The Canadian Taxpayers Federation released the prebudget submission it sent to the government of Prince Edward Island earlier this morning.
“The best way for the government to support local businesses and the local economy is to ensure Islanders have enough money in their pockets,” said CTF Interim Atlantic Director Renaud Brossard. “It’s also crucial for the government to keep an eye on deficits to avoid saddling young Islanders with an ever increasing debt load.”
The CTF’s recommendations include:
The Canadian Taxpayers Federation is recommending $63 million in personal income tax cuts. This would deliver $682 in annual savings for an individual earning $50,000.
Replacing $50 million in business subsidies with business tax cuts would allow Prince Edward Island to reduce its general business tax rate to 6.8 per cent, making it the lowest in the country.
“Unlike business subsidies, business tax cuts help boost all businesses and not just those that are politically connected,” said Brossard.
Government-owned golf courses have lost $2.5 million over the last five years.
“If the government can’t figure out how to make money with its golf courses, it needs to sell them to someone who will,” said Brossard. “Prince Edward Island taxpayers have already lost more than enough money propping up the government’s unprofitable golf courses..”
The recommendations would reinject $113 million into the economy through tax cuts. That would be made possible with $176 million in budgetary savings. Overall, Prince Edward Island’s deficit would shrink by $63 million.
To consult the CTF’s prebudget submission, click here: http://www.taxpayer.com/media/2021-22%20PE%20Prebudget%20-%20Roadmap%20to%20a%20people-powered%20recovery%20for%20Prince%20Edward%20Island.pdf