Just published is a comprehensive report from The Mining Association of Canada. At this link you can download a copy of Revenues to Governments from the Canadian Mineral Sector 2002-2011 as prepared by ENTRANS Policy Research Group Inc. I recommend it if you want detail and facts on the immense contribution of the mining industry to the taxman.
A summary of the report is to be had at this link. I quote:
Key findings [of the report]:
• Total payments reached an estimated $9 billion in 2011.
• Royalty/mining tax payments increased by about $700 million over last year, with most of the increase coming from Alberta, Saskatchewan, Newfoundland and Labrador, and Ontario.
• The mineral sector has contributed $69 billion to government treasuries over the past 10 years -$30 billion to federal and $39 billion to provincial coffers.
Of particular note is the study’s findings that show a steady increase in overall mining tax and royalty payments since the 2009/10 figures seen during the international recession where payments to governments declined almost 60% compared to 2008/09. In 2010/11, royalties and mining taxes began to recover, increasing by 45% from $2.2 billion to $3.2 billion. They increased by a further 20% in 2011/12 to $3.8 billion, which is well above the 10-year average.
Regionally, Alberta and Saskatchewan accounted for the largest portion of royalties and mining taxes at 64% last year stemming from the provinces’ respective strength in bitumen and coal, and potash and uranium. Newfoundland and Labrador saw royalty and mining tax revenues rise by almost 70% on the strength of higher iron ore and nickel prices, and increased volumes from the Voisey’s Bay operation. Ontario’s annual revenues more than doubled—from $72 million to $180 million—likely attributed to higher gold and copper prices.
The report does not tell us what percentage of tax income this represents.
At this link , we read the following about the tax take from liquor:
To give you a comparison on the tax side of the equation, here are the per capita (per person) annual amounts of money that the major provincial governments in Canada made from liquor tax revenue in 2009:
Province Annual Liquor Tax Revenue (2009) Population Per Capita Annual Revenue from Liquor Quebec 973,066,000 7,870,026 123.64 Ontario 1,883,422,000 13,134,455 143.39 Alberta 684,468,000 3,711,845 184.40 BC
900,135,000 4,494,232 200.28 Canada Overall 5,426,005 33,930,830 159.91 (Canadian Average)
As you can see, BC makes a lot of money from liquor tax revenue … over $900 million per year. You can also see that BC makes a disproportionately large amount of money on the per capita revenue as compared to the other major provinces and the Canadian average. BC takes in just over $200 per person per year from liquor tax revenue … almost $60 more per person per year than Ontario (the other major wine producing province) and almost $80 more per person per year than Quebec.
Give or take four billion for four provinces per year. So maybe about eight to ten billion for the whole country. If my understanding is correct, the mining industry pays as much in tax each year as all us drinkers combined.
I am not sure whether to be heartened or distressed by this news. Certainly I will continue to make my own wine and bring in as much duty free from US airport stores as possible.