. A
myriad of people regularly avail themselves of grants from, say, Human Resources
Canada, embarking on one self defeating hare-brained scheme after another rather
than get a real job, or marry someone who already has one.
At election time in
particular, special interest groups line up to have their needs addressed. These
powerful, protected-species lobbies can trust government to represent their
interests and to continue to capture wealth on their behalf in the form of
assorted preferential polices.
Unfortunately, in
science fiction writer Robert Heinlein's succinct phrase, "there ain't such
a thing as a free lunch". Government has no capital of its own. What it has
is the coercive power to extract taxes from the citizens. And from the minority,
whose Mark of Cain is to be born with abilities and drive, government
draws blood.
Three percent of
taxpayers with incomes that exceed $100,000 pay about one-quarter of the income
tax in Canada. Despite being forced in the name of "Canadian values"
to renege on a flat tax, the Alliance admittedly still offers them the best
break. This benighted minority is, however, addressed inadequately in all other
party platforms.
Most Canadians are
vested in keeping up the besmirch-and-seize tactics on the "rich".
According to the Fraser Institute, 57 percent of the adult population in
Canada received more money in benefits than they paid in taxes. The top 30
percent of income earners pay 65.7 percent of all taxes, while the bottom 30
percent pay 4.2 percent of all taxes.
Even with the
Liberal's recent largesse, the Canadian who earns above $100,000 stands to lose
roughly 40 percent of total income in payroll deductions. Compared to his
previous plight, this represents only an approximate 6-7 percent overall
reduction in the tax burden.
The Canadian who
pole-vaults to the "place that steals less" commands an equivalent in
US dollars. In the neighboring US State there are no state taxes. A single person in the
$100,000 US income bracket, without mortgage, would lose about $26,000 US in
payroll deductions. Once our emigrant acquires a mortgage, he can begin to use
the mortgage interest to reduce his federal tax bill considerably, a deduction
unavailable in Canada. He can, in fact, quite easily reduce his tax bill down to
some 20 percent of total income.
A move to the U.S.
means our ex-patriot gets to keep approximately $29,000 Cnd more of his rightful
property. Consider too that the high-income earner pays for, but gains
diddlysquat from the welfare state. He will see virtually none of the Canada
Pension pelf, nor qualify for Employment Insurance. For most highly skilled
defectors, the U.S. employers will cover medical insurance premiums in full--
zero pay and zero waiting lists.
The kind of good
riddance missives that flood my e-mailbag after each brain drain reality check
assures me that the spirit of envy consumes too many Canadians, blinding them to
the need for justice for all.
The silent attrition
of the pilloried minority can be expected to typify yet another Liberal
administration. One question: Who will pay for lunch once they've all left?
ã2000 By Ilana Mercer
The Calgary Herald
November 9
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