What this Budget Means for Ontario?
Managing Canada’s $1.5 trillion economy means making choices and striking the right balance. In Budget 2007, we have achieved this by balancing the budget, cutting taxes for working families, investing in priorities like health care, the environment, infrastructure, and restoring fiscal balance by giving provinces the resources they need to deliver the front-line services that matter to Canadians.
For the Province of Ontario
Restoring fiscal balance brings federal support for Ontario to $12.8 billion in 07-08, including:
- $8.1 billion under the Canada Health Transfer;
- $3.8 billion for Canada Social Transfer includes additional funding for post secondary education and childcare; and
- $664 million for Infrastructure.
- $205.4 million is available to the Ontario government through the Patient Wait Times Guarantee Trust over the next three fiscal years.
- $117.2 million is available to the Ontario government to implement a human papilloma virus (HPV) immunization program to combat cervical cancer over the next three fiscal years.
- $574 million will be paid to the Ontario government for outstanding commitments under the Canada-Ontario Agreement in 2006-07.
- $298.5 million in gas tax funding for municipalities in Ontario in 07-08.
- $400 million for an access road to the new Windsor-Detroit border crossing.
- $963 million to fund transit projects in the Greater Toronto Area.
- $38 million in corporate income tax relief from changes in capital cost allowances for buildings.
- $383 million in additional corporate income tax relief from the temporary two-year write-off for manufacturing equipment over next two years.
- Approximately $35.2 million in tax savings for farmers, fishers and small business owners throughincreased Lifetime Capital Gains Tax Exemption to $750,000.
- Ontario will receive $586 million from the Canada ecoTrust for Clean Air and Climate Change.
- New $2,000 Child Tax Credit will save Ontario parents $597.5 million.
- Increase in basic spousal amount will provide an estimated $109.6 million in tax relief to a supporting spouse or single taxpayer supporting a child or relative.
- The Working Income Tax Benefit will benefit workers of Ontario with $221 million in tax relief.
- Ontario farmers will receive approximately $240 million under new initiatives in Budget 2007.
- Increasing the RRSP and Registered Pension Plan maturation age will save Ontario taxpayers $56 million.
- $27.5 million as part of the National Water Strategy to clean-up the Great Lakes and Lake Simcoe.
- $50 million to the Perimeter Institute in Waterloo
- $15 million for the Li Ka Shing Institute based at St. Michael’s Hospital.
- $15 million for the Heart and Stroke Foundation Centre for Stroke Recovery based at U of T and University of Ottawa.
- $6 million to help move the CANMET Material Technology Laboratory to Hamilton.