[itsybitsycoder]

For sure it's a tax system problem, but in the usual case (where it was already taxed once in Canada) it makes sense not to double-tax child support.

AFAICT most of the money isn't spent here, it's parked here as a hedge in case something goes south in the home country, usually in real estate holdings. The biggest effect I can see is that housing in the city is too expensive for the locals now so families are being driven out into rural areas.