Western METRics: Marginal Effective Tax Rates in the Western Provinces

Marginal effective tax rates (METRs) on working families’ personal income are generally lower in Canada’s Western provinces than in the rest of country, according to a report from the C.D. Howe Institute. In “Western METRics: Marginal Effective Tax Rates in the Western Provinces,” authors Alexandre Laurin and Finn Poschmann find the tax bite on each dollar of extra income for families with children in Western provinces is lowest in British Columbia and Alberta, followed by Saskatchewan and Manitoba.