Ontario Budget: Doug Ford to cut income tax for low-income earners

0

Ontario Premier Doug Ford will promise to cut income tax for Ontarians earning less than $50,000 a year in his 2022 budget on Thursday, sources say.

A source told CP24 that the budget, likely to run until after the election, would increase eligibility for the Low-Income Individuals and Families Tax Credit (LIFT) from $38,000 to $50,000.

The source said the change would mean around 1.1 million people would see an average of $300 more in tax relief in 2022.

LIFT was first introduced in 2018 by the Ford government as a way to counter the cancellation of a $15 minimum wage, a move that was made after the Progressive Conservatives came to power.

At the time, the government said LIFT would give low-income, minimum-wage employees up to $850 a year in tax relief.

The expanded eligibility aligns with the Ford government’s theme for the 2022 budget: affordability.

The document, which will effectively be used as the PC’s campaign platform, is expected to be packed with promises that would save the average voter, including a refund of license plate renewal fees and six months of relief at gas pumps. .

There will also be a 50 cent minimum wage increase.

At the launch of its post-election campaign platform, the Ontario NDP said it would implement a four-year income tax freeze for low- and middle-income households. However, their freeze threshold – about $200,000 per year per person – would impact a wider population.

The party has not said whether income tax will increase for those earning more than $200,000 a year.

Finance Minister Peter Bethlenfalvy will table the budget on Thursday afternoon.


Source link

Share.

About Author

Comments are closed.