Tax policy should be concerned with the effectiveness and
efficiency of compromises between a nation's economic, social,
cultural and political values. Canada last considered serious
policy analysis in the Carter Commission Report, published
after thorough and rigorous analysis in 1966. The Liberal
government of the day rejected most of the fundamental strictures
of that study, most notably the basic tenet that a "buck is a
buck". Since then the Income Tax Act has grown to
3,500 dense pages that fuel the resources of law and accounting
firms and empty the pockets of middle income taxpayers. Complex tax
law results in prolonged litigation that further drains the
economic resources of taxpayers, particularly those in the lower
and middle income groups. There is talk about tax simplification,
but very little bureaucratic enthusiasm for its implementation.
