VICTORIA: The BC division of the Canadian Taxpayers Federation (CTF) today called for an increase in the provincial basic exemption to $11,000 from $8,000, as one way to deliver permanent tax relief and to help consumers cope with soaring home heating costs.

"An increase in the basic provincial exemption to $11,000 would save every taxpayer $252," noted Mark Milke, BC director for the Federation. "While that would help out everyone next year and provide permanent tax relief, the provincial government should also consider a one-time rebate to at least low-income British Columbians for this fiscal year as well."

The Federation noted that natural gas tax royalty revenues will be $433 million higher in the current (2000) fiscal year than originally forecast. (And total revenues in the current fiscal year are forecast to be $1.6 billion higher than originally forecast in the 2000 budget. ) The recommended increase in the basic exemption would be worth $450 million in the 2001 budget year.

As an estimate, a one-time tax fuel rebate for British Columbians with less than a $10,000 annual income would be worth approximately $148 million in the current fiscal year.

Milke called on Premier Ujjal Dosanjh to guarantee tax relief to British Columbians before leaving for vacation on Saturday. "Mr. Dosanjh should promise that the province will soon provide relief to British Columbians. Burgeoning natural gas revenues and the Christmas season provide a wonderful opportunity to make that promise."