Alberta
Alberta government can deliver tax cut by ending corporate welfare

From the Fraser Institute
By Tegan Hill
In a recent CBC interview, Premier Danielle Smith said she would “love to be able to accelerate our tax cut,” referring to her campaign promise to create a new 8 per cent tax bracket for personal income below $60,000, before adding that her government might not be able to maintain a balanced budget and introduce the cut. Fortunately, there’s a way Smith could achieve both: eliminate corporate welfare.
First, some background on Alberta’s recent tax changes.
In 2015, the provincial NDP government replaced Alberta’s single personal income tax rate of 10 per cent with a five-bracket system including a bottom rate of 10 per cent and a top rate of 15 per cent. Due to this change (and tax changes at the federal level, which increased the top federal income tax rate from 29 per cent to 33 per cent), Albertans faced significantly higher personal income tax rates.
Smith’s proposed tax cut would reduce Alberta’s bottom rate from 10 per cent to 8 per cent and is expected to save Albertans earning $60,000 or more $760 annually. While this change would fail to restore Alberta’s previous tax advantage, it would be a step in the right direction.
But due to fear of incurring a budget deficit, Smith has delayed fully implementing the $1.4 billion tax cut until 2027, contingent on the government being able to maintain a balanced budget.
Which takes us back to corporate welfare.
In 2019, after adjusting for inflation, the Alberta government spent $2.4 billion on subsidies to select businesses and industries. (In 2021, the latest year of available data, it spent $3.3 billion, however the pandemic may have contributed to this number.) And that’s not counting other forms of government handouts such as loan guarantees, direct investment and regulatory privileges for particular firms or industries. Put simply, eliminating corporate welfare would be more than enough to offset Smith’s proposed tax cut, which she promised Albertans in 2023.
Moreover, a significant body of research shows that corporate welfare fails to generate widespread economic benefits. Think of it this way; if businesses that receive subsidies were viable without subsidies, they wouldn’t need government handouts. Moreover, the government must impose higher tax rates on everyone else to pay for these subsidies. Higher taxes discourage productive activity, including business investment, which fuels economic growth. And the higher the rates, the more economic activity they discourage. Put simply, subsidies depress economic activity in some parts of an economy to encourage it in others.
For the same reason, corporate welfare also typically fails to generate new jobs on net. Indeed, while subsidies may create jobs in one specific industry, they pull those jobs away from other sectors that are likely more productive because they don’t need the subsidy.
The Smith government is hesitant to introduce Alberta’s tax cut if it can’t maintain a balanced budget, but if the government eliminates corporate welfare, it can avoid red ink while also fulfilling a promise it made to Alberta workers.
Community
New Documentary “Cooking with Hot Stones” Explores History of Fort Assiniboine, Alberta

February 14, 2025 – Alberta, Canada – A compelling new documentary, Cooking with Hot Stones: 200th Anniversary of Fort Assiniboine, is set to air on Wild TV, RFD TV Canada, Cowboy Channel Canada, and you can click here to stream for FREE on Wild TV’s streaming service, Wild TV+. This engaging one-hour feature will take viewers on a journey through time, exploring Fort Assiniboine’s rich history from 1823 to 2023.
Fort Assiniboine is a significant landmark in Alberta, playing a crucial role in Indigenous history, the fur trade, and the western expansion of Canada. This documentary captures the spirit of the region, illustrating how it has evolved over two centuries and how it continues to shape the cultural fabric of the province today.
Wild TV will make the documentary free to stream on Wild TV+ (insert link here once push it over to app) on February 14th so that it can be easily accessed in classrooms and other educational settings throughout the region, ensuring the historical significance of Fort Assiniboine reaches a wider audience.
Produced by Western Directives Inc., Cooking with Hot Stones: 200th Anniversary of Fort Assiniboine brings historical moments to life with vivid storytelling, expert interviews, and breathtaking cinematography.
“We are very excited to partner with Wild TV as part of our one hour documentary production. Based in Alberta, we respect the hard work and quality programming that Wild TV brings to a national audience. With the broadcast opportunity, Wild TV gives our production the ability to entertain and educate Canadians across the country on multiple platforms,” said Tim McKort, Producer at Western Directives.
Scott Stirling, Vice President of Wild TV, also expressed enthusiasm for the project: “At Wild TV, we are passionate about telling Canadian stories that resonate with our audiences. This documentary not only highlights a crucial piece of our nation’s history but also celebrates the resilience and contributions of Indigenous peoples, traders, and settlers who shaped the land we call home today. We are proud to bring Cooking with Hot Stones: 200th Anniversary of Fort Assiniboine to our viewers across Canada.”
Airtimes for Wild TV can be found here.
For airtimes on RFD TV Canada, click here.
For airtimes on Cowboy Channel Canada, visit CCC’s schedule.
Alberta
Canadians owe Smith a debt of gratitude

