Alberta’s Finance Minister, Joe Ceci, delivered the new provincial budget, forecasting an almost $58 billion debt within 3 years.
This year, he said, the deficit is expected to be $10.4 billion and no expectation of balancing the books before 2024. The new Alberta budget also includes a carbon tax that will cost families earning more than $100,000 about $500 a year by 2018. The carbon tax will be effective in 2017.
Here are the overview of the new Alberta provincial budget 2016:
Alberta Child Benefit: The Alberta Child Benefit will provide up to $2,759 yearly for Alberta’s vulnerable families. The first payment will start in August 2016.
Enhanced Alberta Family Employment Tax Credit: a $25 million boost will allow more families to receive the credit, and many families will receive a larger credit.
Carbon rebates: To offset the average cost of the carbon levy, the government will implement carbon rebates starting 2017 –up to $200 for single adults, $300 for couples and $30 per child under 18 years of age for lower and middle income Albertans, along with the price of carbon, rebates will increase to $300 for single adults, $450 for couples and $45 per child in 2018.
Investment in infrastructure: The government will support $34.8 billion in infrastructure projects over the next five years.
Diversification: $6.2 billion will be spent on diversification of the energy economy and creating jobs.
Small business corporate income tax rate: Budget 2016 will reduce Alberta’s small business corporate income tax rate by one third, from 3% to 2% as of January 1, 2017.