4-minute read
Written by Kerry Harris, Director of Policy & Engagement
For over a decade, The Chamber has led the calls for the province to undertake meaningful tax reform, in support of economic prosperity. Tuesday’s provincial budget heeded those calls and delivered in a significant way, benefitting all Manitobans.
Albeit much of it is promised for after the election, The Chamber is pleased with the personal income tax relief, adjustments to tax brackets, and the increase in payroll tax thresholds.
“I am pleased to see that the province is moving forward to modernizing its tax system,” Mark Jones, Chair of The Winnipeg Chamber Board of Directors and a member of the province’s Tax Competitiveness Working Group. “More improvements will be needed but this is a positive step forward to making our province more affordable and more competitive with other jurisdictions.”
Other notable measures for business included in the budget:
- Higher threshold for payroll tax to $2.25 million from $2 million.
- Lower tax levy for 2024 if fiscal updates exceed expected revenue performance.
- Expanding eligible labour expenditures for the Interactive Digital Media Tax Credit.
- Made permanent The Mineral Exploration Tax Credit and The Green Energy Equipment Tax Credit.
- Extending the tax refund limit period for provincially administered taxes for refunds arising from a tax audit.
- Increasing School Tax Rebate for residential and farm properties to 50 percent
- Increase in funding for post-secondary education to address labour market shortages
- Increase in funding for Newcomer Community Integration Support Program
The budget announcements had themes of historic changes, safer streets, a healthier healthcare system, and community growth for everyone in Manitoba.
Alignment of tax policy with an economic strategy has been another key pillar in our successive pre-budget submissions and discussions with the provincial government. The Chamber looks forward to seeing how the investments and tax measures in the budget will support a planned sustainable long-term economic strategy for the province.
Our reaction in the media:
