Page 8 - Generations Fund News Today

“Quebec remains the most taxed jurisdiction in North America, despite this tax cut, and there would certainly be other moves that could be done.”

Taxpayers will pay the price for the governments decision to deliver on an election promise at a time when belt-tightening is required.

Quebec is moving ahead with what Finance Minister Eric Girard described as one of the largest tax cuts in the province’s history.

But total spending is only going up 2.1 per cent

The province is also increasing the maximum age for applying for a retirement pension to 72 from 70

The province is also increasing the maximum age for applying for a retirement pension to 72 from 70

Taxpayers will save hundreds but government loses out on revenue

The CAQ government offered an optimistic view of the economy while presenting a budget that includes one of the largest tax cuts in Quebec’s history.

Some economists question the CAQ government's pledges of lower taxes and higher spending, but they may get away with it in the budget because of stronger economic indicators than expected.

The promised cut would save $814 for taxpayers earning more than $100,000 a year, according to the Institut de recherche et dinformations socioéconomiques (IRIS). The savings are $378 for a taxpayer making $55,000. Nearly 35 per cent of Quebecs population will not earn enough income to benefit from the tax break.