Minister of Middle Class, Mona Fortier, said that Canadians could use a new tax cut for things such as the purchase of healthy food and to send their kids to camp.
The tax cut in question would return $90 to Canadians annually or the equivalent of $1.73 a week. This suggestion comes from the office of Minister of Middle Class Prosperity according to Blacklock’s.
“We are lowering taxes for middle-class families and people working hard to join them, which means more money that can be used to do things like buy healthy food, send kids to camp,” Fortier told the Commons January 31. “This is just the next step in our plan to make life more affordable for middle-class Canadians.”
One reporter asked Minister Fortier how the cut spreads out over time, “What’s that per paycheque?”
“Well, you know, it will help,” replied Fortier. “Well, it’s still money,” the Minister earlier told reporters. “It will help families cover some costs, that they want to send their kids to camp or put money aside for retirement.”
Bill C-2 An Act For Granting To Her Majesty Certain Sums Of Money was passed in Parliament last December and it raised the basic personal exemption for Canadian taxpayers from $12,298 to $15,000 a year by 2023. Once the $15,000 exemption is reached, it is predicted that said individuals would save approximately $300 a year according to the finance department.
“We know that will have an important impact,” said Finance Minister Bill Morneau. “It’s a very significant measure.”
Not everyone is impressed, including MP Pat Kelly, deputy Conservative finance critic for Calgary Rocky Ridge. “The government is trying to get extraordinary credit for what is really a very modest tax cut,” said Kelly. “It’s a tax cut, and I support cutting taxes for Canadians, but this isn’t going to help Canadians get ahead anywhere near to the extent this government is claiming.”
“The budget resembles marketing documents rather than giving Canadians accurate and clear information about what the government actually plans to do,” said Kelly. They have got Robin Hood backwards,” said MP Peter Julian (New Westminster-Burnaby, B.C.), told the Commons. “The Liberals are taking from the poor and giving it to the rich.”
According to a report released by the Budget Office in January entitled, Cost Estimate Of Increasing The Basic Personal Amount Tax Credit said people earning between $104,000 and $159,000 will receive the largest credit.