Budget 2006 delivers for Edmonton

May 03, 2006

EDMONTON – Rahim Jaffer, Member of Parliament for Edmonton-Strathcona and Chair of the National Conservative Caucus is thrilled to announce that hard working Edmontonians will have more money in their pockets as a result of the first budget of Canada’s new government. It provides real tax relief for every person in the city regardless of age or income level.

“Ottawa has been overtaxing people in Alberta for years and our government is delivering real tax relief that makes a difference for Edmontonians,” said Jaffer. “Our government’s first budget offers nearly $20 billion in tax relief for Canadians over the next two years – more than the last four federal budgets combined.”

Overall, the government’s first budget delivers more than twice as much tax relief as new spending. These measures include:

• a 1-percentage-point cut in the GST as of July 1, 2006;
• a new Canada Employment Credit;
• a permanent legislated reduction in the lowest tax rate to 15.5 per cent as of July 1; and
• increases in the basic personal amount – the amount that all Canadians can earn without paying federal income tax.
  

As a result of these measures, Albertans will pay $1 billion less in taxes in 2007.  Edmonton families earning between $15,000 and $30,000 per year will be better off by almost $300 in 2007, and those earning between $45,000 and $60,000 will save almost $650.

In addition to presenting significant tax relief, Budget 2006 also provides significant support for seniors, students, transit riders and new Canadians living in Edmonton-Strathcona.

• The government is creating a new Textbook Tax Credit, which will benefit more than 25,000 students at the University of Alberta,
• The Post-Secondary Education Infrastructure Trust will support investments for infrastructure and equipment, such as modernization of classrooms and laboratories, of up to $1 billion, of which $101.3 million will benefit post-secondary institutions in Alberta.
• To support families and promote healthy active living, the government is providing a physical fitness tax credit for up to $500, to cover registration fees for children’s sports.
• To improve transit system infrastructure, Alberta is getting $40.1 million right away. Further, any surplus funds in excess of $2 billion in fiscal year 2005-06 will be used to provide these provinces with up to $91.4 million for a Public Transit Capital Trust.People who use Edmonton’s transit system will benefit from a new 15.5-per-cent tax credit on the purchase of monthly transit passes.

“Our government’s plan will make life easier for students at the University of Alberta, seniors living in Garneau, families in Capilano and transit riders commuting across Edmonton everyday,” said Jaffer. “Our government is following through on the commitments we made during the election campaign. The result will be a stronger Alberta and a better life for all Canadians.”


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