Over a decade ago, several Canadian provinces replaced their retail sales taxes by value-added taxes. This paper estimates the effects of this tax substitution on business investment in the reforming provinces. Consistent with theory, we find that the reform led to significant increases in...

This book examines the Canadian province of Ontario's 1998 attempt to reform itsproperty tax laws and provides strategies--such as restructuring education finance andintroducing a new form of business taxation, at both the provincial and local levels--tohelp policy makers design a better future.