Provincial tax increases due to bracket creep will leave people without children paying more in taxes
WINNIPEG, MB: The Canadian Taxpayers Federation (CTF) released analysis today on tax changes taking effect January 1, 2015. While the federal government’s Family Tax Cut (FTC) along with enhancements to the Universal Child Care Benefit (UCCB) will give many Manitoba families a considerable tax break, Manitobans without children will see a tax increase due to the provincial government’s bracket creep.
As part of its annual New Year’s Tax Changes report, the CTF has calculated tax changes for different income scenarios nation-wide. Some examples from Manitoba include:
A single income family earning $60,000 with two kids will save $1,434 next year.
A single income family earning $80,000 with two kids will save $2,042 next year.
A dual income family earning $80,000 (each making $40,000) with two kids will save $231 next year.
A single income earner making $30,000 will pay $31 more in taxes next year, largely due to provincial tax increases.
A single income earner making $60,000 will pay $54 more in taxes next year, largely due to provincial tax increases.
A single income earner making $80,000 will pay $119 more in taxes next year, largely due to provincial tax increases.
“It’s shameful that the Manitoba government still secretly raises income taxes on Manitobans through something called bracket creep,” said CTF Prairie Director Colin Craig. “Will any of the NDP leadership candidates commit to ending the secret income tax increases or do they share the premier’s zest for stealth taxation?“
CTF calculations for the tax changes that will be occurring on January 1st for 26 different income and family scenarios can be found by clicking here.
A short YouTube clip explaining how “bracket creep” (secret provincial income tax increases) works can be found by clicking here.
Colin Craig, Canadian Taxpayers Federation
