June 08, 2009
WARAWA Welcomes Earlier Tax Freedom Day
"Our Government's commitment to lower taxes is long-standing, and has been backed by action in every one of our budgets," said Warawa. "We have been working to reduce the tax burden on Canadians since the day we took office, and as a result Tax Freedom Day for the average Canadian family has steadily decreased. Even in today's global recession, we have provided tax relief that has left more money in the hands of families and businesses across Canada, giving the economy a boost when it needs it most."
Tax relief actions that the Government has taken include:
- Personal Income Tax Cuts—The Government has cut personal income taxes for four years in a row, including a reduction in the lowest rate from 16 per cent to 15 per cent, and increases in the amount that can be earned tax-free—the Basic Personal Amount—to $10,320 by 2009.
- GST Cuts—The Government cut the GST from 7 per cent to 5 per cent, helping all Canadians save money on nearly every purchase that they make.
- Tax-Free Savings Account (TFSA)—Canadians can now contribute up to $5,000 a year to a TFSA. Capital gains and other investment income earned in a TFSA will not be taxed.
- Child Tax Credit—For every child under the age of 18, families can claim a tax credit amount of $2,089 in 2009 through the Government's Child Tax Credit.
- Seniors' Tax Savings—The Government increased the Age Credit amount by $1,000 in both 2006 and 2009, introduced pension income splitting and doubled the pension income credit—allowing seniors to save more on their tax bill.
