With just six months remaining before the next Federal election, the Conservatives released the new 2015 budget today. Finance Minister Joe Oliver explained there is an expected $2 billion deficit budgeted for 2014-15, and forecasted a surplus of $1.4 billing for 2016, increasing to $4.8 billion in 2020.
Of note:
- Increase in the tax-free savings accounts (TFSA) limits to $10,000 from $5,500 starting in 2015
- Reduction in tax rate on the first $500,000 of qualifying active business income for small businesses over four years from 11% to 9%
- Reduction in the minimum withdrawal rules for seniors with registered retirement income funds (RRIFs)
- Employment Insurance Compassionate Care Benefit changes will impact those caring for family members
- Family Tax Cuts (income-splitting) and an increase in the Universal Child Care Benefit
- A new fund to help pay for public transit systems, starting in 2017-18
For further insights into the 2015 Federal Budget.
- KPMG LLP
- BDO Canada LLP
- Crowe MacKay LLP
- Smythe Ratcliffe LLP