Submitted by Catherine McKenna, MP Ottawa Centre
For over four years, our government has made investing in people our priority. Through government investments and the hard work of Canadians, Canada has built an economy that is strong and growing, adding more than 1.1 million new jobs to the economy and reaching the lowest unemployment rate in 40 years. Wages are going up and small business taxes are the lowest in the G7.
We introduced programs like the Canada Child Benefit to help Canadians afford the costs of raising a family, made improvement to seniors’ benefits, and helped more students afford their education. In 2015, we brought in a middle class tax cut that helped more than nine million Canadians.
When the 43rd Parliament opened in December, our parliamentary priority was a new tax cut that, if adopted, will give relief to 20 million Canadians, including ensuring one million low-income Canadians pay no tax at all.
We would do this by raising the Basic Personal Amount – the earnings you don’t have to pay federal tax on – to $15,000 by 2023. And we’ll make sure the wealthiest people in Canada – those in the top one per cent of income earners – aren’t the ones benefitting.
Our approach would make sure tax relief is going to those who need it: middle class Canadians and those working hard to join them.
When fully rolled out, in 2023, individuals would save close to $300 a year in taxes. For a couple or a family, including single-parent families, the savings would be close to $600 a year. It’s a change that would allow people to keep more of what they earn and help make life more affordable.
When it comes to affordability, we know there’s more work to be done – everyone in Canada deserves a chance at success, a chance to work hard and get ahead. Our tax cut is a big part of our work to do just that, giving Canadians more money, tax-free.
When you have more money in your pocket, you have less worry about the bills. It’s money to help afford new winter gear, help with the costs of kids’ summer camps, or for hockey, soccer, or arts classes. It’s money for saving to buy a home or investing for retirement–or simply being able to afford to spend time with loved ones.
Since 2015, our economy has grown, wages have gone up, and, in 2020 Canada’s economy is projected to have the second strongest growth across the G7. This is proof that our plan to keep making targeted and strategic investments in Canadians is working.
We’re focused on growing the economy and making life affordable for Canadians because, as Liberals, we’re committed to ensuring everyone has a real and fair chance at success.