What the 2020 budget means for you: Five things to know
Credit to Author: Rob Shaw| Date: Wed, 19 Feb 2020 02:05:52 +0000
B.C.’s new provincial budget was unveiled Tuesday. Here are five things to know about the spending plan:
High-income earners are getting a tax hike. The government will increase the income tax rate from 16.8 per cent on taxable income above $150,000 annually to 20.5 per cent on income above $220,000. The move is expected to generate $713 million over three years.
The price of sugary drinks will rise. Government is eliminating a provincial sales tax exemption on sugary drinks such as pop. That will add seven per cent to the cost of such drinks, generating almost $30 million annually for government.
B.C.’s post-secondary grant program is being overhauled to include students taking diploma or certificate courses, who were previously ineligible. Some students could get up to $4,000 a year in a new B.C. Access Grant, starting in September. It will cost $24 million.
Electric vehicle rebates are getting another injection of funding to continue. The existing point-of-sale rebate program on certain vehicles of up to $3,000 will continue, under $28 million in new funding this year.
B.C.’s surplus is expected to be $227 million this year, on a $60-billion spending plan. Spending is outpacing revenue — government has budgeted an increase in expenses of 3.1 per cent over last year, while revenue is only budgeted to grow 2.6 per cent.
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