P.E.I. budget: 5 key things to look for
Finance Minister Allen Roach presented the P.E.I. budget for 2016-17 Tuesday. Here is a quick summary.
Spending is up
The Education Department and Health PEI are both seeing a three per cent increase in their budgets. UPEI, Holland College and College Acadie are all getting one per cent increases to their operating grants.
The exception is Agriculture and Fisheries, where spending is down five per cent.
HST is going up
HST will go from 14 per cent to 15 per cent on Oct. 1, raising an estimated $11 million for the province this year and $22 million in subsequent years.
Income tax is going down
The basic personal exemption is going up from $7,708 to $8,000, effectively lowering income tax for everyone. The government is also increasing Low-Income Tax Reduction Amounts and Refundable Sales Tax Credits.
We have a deficit again
The government said last June there would be a surplus this year, but has delivered a $9.6M deficit.
Buying your first home got cheaper
The one per cent Real Property Transfer Tax has been dropped for first-time home buyers.