Canada Election: Liberals pitch personal tax break plan
The federal election of Canada has been held on 21st October, 2019. The liberal party has won 157 seats and has formed a minority government. Taxpayers of Canada have something to cheer about as the Prime Minister Justin Trudeau has pitched about a personal tax break plan in Brampton.
Brampton is one of the most diverse cities of Ontario. It consists of a huge population of south Asian origin and around 73% of them belong to the minority communities. Hence, many reputed international tax consultants in Toronto have carefully noted this pre-poll speech of Justin Trudeau. Many expats may get benefitted, if the newly-elected government fulfils this tax-related promise.
Speech of Justin Trudeau
Mr. Justin Trudeau assured that Canadians would be provided more relief from their taxes and cell phone bills. He promised to one up the tax plan and declared that if re-elected, the first $15000 of income tax would be free. He wants to lower the taxes for the citizens who earn less and it would help middle-class families. He declared that wealthy individuals may not get any extra relief.
Justin Trudeau assured that with his tax plan it would be possible to lift around 40,000 citizens out of poverty and people would experience affordable lives.
Trudeau also assured that he would cut cell phone bills of citizens by at least 25%. He would encourage telecom operators to reduce their bills and after that, if they fail to reach that target, he would try to bring more competition in the market.
Promises made by liberals
To lift a huge number of citizens out of poverty, liberals declared that they would raise the basic personal amount by around $2,000 by 2023 for citizens earning under $147,000 per year. They assured that they would start to phase out all benefits of the new credit for the people who earn over $147,667, whereas, the people earning over $210,371 would receive normal tax liabilities.
The liberal party promised to reform the rules involving mobile internet capping. They promised to table a telecom consumer’s bill of rights which would compel the service providers to offer a broad range of basic plans and affordable unlimited data plans.
Prospects & concerns
If the pre-poll promises made by the liberals are implemented, the retail market and overall economy will get a boost. The volume of sales of almost all products will increase. But, there are a lot of concerns too.
Mr. Justin Trudeau didn’t explain how he would pay for his tax relief measures. The total amount of federal deficit in 2018-19 was $14 billion. It would be an uphill task for the liberals to balance the budget.
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