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business tax cut: Rate will decrease by 0.5% effective January 1, 2018
(as per Bill 33)
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
- Provincial Education
Amount preserved for 2017 and subsequent taxation years
- HST will increase from 14% to 15% effective
October 1, 2016 - see 2016 Sales
- 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)
Tax Reduction amounts have been increased.
dividend tax credit was left at 21% of gross-up.
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
- low income tax reduction threshold increased from
$15,000 to $17,000, levels of basic credits to be adjusted (no detail yet
- 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
- 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
Budget April 6, 2011 - on PE government website (no tax changes)
BudgetApril 23, 2010 - on PE government website (no tax changes)
Budget April 6, 2009 - on PE government website (no tax changes)