An Analysis of the Impact of the Harmonized Sales Tax on Provincial Revenues in Atlantic Canada
This paper examines the impact of the harmonized sales tax (HST) on the provincial consumption tax revenues of the three participating Atlantic Canadian provinces over the period 1997 to 2003. Relative to forecasts that I construct, I find that this category of provincial revenue has fallen substant...
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| Format: | Article in Journal/Newspaper |
| Language: | unknown |
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| Online Access: | http://www.jstor.org/stable/3552444 |
| Summary: | This paper examines the impact of the harmonized sales tax (HST) on the provincial consumption tax revenues of the three participating Atlantic Canadian provinces over the period 1997 to 2003. Relative to forecasts that I construct, I find that this category of provincial revenue has fallen substantially in Newfoundland and Labrador and New Brunswick as a direct result of the implementation of the HST. Further, my analysis shows that Nova Scotia has fared quite well under the HST. In light of the variation between the experiences of the participating provinces, I recommend revisions to the current HST system that respect provincial fiscal autonomy. |
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