On June 6, 2011, the Canadian federal government tabled a budget containing the same income tax measures as in its budget delivered on March 22, 2011. There have been no substantive changes, and announced measures generally retain the effective dates announced in the original March 22, 2011, budget. Click here for Norton Rose's original summary of these income tax measures.
The June 2011 Budget also contains several notable non-income tax measures:
- the House Standing Committee on Finance will be asked to undertake a study of charitable donation incentives in the first session of this Parliament;
- a provision has been made in the 2011– 2012 fiscal year for $2.2 billion to be paid to the province of Quebec, provided there is a satisfactory agreement between the federal and Quebec governments on sales tax harmonization which, the Government announced in the Throne Speech delivered on June 3, 2011, should be reached by September 15, 2011;
- as had previously been proposed, the Government announced the phase-out of subsidies for political parties; and
- the Government's updated forecast for eliminating the federal deficit projects that the federal government will be in surplus by 2015–16.
We expect that the bill containing the measures set out in the June 2011 Budget will not be introduced in the legislature until the fall.
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