By Tim Amey

Victoria, B.C. - British Columbia's Liberal government is promising to balance its budget in time for next year's provincial election.  Finance Minister Kevin Falcon has tabled the province's 2012-2013 budget, forecasting a deficit of $968 million dollars for the coming fiscal year. 

Falcon says the budget will keep spending increases to a minimum, allowing the province to predict a surplus of $154 million for 2013-2014.  If that prediction holds, the Liberals will be able to campaign on a promise of balanced books before voters go to the polls in May, 2013. 

However, the Liberals may also be campaigning on a promise to increase corporate income tax.  The budget includes a measure to increase that rate by one percentage point to 11 per cent something Falcon says will only happen if the economy performs worse than expected. 

However not everything is going down.  Health Care Premiums are going up by four percent by January 2013.  That’s about five dollars a month for the average family.  The province hiked health premiums by six per cent a year in 2010, 2011 and 2012. 

The budget also includes a little something for home buyers and seniors.  There will be an income tax credit worth $10,000 for first-time home buyers purchasing newly built homes. The bonus begins phasing out for individuals and families earning a net income of $150,000 and is eliminated completely for individuals earning $200,000 in net income and families earning $250,000 net. 

Seniors will qualify for a tax credit worth up to $1,000 a year to renovate their homes to them to stay living there. It is available to seniors or family members sharing their home. The credit is available regardless of income. - The Canadian Press

To check out the entire BC Budget click here

Comments

Posted by: loveinchilliwack on February 21 2012 7:15 PM

Sounds like some of these things could help the economy. People don't realize how big of a economic driver construction is so getting people to buy new homes is helpful for the spin off effects.