2017 BC Budget Highlights

Yesterday, the Province of British Columbia released the 2017 BC Budget; which is their 5th consecutive balanced budget. See how the new budget may benefit you, and your corporation, below.

Impacts to individuals:

  • MSP premiums will be reducing by 50% as of 2018 for households with annual net income of up to $120,000 – an estimated savings of about $900 per year for a typical family of four
  • New volunteer firefighter and search & rescue volunteer tax credits of up to $3,000 for 2017 and on
  • New back-to-school tax credit of $250 per child (ages 4-16) for 2016 to 2018
  • PST is going to be phased out on electricity - will be reduced from 7% down to 3.5% effective Oct 31, 2017 and exempt as of April 1, 2018
  • The property transfer tax exemption for first-time home buyers will go up to $500,000 as of today, February 22, 2017 (partial exemption up to $525,000)

Impacts to corporations:

  • The BC small business tax rate will reduce from 2.5% to 2%, effective April 1, 2017
  • Enhancements to the Interactive Digital Media credit for corporations with qualifying labor costs
  • The provincial mining exploration tax credit is expanded to include costs of environmental studies and community consultations
  • Extensions of various tax credits including SR&ED, mining flow-through share, training tax credits (to end of 2020) and book publishing tax credit (March 31, 2019)

Any questions? If so, feel free to contact us to discuss at (250) 754-6396 or email mail@churchpickard.com.

Link to news release: http://bcbudget.gov.bc.ca/2017/newsrelease/2017_NewsRelease.pdf

 

Natasha Fedje