The Minister of Finance Joe Oliver presented his first Federal Budget in the House of Commons yesterday (April 21). This is the Conservative Government's final budget before an election later this year. Many incentives in the budget actually do not come into effect until 2016 and later which means, for them to be implemented, the Conservatives will need to be re-elected.
Traditionally, seniors have the highest voter turnout rates of any demographic and there are a number of proposals in the budget directed to them. Changes to the minimum RRIF withdrawal amount, the new Home Accessibility Tax Credit, expansion of the compassionate care benefits and the increase in TSFA limits are all announcements directed their way.
Small businesses were not left out as the government announced a reduction in the small business tax rate, a reduction in EI premiums and accelerated CCA claims for manufacturers.
While there were a number of new benefits in the budget, there were no new taxes. The budget was balanced by tapping into the $3 billion contingency fund that is normally maintained for unforeseen events, such as natural disasters. With a much smaller contingency, the Conservatives will have less wiggle room if the economy does not grow as expected in the coming year.
Our podcast provides details on a number of the budget announcements including:
- Reduction of the small business tax rate
- Reduction of EI premiums
- Reduction of minimum RRIF withdrawals
- Increase in TSFA contribution room
- Changes to the T1135 reporting
- Non-resident employer withholding exception
Click here to listen to our 2015 Canadian Federal Budget Podcast
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