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Federal personal income tax breakdown
Statistics Canada published a study titled
Federal Personal Income Tax: Slicing the Pie, which
examines the breakdown of federal personal income taxes
paid by high and low income earners in Canada, from 1990
to 2002. Income earners were divided into 3 groups
for the study:
10% of taxpayers with the highest incomes
This group included taxpayers earning:
over $48,700 in 1990
over $64,500 in 2002
50% of taxpayers with the lowest incomes
This group included taxpayers earning:
$19,000 or less in 1990
$23,000 or less in 2002
40%, or remaining taxpayers, with intermediate incomes
This group included taxpayers earning:
$19,001 to $48,700 in 1990
$23,001 to $64,500 in 2002
The following tables summarize the results of the
study.
a. Share of federal personal income
tax paid by the 3 groups of taxpayers in Canada
Income group
% of federal personal
income taxes paid
1990
2002
50% with lowest incomes
6.7%
4.4%
40% with intermediate incomes
47.3%
43.0%
10% with highest incomes
46.0%
52.6%
All Canadian taxfilers
100.0%
100.0%
b. Effective federal personal income
tax rates paid by the 3 groups
Income group
Federal tax as % of income
1990
2002
50% with lowest incomes
4.30%
2.89%
40% with intermediate incomes
11.75%
10.14%
10% with highest incomes
17.79%
16.47%
All Canadian taxfilers
12.25%
11.18%
c. Share of total income of the 3
groups
Income group
% of total income
1990
2002
50% with lowest incomes
19.0%
16.9%
40% with intermediate incomes
49.3%
47.4%
10% with highest incomes
31.7%
35.7%
All Canadian taxfilers
100.0%
100.0%
All information in this article adapted from Statistics
Canada publication No. 11-621-MIE2005024,
April 22, 2005.
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