Ford government to propose tax cut for Ontarians making less than $50K
Posted April 28, 2022 7:35 am.
Last Updated April 28, 2022 11:38 am.
The Ford government will propose a tax break for those earning less than $50,000 a year in Thursday’s budget, sources confirm to CityNews.
The measure if passed would increase the eligibility for the Low-Income Workers tax credit (LIFT) to $50,000.
The tax credit lowers personal income tax owed for employed Ontario residents whose income for the year is lower than $38,500, provided their family net income is below $68,500. Eligible individuals can claim the credit when they file their personal income tax each year.
As of now, the maximum relief an eligible resident can receive with the Low-Income Workers tax credit is $850. Sources say workers who qualify would save approximately $300 a year on average.
LIFT was first introduced in 2019.
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Minister of Finance Peter Bethlenfalvy will unveil the 2022 budget at Queen’s Park on Thursday afternoon. The legislature will be adjourned after which means the spending plan will not be challenged by the opposition until after the provincial election in June.
Bethlenfalvy has called it a vision for a “better, brighter future” and a plan to “get it done,” echoing a new Progressive Conservative election campaign slogan.
He has said that the budget would be focused on building the province, that the fiscal plan will be prudent and accountable, that is ambitious but also invests responsibly.
The government passed legislation in 2019 requiring all future governments to table the budget before the end of March. Failure to do so could see the premier and finance minister fined. But the government introduced a one-time amendment in February that pushed that deadline back to April 30.
With files from Nick Westoll