“Thank you, Danielle Smith!”
That is what every man, woman, and child in our great nation should be shouting from the rooftops this week. Instead, our journalists, politicians, and their army of Leftist loudmouths on social media, are sticking with the story that she’s, somehow, a traitor. That couldn’t be further from the truth, and every one of them should be ashamed of themselves for saying it.
In fact, Smith has been almost entirely alone in fighting for Canada since Donald Trump began broadcasting his intention to use the threat of tariffs to pressure our government on illegal immigration and fentanyl trafficking over our border.
The response from the media was first mockery and scorn — ‘Look at this American buffoon! He doesn’t even know how much he needs us!’ — followed by outrage at Trump and any Canadian who dared to suggest he might have a point. “Where is their patriotism?!” asked elitists who have spent their careers scoffing at any and every expression of Canadian pride.
And the response from our governing class has been all virtue-signaling and egotism. Yes, Justin Trudeau flew to Mar-a-Lago to make a perfunctory case against the tariff, but he took every opportunity which presented itself to trash Trump, accuse the American people who elected him of sexism, and imply that Canadians who might consider voting conservative were just as bad.
Meanwhile, Doug Ford began his chest-thumping ‘Captain Canada’ act, while calling an early election with an eye towards keeping himself in power for a few more years. The argument for this move didn’t stand up to the slightest scrutiny. Why did Ford call an election in the middle of what he described as an all-hands-on-deck national emergency? Because he needed a huge majority in Queen’s Park to authorize the COVID-19-level government spending and interventions he needed to respond to Trump’s tariff… never mind the fact that the opposition parties are entirely on board with government spending and intervention.
Maybe he was worried that there are still a few conservatives left in his own caucus who’d object to him driving Ontario’s finances further into the mud? He shouldn’t be – if they stuck with him as he sunk billions into the dying EV industry, they’re likely to stick with him now.
In any event, Ford has created a situation where, in the midst of a crisis, his attention is split between governing and campaigning. It’s self-interest all the way down!
Smith, on the other hand, sprang into action. She flew to the States, first to Mar-a-Lago and then to Washington, and tirelessly made the case to all of the major players on this file — Trump himself, Energy Secretary Chris Wright, Interior Secretary Doug Burgum and others — that the U.S. and Canada are better off working together.
She made it clear that Albertans are also concerned about the border, and about fentanyl trafficking. She criticized Trudeau’s anti-Trump tirades as “not helpful,” slammed proposals to cut off Canadian oil and gas to the U.S., and called for Ottawa to appoint a border and drugs czar, ideally a retired general, rather than some political flunky, an idea which has gotten support from retired members of our military corps.
Her instinct has always been towards turning down the temperature, rather than trying to heat things up — that, by the way, is called “diplomacy” — and she never missed an opportunity to stand up for our oil and gas industry. When our Laurentian elite began sabre rattling about slapping an export duty on Canadian energy heading south, she stood opposed to that as well.
And this is at the heart of the Liberal critique of Smith. She’s betrayed Canada, they say, because she only cares about Alberta and its energy industry. She stands opposed to any action which might imperil Albertan oil and gas.
To which I say: Of course! And good on her for it.
Because, remember, it isn’t only Alberta’s oil and gas industry. It’s Canada’s. And though Justin Trudeau, Mark Carney, and their “green” ideologue friends might wish it otherwise, oil and gas remains the backbone of the Canadian economy. It is our “golden goose,” in the words of economists Jack Mintz and Philip Cross, in a recent study of Canada’s resource sector. And it is far too important to the livelihood of Canadians — not just Albertans mind you — for the Trudeau Liberals to use it as a bargaining chip. Especially since they’ve spent years hamstringing it, while suggesting that we’d ultimately be better off if it went the way of the Dodo.
It’s worth noting that when the (short-lived) tariffs were announced, the White House underlined Smith’s advocacy by singling out oil and gas for a lower rate. More importantly, the concessions from Trudeau which got us our present reprieve — the drug czar and enhanced border enforcement especially — were first proposed by Smith!
So, a separatist? A traitor? Perish the thought! Smith is an advocate for our interests, and a great Canadian.
Hopefully, as we try to avert the unwelcome return of these tariffs, the government looks to Danielle Smith for some guidance. Especially because, chances are, her advice will be, ‘Call an election, so our prime minister has a mandate from the people and can negotiate from a position of strength!’
For the good of Canada, here’s hoping they listen.
Dan McTeague is President of Canadians for Affordable Energy
Support Dan’s Work to Keep Canadian Energy Affordable!
Canadians for Affordable Energy is run by Dan McTeague, former MP and founder of Gas Wizard. We stand up and fight for more affordable energy.
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