So, not much came out of the first Ontario PC government’s budget on Thursday, April 11, 2019. But, maybe that’s a good thing – while a reduction in personal tax rates would be welcome, it looks like that won’t happen soon as the budget sets out a five year plan to get to the annual deficit under control. What is in the budget:
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No changes to personal or corporate/business income tax rates (at least they didn’t go up)
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A new “Ontario Job Creation Investment Incentive” – this essentially parallels the federal government’s November announcement to allow a 100% write-off for post-November 20, 2018 acquisitions of M&P and clean energy equipment and an increased first year capital cost allowance deduction on other eligible depreciable property
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A new Ontario Childcare Access and Relief from Expenses (or CARE) tax credit – a tax credit designed to ease the financial burden of childcare. The credit is based upon the same expenses that qualify for the childcare deduction and the amount of the credit depends on the level of family income.
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Elimination of the Estate Administration Tax (commonly referred to as “probate fees”, the old terminology) on the first $50,000 of estate asset value – a savings of $250
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And, of course (this seems to be mentioned in every budget address), a promise to clamp down on tax evaders; working with the federal and other provincial governments to close tax loopholes
So, as I first mentioned, not much in the budget, but as the Beatles said – “it’s getting better, a little better all the time (it couldn’t get much worse)”
