The Chief Minister says a wide range of options were discussed by the Council of Ministers before tax rises were included in this year's budget.
In the House of Keys last week he faced questions from Arbory, Castletown and Malew MHK Jason Moorhouse about tax increases.
Mr Cannan said spending cuts had formed part of discussions as well as higher taxes.
But he added Tynwald would be discussing the Island's future tax strategy soon:
Government: "UK never told us about child murderer"
The government says it'll write to the UK demanding to know how a convicted child murderer ended up living on the Isle of Man.
Farm shop's newest worker needs your name suggestions
A farm shop in Glen Helen is asking you to name its newest member of staff.
Bus Vannin gives update on staffing problems and routes affected today
Bus Vannin has revealed more details about buses which may not run today.
Toilets vandalised for fourth time in a month
Commissioners in the west of the Island are appealing for help catching those who vandalised toilets this week.
Poppy gets fur-ever home after sparking rescue operation in Douglas
A tiny Manx kitten who was rescued in Douglas city centre has been given a happy ending.
Council gets eight complaints about James Brown in six months
Douglas Council says a newly-built block of flats in Willaston has seen eight reports of antisocial behaviour in the six months since tenants moved in.
More bus staffing problems this weekend
Bus Vannin is warning of more problems with its services this weekend.
Manx community spirit shines through during Island storms
A motorist has been praised for going above and beyond to help others after a tree came crashing down during Saturday's storms.
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