Reducing lowest-income tax bracket will put more than $850 back into the pockets of an average Canadian family
The average Canadian family will save over $850 per year on their income taxes after a Conservative government reduces the rate of the lowest-income tax bracket with the Universal Tax Cut, Conservative Party Leader Andrew Scheer announced today.
“It’s time for a universal tax cut that is focused on you,” said Scheer. “We’re going to deliver a tax cut targeted specifically at taxpayers in the lowest-income tax bracket. This means that every Canadian will see their income taxes go down, and those in the lowest tax bracket see the biggest benefit of all.”
With the Universal Tax Cut, the tax rate on income under $47,630 will be reduced from 15 per cent to 13.75 per cent. This will allow an individual taxpayer to save as much as $440 on their taxes. A two-income couple earning an average salary would save over $850 per year.
“That’s $850 back in your pocket each and every year,” said Scheer. “This means more money to pay the bills, to save up for your kids’ education or maybe even finally afford a family vacation.”
Scheer compared the Universal Tax Cut to the Trudeau Liberal record. Despite campaigning on a promise to help the middle class, Justin Trudeau refused to reduce the low-income tax bracket. Instead, the Liberals increased taxes on essentials like transit passes, textbooks, and after school programs for kids, while introducing a carbon tax that targets lower income families by increasing the cost of gasoline, home heating and groceries. Today, 80 per cent of Canadian middle-class families are paying an average of $800 more per year in tax compared to when Trudeau was elected.
“Justin Trudeau is not as advertised,” said Scheer. “Justin Trudeau has always been able to find millions of dollars to hand out to well-connected corporations. Under the Liberals, the more you have, the more you get. That’s not how government should work.”
The Universal Tax Cut is the next step in the Conservative plan to put more money back in your pockets. Scheer has already announced that a Conservative government will:
- Cancel the Trudeau Carbon Tax.
- Take the GST off home heating, saving an average household $107.
- Make all maternity benefits tax free, saving new parents up to $4000.
- Introduce a Green Public Transit Tax Credit, saving a family hundreds of dollars per year.
“You shouldn’t have to be a billionaire to get your government’s attention. Instead you deserve a government that respects how hard you work and how much you already pay,” said Scheer. “You deserve a Conservative government whose first priority will be to help you get ahead.”
– Independent Parliamentary Budget Officer Costing