CIM Bulletin, Vol. 72, No. 803, 1979
R. D. BROWN, F.C.A., Price, Waterhouse & Co., Toronto, Ontario
The first step in achieving a rationalization of Canada's crazy patch-work quilt of mining taxes and policies was achieved with the release last November of a major federal-provincial report on the taxation of the Canadian mining industry. The Report, prepared by a group of federal and provincial civil servants, sets out a concise and informative discussion of the major taxation and incentive issues facing the mining industry, and puts forward major recommendations for more rational and moderate taxation policies. It will be considered by federal and provincial Finance and Resource Ministers for possible action by the respective governments.The Report was prepared in response to a directive from the federal and provincial First Ministers in February 1978 to review the federal and provincial taxation of the resource areas. Although the Report is more successful in identifying problems rather than concrete solutions, and reflects some continuing differences of opinion between the governments involved, it does represent an important first step in a comprehensive review of our resource tax policies.This article summarizes the Report, which is some sixty pages in length. Although a detailed discussion of it is beyond the scope of this article, the report itself is recommended reading for those concerned about the current state of the Canadian mining industry.