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Spousal and eligible dependant amounts increasing to $12,103, with
threshold increasing to $1,210
Age amount increasing to $6,510 with threshold of $36,600
Low Income Tax Threshold increasing to $22,250
Tax brackets
2024
Proposed 2025
Taxable Income
Rate
Taxable Income
Rate
$0 to $32,656
9.65%
$0 to $33,328
9.50%
32,656 to 64,313
13.63%
33,328 to 64,656
13.47%
64,313 to 105,000
16.65%
64,656 to 105,000
16.60%
105,000 to 140,000
18.00%
105,000 to 140,000
17.62%
over $140,000
18.75%
over $140,000
19.00%
Introducing a new monthly Children's Benefit starting January 2025
Provide tax rebates for newly constructed multi-unit residential
buildings, including rebates of HST and property tax rebates through the Residential Unit Development Incentive program that provides financial support to encourage the development of new rental units.
Basic Personal Amount (BPA) increases by $750 to $12,000 for 2023
Spouse/eligible dependant amount increases to
$10,192 from $9,555 for 2023
new tax on vaping products
increased tobacco taxes
carbon tax increase (as per plan) April 1, 2022
Bill 64 increases the refundable
sales tax credit for an individual from $110 to $670 as a rebate of
carbon tax, for July 2022.
Bill 85 increases the refundable sales tax credit again, for the month of
January 2023.
Bill 63 expands the volunteer firefighter tax credit to include volunteer search
and rescue personnel, and increases the amount to $1,000 from $500, for 2022 and
later years
Small
Business Tax rate reduced to 1% - see resulting reduction of the non-eligible dividend tax
credit below.
Not announced in the budget, but included in Bill 37:
Spouse/equivalent to spouse (eligible dependant) amount increased to
$9,555, reduced by spousal income in excess of $955.
Non-eligible
dividend tax credit reduced from 15% of the gross-up to 10%,
resulting in a tax credit of 1.3% of the taxable dividend, decreased
from 1.96%.
- Increase basic
personal amount from $9,160 to $10,000 for 2020, with proportionate changes
to the spouse/equivalent to spouse amounts, which will increase to $8,493.
- Small
business tax cut: Rate will decrease by 0.5% effective January 1, 2018
(as per Bill 33)
- the
non-eligible dividend tax credit rate was reviewed, and will not change, as
per the PEI Department of Finance
- New Small Business Investment Grant for 15% rebate on
business investments up to $25,000.
- Basic Personal Amount will increase by $500 for 2018, to
$8,660, and a further $500 for 2019. The spouse and equivalent-to-spouse
(eligible dependant) amounts will increase proportionately.
- Provincial portion of HST on first block of residential
electricity will be rebated directly on electricity bills each month.
- Provincial portion of HST will also be rebated on firewood,
pellets and propane through a point of sale credit or rebate.
- Basic Personal Amount increased by 2% for
2017 to $8,160
- Spouse and Equivalent to Spouse increased by 2% for 2017 to
$6,931
- Provincial Education
Amount preserved for 2017 and subsequent taxation years
- HST will increase from 14% to 15% effective
October 1, 2016 - see 2016 Sales
Tax Rates.
- Real Property Transfer Tax rate payable by first-time home buyers
will be eliminated (is currently 1%) effective October 1, 2016
- Non-Refundable Tax
Credit amount increases for 2016:
- Basic personal amount
increased from $7,708 to $8,000
- Spousal amount
increased from $6,546 to $6,795
- Eligible dependant
amount increased from $6,294 to $6,795 (now same as spousal amount)
- Low-Income
Tax Reduction amounts have been increased.
- Non-eligible
dividend tax credit was left at 21% of gross-up.
- Refundable
Sales Tax Credit amounts increases for the 2016/17 year:
- Base increased from
$100 to $110
- Spouse or equivalent to
spouse increased from $50 to $55
- Supplement increased
from $50 to $55
- after May 4, 2015 election in which the Liberals were re-elected
- low income tax reduction threshold increased from
$15,000 to $17,000, levels of basic credits to be adjusted (no detail yet
provided)
- tax on tobacco to increase by 2.5 cents per cigarette and other tobacco
by 4.0 cents per gram
Several changes are being implemented in conjunction with the
implementation of the HST effective April 1, 2013:
- Small business tax rate increases to 4.5% from 1% on
April 1, 2013.
- Dividend tax credit for non-eligible dividends will
be adjusted, as per Bill 47, from 5% of gross-up to 14.5% of
gross-up.
- Provincial tax on gasoline will be reduced by 2.7
cents to 13.1 cents per litre.
- Taxes on tobacco will be adjusted
- A provincial refundable tax credit will be introduced for low and
modest-income Islanders, beginning in July 2013.
- HST to be introduced effective April 1, 2013 with a total rate of 14%,
compared to the current combined sales tax rate of 15.5%. The 9%
provincial portion of the HST will not be applied to home eating oil, or
children's clothing or footwear. An enhanced refundable tax credit will be
created for Islanders with low to moderate incomes. See PEI
Harmonized Sales Tax (HST) on the PE website.
- new $500 refundable income tax credit for volunteer firefighters with at
least 200 hours of volunteer service per year
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