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My favourite graphic in this year’s fall fiscal update is Chart 3.5, which shows the combined federal-provincial-territorial tax rates on personal and corporate income in Canada from 2000 to 2017.

For the first dozen years or so the top rate on personal income is remarkably flat. If anything, it declines ever so slightly, from just above 45 per cent to just about 45 per cent. Then, after 2011, with inequality fever having struck, it starts rising to its current value of 51.6 per cent for 2017.

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Corporate taxes move in the other direction, from above 40 per cent in 2000 to their current value of 26.7 per cent.

Taxes on small business don’t fall as dramatically. But they’re down from 20 per cent in 2000 to 14.4 per cent now and of course they will now fall more as a result of Ottawa’s decision to lower them to 10 per cent next January 1st and nine per cent the following year.

For the first dozen years or so the top rate on personal income is remarkably flat

The commentary accompanying the chart is even more interesting. “The move towards more competitive corporate income tax rates since 2000 has widened the gap with top personal income tax rates from about 26 percentage points in 2000 to over 37 percentage points today.”