Taxation in Canada is a system where the government collects money from individuals and businesses to fund public services. This includes federal, provincial, and municipal taxes, which can be based on income, sales, property, and other factors. The Canada Revenue Agency (CRA) is responsible for administering tax laws and ensuring compliance. Individuals typically pay income tax on their earnings, while businesses pay corporate tax on profits. Sales tax, such as the Goods and Services Tax (GST) and Provincial Sales Tax (PST), is added to the price of goods and services. These taxes help support essential services like healthcare, education, and infrastructure.