B.C. Budget Comments

[George+]

http://www.theglobeandmail.com/news/bri ... le8786105/

[Logitack]

Effective in January 2014, the province is introducing a temporary two-year, 2.1-per-cent personal income tax hike for those earning more than $150,000 a year.

The general corporate income tax rate will increase one percentage point to 11 per cent from 10, effective April 1, 2013.

Medical Services Plan premiums will increase by about four per cent in January 2014.

cue the liberal sheeple.... with these tax increases businesses will be exiting the province in droves... the rich will now leave the province for more friendly tax haven provinces :dyinglaughing:

oh wait, this budget wasnt delivered by the socialists? WHAT? :dyinglaughing:

[flamingfingers]

BC LIBERALS DELIVER KEYSTONE COP BUDGET

http://www.wireservice.ca/index.php?mod ... y&sid=9794

[Veovis]

cue the liberal sheeple.... with these tax increases businesses will be exiting the province in droves... the rich will now leave the province for more friendly tax haven provinces :dyinglaughing:

oh wait, this budget wasnt delivered by the socialists? WHAT? :dyinglaughing:

Do the NDP gain or lose from the hikes though? It's what they planned to do so no shock the liberals needing increased revenue did it, but who will it actually benefit. Usually tax raises are death to parties but we all knew it was coming anyways so does it hurt the Liberals?

Time will tell I suppose, I didn't really find much to ooh and aww over in this budget, but then there's not much room to work with when the province is already tapped out.

[George+]

The NDP should just support the budget with no debate.
Then there could be an early election so the Liberals
could prove they are serious.
Nice NDP type budget!

[Fisher-Dude]

Dix has promised $9 billion in extra spending over and above the Liberals' budget. I wonder how much he would raise taxes to pay for it all?

[Urbane]

Dix has promised $9 billion in extra spending over and above the Liberals' budget. I wonder how much he would raise taxes to pay for it all?

The NDP has a magic money tree so not to worry.
:dyinglaughing:

[Urbane]

The NDP should just support the budget with no debate.
Then there could be an early election so the Liberals
could prove they are serious.
Nice NDP type budget!

Good the see that you're giving advice to the NDP George. That makes my day!
:dyinglaughing:

[logicalview]

Good the see that you're giving advice to the NDP George. That makes my day!
:dyinglaughing:

Yes truly the blind leading the blind, or in George's case the incredibly stupid leading the brain-injured.

[Glacier]

I give the government credit for actually making tough decisions and trying to reign in spending. Although this approach is miles ahead of the NDP at the moment, I still have some criticisms.

1) Selling assets to balance the budge is short sighted.
2) Medical premiums is an extremely regressive and inefficient tax. 4% is a pretty steep increase. I suppose the increase of personal income tax for the rich is their way of trying to balance this out, but it still hits the middle class pretty hard.
3) I have mixed feelings about giving a one time grant to RESPs. I'm all for helping families, but is this really the time to do this?
4) Increasing the business tax by 10% is a round about way of increasing the PST. I guess that's what you have to do when you get rid of the HST.
5) Eliminating the break for light industry is not ideal, but again that's what you have to do when the HST is gone.
6) Why not increase the gas tax? It's far more efficient and fair than MSP premiums.

[Veovis]

2) Medical premiums is an extremely regressive and inefficient tax. 4% is a pretty steep increase. I suppose the increase of personal income tax for the rich is their way of trying to balance this out, but it still hits the middle class pretty hard.

Since I would bet the bulk of BC gets their premiums fully or partially covered by benefits through work I would say this hits business far more than than the middle class. I know many businesses including the one I work for that will not be getting any revenue increase but will be paying out larger amounts to MSP.

[Glacier]

Since I would bet the bulk of BC gets their premiums fully or partially covered by benefits through work I would say this hits business far more than than the middle class.

I'm not sure about the majority. I have extended benefits at work, but MSP is not covered.

[Veovis]

I would estimate that 50%-60% of BC residents either either pay $0.00 towards MSP or at least have an employer pay a portion of them. Not all employers do, but I think the bulk do. (however I would need to research a lot to be certain, this is just a personal estimate) Pretty sure all BCGEU, HEU, BCTF, union members receive 100% coverage (PPT and FT that is), as well as a lot of other unions I'd have to look up. Health Authority employees, gov employees, many law and accounting firms pay at least 50% if not more of benefit costs.

Never mind the % of the population that pays no premiums or low premiums due to premium assistance reductions due to income levels.

I think there is a far smaller population that will be personally hit at home with these increases. (sorry to hear you are in that sector though)

[George+]

"About 25 to 30 per cent of premiums are paid through companies, as taxable employee benefits. The government says just over 800,000 residents pay no premiums because of their low-income status, and about 200,000 more are subsidized. There are about 4.6 million people registered with the Medical Services Plan."

Read more: http://www.vancouversun.com/health/prem ... z2LUBvG42R

[Veovis]

Thanks for the info George.

That looks like 25% of 4.6 million is 1,150,000. Plus 800,000 with no premiums for low income and 200,000 that are subsidized making it a total of 2,150,000 of 4,600,000 meaning 47% of the population. If it was 30% to total becomes 52%

So I was a tiny bit off in my guesstimate of 50-60% as it is between 47-52% of the province, but not to bad an estimate.

So half the people in BC get hit by the increase personally and businesses fund the other 25-30%. None the less it's more expenses for a company that may receive no more revenue, but they'll had to adapt as most homes don't get any added revenue either.