EDMONTON: The Canadian Taxpayers Federation (CTF) today delivered petitions to Premier Klein's office with signatures from 1,908 Albertans who want to see the health care premium tax abolished. This represents the first delivery during an on-going campaign leading up to the next provincial budget in March of 2004.

The Alberta government collects $913 million per year in health care premiums from Albertans, which makes up less than 4% of provincial tax revenues. Health care premiums go into General Revenues and do not pay for health care any more or less than other provincial taxes.

The $528-per-year flat tax must be paid by individuals earning $16,000 or more per year. Families with children earning $34,250 or more per year must pay $1,056 per year. Alberta and B.C. are the only two provinces which charge a per-person fixed tax with the name "health care" associated with it.

It costs the Alberta government $13 million per year to collect the health care premium tax, to pay for salaries, printing, postage, income verification, banking charges, computer systems, and collection agencies.

"This tax is deceitful because it has nothing to do with health care. The money spent to collect this deceitful tax is enough to purchase four MRI machines," stated CTF-Alberta director John Carpay.

"This tax is unnecessary because this government doesn't need the extra $913 million. That money would be better left in the pockets of the Albertans who earned it, instead of being spent by politicians and bureaucrats," added Carpay.

"This tax is regressive because it hits the lower-income and middle-income Albertans who can least afford it. This is fundamentally different from Alberta's single-rate ten percent income tax, which is progressive without being punitive," added Carpay.

Health Minister Gary Mar and Finance Minister Pat Nelson have publicly admitted that these "premiums" are simply a tax.