ST. JOHN'S, N.L. — A Liberal member of the Newfoundland and Labrador legislature has been ejected from the party caucus after stating he will not support a so-called deficit reduction levy in the provincial budget.
Paul Lane says he can't support the budget when it comes to a vote later this month due to his constituents' anger over the levy and other tax hikes.
He said in a text today he has been told by the premier's office that he is no longer a member of the Liberal caucus.
The deficit reduction levy he opposes will be imposed on taxes for any resident who earns more than $20,000 of taxable income, with middle-income earners paying about $400.
Lane said in a text he intends to sit as an independent member for the constituency of Mount Pearl-Southlands in St. John's.
The Liberal government has said it was forced to bring forward the new taxes, fees and the levy, along with a $1.8 billion deficit, due to the province's plunging oil royalties and other falling revenues.