This CMAJ analysis suggests that most of the $9.7 billion required to fully fund a national pharmacare program should come from federal revenues. It explains that of the total cost of $23.2 billion for pharmacare, $13.5 billion could come from redistributing funds from current public plans in the provinces to the pan-Canadian program. CMAJ says sources of federal tax revenue (GST, personal income, corporate, payroll) could raise about $8 billion, with the rest of the shortfall through federal tax subsidies. It suggests that the extra revenue required means Ottawa should raise personal income tax rates by 0.5%, corporate income tax rates by 1% and hike the GST by 0.25%.
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Lessons for Canada from pharmacare systems around the world - Benefits Canada