Finance Minister Mike de Jong presents the current budget in February 2014. He has promised another surplus forecast for the next one.

Relief coming for rich, poor in B.C. budget

Tax hike for incomes over $150,000 ends, Finance Minister Mike de Jong looks at ending child support payment clawback

B.C. will likely be the only province in Canada to report a balanced budget for the current year and project surpluses for the next three years, Finance Minister Mike de Jong says.

In a briefing for reporters on what to expect when the annual budget is presented Feb. 17, de Jong said the surplus for the current year will be larger than the $444 million forecast in November. Corporate and personal income tax has been stronger than expected, but there is no certainty that will continue into the new fiscal year that begins April 1.

The second straight surplus after billions in deficits the previous four years will be used to pay down debt, but there is some room for helping poorer people, de Jong said. He hinted that this may include a change to the long-standing practice of deducting spousal child support payments from social assistance and disability payments to single parents.

“There are some areas where we believe there have been pressures on the programming side,” de Jong said. “We have a little more ability to deal with them and relieve some of that pressure, to assist people in greatest need.”

NDP house leader Mike Farnworth said he is hopeful the child support clawback policy will be changed after more than a year of protest by the opposition. And he said the government isn’t telling the whole story about balancing the budget using “tax increases by another name.

“You’re going to see higher Medical Services Plan premiums, higher ICBC rates, we’re already seeing higher fees for camping,” Farnworth said.

The next budget will also provide tax relief for the wealthiest B.C. residents, as a two-year increase on incomes more than $150,000 a year comes to an end. De Jong imposed the 2.1 per cent hike in his pre-election budget in 2013, after then-NDP leader Adrian Dix promised a similar move to help balance the books.

The recent plunge in oil prices has had a major impact on revenues to Alberta, Saskatchewan and Newfoundland, but B.C. has largely escaped that due to continued gas production but little oil from B.C. petroleum fields.

De Jong emphasized that with the continued glut of shale gas produced across North America, it remains an urgent priority to develop liquefied natural gas exports to Asia before B.C. revenues fall further for lack of sales.

 

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Local authors nominated for Victoria Book Prize awards

Finalists for 2020 announced in two categories

Patrick brothers who shaped modern hockey also tried, but failed, to remove violence

New history thesis shows efforts to sell a “clean game” in Oak Bay

Central Saanich to formally inform Agricultural Land Commission about soccer pitch proposal

Move is meant for information only with no application having come forward yet

Victoria man to run marathon after overcoming rare cancer diagnosis

Nigel Deacon was diagnosed with ocular melanoma in 2010

Burger sales bring in $5,000 to build Imagination Libraries in Greater Victoria

United Way of Greater Victoria and Big Wheel Burger team up to get kids reading

B.C. or Ontario? Residential school survivors fight move of court battle

It’s now up to Ontario’s Court of Appeal to sort out the venue question

Young B.C. cancer survivor rides 105-km with Terry Fox’s brother

Jacob Bredenhof and Darrell Fox’s cycling trek raises almost $90,000 for cancer research

B.C. migrant, undocumented workers rally for permanent residency program

Rally is part of the Amnesty for Undocumented Workers Campaign led by the Migrant Workers Centre

Preparations underway for pandemic election in Saskatchewan and maybe B.C.

Administrators in B.C. and around the country are also looking to expand voting by mail during the pandemic

Nearly 20 per cent of COVID-19 infections among health-care workers by late July

WHO acknowledged the possibility that COVID-19 might be spread in the air under certain conditions

Ferry riders say lower fares are what’s most needed to improve service

Provincial government announces findings of public engagement process

Supreme Court Justice Ruth Bader Ginsburg dies at 87

The court’s second female justice, died Friday at her home in Washington

Comox Valley protesters send message over old-growth logging

Event in downtown Courtenay was part of wider event on Friday

Application deadline for fish harvester benefits program extended

Those financially impacted by the pandemic have until Oct. 5 to apply

Most Read