Editor: Re: 'Boring' budget hits seniors hard: MLA, Feb. 21 MLA Vicki Huntington's comments about the provincial budget contain inaccurate information about how government is balancing the budget and keeping taxes affordable for B.C. families.
Huntington's characterization of the change to the personal income tax basic personal amount was unfortunate and inaccurate, as the change flows directly from the referendum commitment, decided by British Columbians, to return to the PST.
B.C. families generally have one of the lowest overall tax burdens in Canada, including income taxes, consumption taxes, property taxes, health care premiums and payroll taxes. B.C. also has the lowest provincial personal income taxes in Canada for those earning up to $121,000 a year.
Provincial personal income taxes for most taxpayers have been reduced by 37 per cent or more since 2001, and today an additional 400,000 people no longer pay any B.C. income tax.
While we have increased MSP premiums to help support the additional $2.5 billion to the Ministry of Health budget over the next three years, we have also enhanced MSP premium assistance so that people who receive it pay less than they did in 2009. Overall, 800,000 British Columbians pay no premiums and another 200,000 are subsidized.
For example, a senior couple earning equal pension income of $15,000, for a total family income of $30,000, would pay no personal income tax, no health care premiums and could receive more back from the low-income carbon tax rebate than they pay in carbon tax. Overall, this couple would pay lower taxes in B.C. than in any other province except Alberta.
Michael de Jong
Minister of Finance
