The Ontario tax scene

Ontario has been considered the engine for the Canadian economy for a long time.However for the last three or four years Ontario has been ladened with no to slow growth.In fact,Ontario has received equalization payments from the federal government because it is according to their formula, a have-not province.It was always considered a have province previously.This year,for example,economic growth is predicted at 1.6%to 2.2% .One of the main reasons that economic growth is so low is that  businesses are burdened with a heavy tax load.It is especially heavy on small businesses.
The Canadian economy is about $1.7 trillion in size;just a little smaller than the economy of France.Ontario has always been about 40% of the Canadian economy.With it's recent stagnant economy it may be only about 38% of the Canadian economy.However our estimate will remain at 40% and 40%of $1.7 trillion is about $680 billion.Other sources have put the Ontario economy y at $700 billion.The G.S.T. tax is 5% of all goods and services and so produces about $35 billion in tax revenues.In addition, the P.S.T tax which is only in Ontario produces another$56 billion in Ontario.Revenues from these two taxes comes to $91 billion;this is $91 billion that is removed from the Ontario economy.It is considered that these two taxes make up 80% of the total tax revenue.20%

comes from other sources such as income tax,excise tax and other sales tax.G.S.T. and P.S.T are the big revenue producers.
In total,about $100 billion is removed from Ontario total income.This is almost 15% of total income (of $700 billion) removed from Ontario consumers.They cannot spend this money on Ontario businesses.This reduction of total income has caused in large part the slow down in the Ontario economy and has been especially hard on small business which is the driver of job creation in Ontario.