Close X
Monday, November 11, 2024
ADVT 
National

Liberals To Proceed With Tax Cut For Middle Earners, Higher Rate For Richest

The Canadian Press, 07 Dec, 2015 01:13 PM
    OTTAWA — The Liberal government is poised to make good on its promise to cut federal income taxes for middle earners by raising the rate on the richest Canadians.
     
    The government will introduce a motion today in Parliament that will slash the income-tax rate on Canadians earning between $44,700 and $89,401 per year.
     
    The Liberals said they would impose a higher tax rate on earners in the top one-per-cent — those who make more than $200,000 per year — as a way to finance the vast majority of the middle-income relief.
     
    But experts say hiking the tax rate on the highest earners won't generate enough revenue to offset the cost of the tax cut because efforts to avoid taxes will probably be greater than anticipated, while the reduction itself could cost more than expected.
     
     
    The Globe and Mail is reporting today that the government will concede this week that the tax hike won't cover the entire cost of its cut.
     
    Combined with the sting of the struggling economy, the new Liberal government is already facing increasing pressure to meet its election vows to cap annual deficits at $10 billion over the next two years and to balance the federal books in the fourth year of its mandate.
     
    The Liberal promise to rejig the tax brackets was a central pledge in the campaign platform that helped propel it to victory in October.
     
    Finance Minister Bill Morneau is scheduled to hold a news conference later today.
     
    Ottawa is also expected to cancel the previous government's move to increase the contribution limit on tax-free savings accounts from $5,500 to $10,000.

    MORE National ARTICLES

    'The 6' Makes A Fashionable Footprint With New Nike Shoes Inspired By Toronto

    'The 6' Makes A Fashionable Footprint With New Nike Shoes Inspired By Toronto
    The nickname assigned to Toronto by hometown hip-hop star Drake has been stamped on new Nike shoes designed by Canadian Erin Cochrane.

    'The 6' Makes A Fashionable Footprint With New Nike Shoes Inspired By Toronto

    Naked, Distressed Couple Arrested Trying To Flee Police In Sooke, B.C.

    Naked, Distressed Couple Arrested Trying To Flee Police In Sooke, B.C.
    RCMP in that community northwest of Victoria say it happened late Tuesday evening when officers were called about reports of screaming.

    Naked, Distressed Couple Arrested Trying To Flee Police In Sooke, B.C.

    Ombudsman Ends Probe Of 10,500 Complaints Into Hydro One; Loses Oversight

    Ombudsman Ends Probe Of 10,500 Complaints Into Hydro One; Loses Oversight
    TORONTO — Ontario's ombudsman has wrapped up investigations into 10,500 complaints about billing errors at Hydro One, but the provincial watchdog can't look into any more problems at the utility because it's being privatized.

    Ombudsman Ends Probe Of 10,500 Complaints Into Hydro One; Loses Oversight

    B.C. Appeal Court Refuses To Chop Sentence For Randall Hopley Who Abducted 3-year-old Boy

    B.C. Appeal Court Refuses To Chop Sentence For Randall Hopley Who Abducted 3-year-old Boy
    A lower court judge determined Randall Hopley was a long-term offender and handed down a six-year-sentence after 26 months were deducted for time served awaiting trial.

    B.C. Appeal Court Refuses To Chop Sentence For Randall Hopley Who Abducted 3-year-old Boy

    Sentence Upheld For Dangerous Offender Dennis Bragg In Kamloops, B.C., Sex Assault

    Sentence Upheld For Dangerous Offender Dennis Bragg In Kamloops, B.C., Sex Assault
    The B.C. Court of Appeal unanimously dismissed a legal challenge on Friday by Dennis Bragg, who was designated a dangerous offender in March 2013.

    Sentence Upheld For Dangerous Offender Dennis Bragg In Kamloops, B.C., Sex Assault

    Canada's Micronutrient Initiative To Help Health Of UP Women

    Canada's Micronutrient Initiative To Help Health Of UP Women
     Canada's Micronutrient Initiative (MI) will invest (Canadian) $5.5 million (around Rs.28 crore) over the next five years in Uttar Pradesh to improve the nutritional status

    Canada's Micronutrient Initiative To Help Health Of UP Women