Saskatchewan

Bills for income tax relief, keeping carbon tax off home heating passed in Sask.

Premier Scott Moe's government followed through on two fall election promises Thursday, passing bills on tax relief and the carbon levy.

NDP emergency motions calling for food price investigation, Gary Grewal to testify fail to pass

Snow covers the ground around Saskatchewan's legislature - a stone building with a steeple, that has three flags flying over the front entrance.
The Saskatchewan government passed bills related to tax relief and the carbon levy Thursday. (Nicholas Frew/CBC)

Premier Scott Moe's government followed through on two fall election promises Thursday, passing bills on tax relief and the carbon levy.

One bill, the Saskatchewan Affordability Act, will reduce personal income taxes and save an average family of four more than $3,400 over four years.

The other continues to exempt residents from paying federal carbon levies for home heating, estimated to save about $480 next year for the average family.

"This important legislation will enhance Saskatchewan's status as the most affordable place in Canada to live, work, raise a family and start a business," Finance Minister Jim Reiter told the assembly as the bills passed third and final reading.

"However, our people are not immune to the cost-of-living pressures that are facing all Canadians."

A man in a black suit, white shirt and white tie gestures as he speaks into a microphone.
The carbon tax bill passed Thursday 'will enhance Saskatchewan's status as the most affordable place in Canada to live, work, raise a family and start a business,' Finance Minister Jim Reiter said. (Heywood Yu/The Canadian Press)

The affordability act includes a tax credit for first-time homebuyers, along with a credit for home renovations that would provide savings of up to $420 per year.

It also keeps the small business tax rate at one per cent while doubling benefits for families to put their children in sports and arts.

Speaking to the carbon levy legislation, Crown Investments Minister Jeremy Harrison told the assembly it ensures unelected officials at SaskEnergy, the Crown gas utility, are protected from potential legal action for withholding the levy from Ottawa.

He said the legislation lets the province remain the sole registered distributor of natural gas throughout 2025 and beyond.

Saskatchewan has not remitted carbon levies to the federal government in the past year, arguing it should be exempt after Prime Minister Justin Trudeau announced a carve-out for heating oil.

The federal government has said it has since reached a deal with Saskatchewan over the issue by securing 50 per cent of what was owed until the dispute is resolved.

Opposition NDP Leader Carla Beck said her party supports both bills because they offer some help. But she said Moe's government needs to do more.

She told reporters Moe could suspend the 15-cent-a-litre provincial tax on gasoline and remove the provincial tax on ready-to-eat grocery items like rotisserie chickens and granola bars.

"We are going to continue to fight and bring forth issues Saskatchewan people expect us to deliver on," Beck said.

The Opposition introduced two emergency motions Thursday that failed after government members rejected them.

In its first motion, the NDP urged for an investigation into high food prices in northern Saskatchewan, where 27 cases of scurvy were found within the last six months. Scurvy is caused by severe vitamin C deficiency, with symptoms including fatigue, joint pain and loss of teeth.

Moe told reporters he's working with northern communities to address the issue and that federal policies need changing to reduce food prices. Beck said the province must also step up.

The Opposition's second motion called for former Saskatchewan Party backbencher Gary Grewal to testify after the conflict-of-interest commissioner found he breached rules when his hotels did business with the government.

Sunrise Motel in Regina
The NDP called for former Saskatchewan Party backbencher Gary Grewal to testify about the business his hotels did with the provincial government. That motion was defeated. (Kirk Fraser/CBC)

Last year, the NDP found one of Grewal's hotels raised rates for a social services client after the ministry started paying the bill.

The commissioner had ruled it would be up to legislative assembly to impose a penalty on Grewal, who did not seek re-election.

Moe said Grewal is now a private citizen.

"I don't know the last time, under any government, that a private citizen has been summoned to appear before a committee or the legislature," he said.

Also Thursday, the province introduced legislation it says would give police more powers to seize street weapons, including knives, swords, machetes, body armour, explosive devices and bear spray.