I have recently noticed that prices for flights taken by people who reside in the United States are cheaper than for Canadians on aircanada.com. For example, if someone who resides in Canada wants to take a one-way flight from New York to Montreal it costs 190$USD tax included. However if the user indicates that he resides in the States, the fare is only 157$USD. Can someone please explain this to me? Note: This difference is not due to the tax rate, it is the actual fare quoted pre-tax that is cheaper.

Are you sure that thost aren't being quoted in different currency, i.e. $190CAD, $157USD? Because when I checked, $157USD= (approx)$191CAD.

In addition to the possibility of different currencies, airlines often have different prices based on direction of travel, just as they have variations based on advance purchase, terms and conditions, and nationality of the traveler, along with currency used to pay. The competitive situation is also a factor. All this has been going on for years and is quite normal.

For Aug 28, AC743 has a Tango fare available for LGA-YUL.

For a "Canadian resident" the fare is 134.29 in Canadian dollars. It's $163.66 all in. The "Review Flight Details" clearly says "Canadian Dollars".

For a "U.S. resident" the fare is 111.00 or $133.02 all in "Grand Total - Dollar (U.S.)".

1 CA$ = 0.824538 US$
Do the math

Woops. Sorry.