Make no mistake about it, tax rage is real and politicians of all stripes should beware. The facts are striking.

Fact: A recent poll done by Compas for the National Post revealed that 85% of Canadians are 'upset' by the amount of taxes they pay given the value, or lack of value, that they receive in the services that their taxes are supposed to pay for. This is consistent with the 82% of Canadians that think taxes are too high as reported in a Southam/Angus Reid poll in December 1997.

Fact: The Auditor General (April 1999, Chapter 2) estimates that "the underground economy results in tax evasion (no kidding! - Ed.) and represents an estimated annual loss of federal and provincial tax revenues of $12 billion." In response, since 1993, Revenue Canada has compiled a staff of over 1200, or 35% of the department's audit staff for small and medium sized business auditors, to hunt down and root out tax evaders in the underground economy.

Too bad the government didn't follow Puerto Rico's example. In 1987, Puerto Rico cut it highest marginal tax rate from 67.6% to 41%. And an incredible thing happened: tax revenues increased by 28%, Puerto Ricans declared 50% more income than they had in 1986 and the number of registered taxpayers went up by 30%.

Fact: Statistics Canada reports (February 1999) that personal income taxes account for 21 cents of every family dollar spent. This is more than the average family spends on food, transportation or shelter. Statistics Canada reports (February 1999) that personal income taxes account for 21 cents of every family dollar spent. This is more than the average family spends on food, transportation or shelter.

Fact: According to the Fraser Institute, our total tax burden is even higher. In 1998, the average Canadian family spent 46.4% of its annual income on taxes compared to 17.1% for shelter, 12.9 % for food and 4.2% for clothing. We work half of the year, or half of every day for all three orders of government. According to the Fraser Institute, our total tax burden is even higher. In 1998, the average Canadian family spent 46.4% of its annual income on taxes compared to 17.1% for shelter, 12.9 % for food and 4.2% for clothing. We work half of the year, or half of every day for all three orders of government.

Fact: In 1993/1994, federal personal income taxes (PIT) accounted for 44.3% of all federal government revenues. Today, PIT accounts for 47.0% of all federal government revenues. And in 1993/1994, PIT were measured as 7.1% of GDP. Today they account for 8.3% of GDP. That's a 17% increase over 5 years. And the rise in the tax burden has outstripped inflation by a ratio of over 2 to 1during the past 7 years.

Fact: In spite of the token, shell-game tax relief provided in the last federal budget, bracket creep (the non-indexation of tax brackets) is still with us. And Paul Martin will rake in at least $10.1 billion in tax revenues this year that he would not otherwise have if tax brackets had been indexed to inflation since 1986. And according to a December 1997 report from the House of Commons Finance Committee, this policy has ensured that 840,000 low-income Canadian families have been pushed onto the tax rolls. In spite of the token, shell-game tax relief provided in the last federal budget, bracket creep (the non-indexation of tax brackets) is still with us. And Paul Martin will rake in at least $10.1 billion in tax revenues this year that he would not otherwise have if tax brackets had been indexed to inflation since 1986. And according to a December 1997 report from the House of Commons Finance Committee, this policy has ensured that 840,000 low-income Canadian families have been pushed onto the tax rolls.

Fact: This discrepancy between single income and dual income families has been exacerbated over the last two budgets. Check out this year's budget for yourself (pages 188-9, tables A7.4 and A7.5).

The federal tax paid by one-earner families of four earning $60,000 pre-budget 1998 was $10,319. Post-budget 1999 this figure drops to $9,589. The federal tax paid by dual-earner families of four earning $60,000 pre-budget 1998 was $6,410. Post-budget 1999 this figure drops to $5,790. Therefore, the one-earner family paid almost 61% more pre-budget 1998, but now pays 65.6% more in taxes after the 1999 budget.

Fact: In 1998, Canadians were taxed starting at incomes of $6,456. However, Britain did not start taxing its citizens until their incomes reached $9,078 (Cdn.) and U.S. citizens did not pay taxes until their incomes reached $9,432 (Cdn).

Tax rage is real and ignoring these facts will not make it disappear.