
We provide a detailed analysis of the distributive effects of these measures in the accompanying paper on the tax and transfer changes in the 2009 Budget [Battle 2009]. [...] Because the 2009 Budget raised the bottom and second tax brackets above their normal indexation adjustment, then it also had to increase the income threshold for the base Child Tax Benefit to the same level as the first tax bracket and had to lift the income threshold for the National Child Benefit Supplement in the same proportion. [...] Figure 3 shows the impact of the changes to the Canada Child Tax Benefit - the base Child Tax Benefit and the National Child Benefit Supplement - for families with one child. [...] The well-off claim the basic personal amount just like everyone else, and also will see tax savings on the amount of their taxable income in the first and second tax brackets - again, just the same as taxpayers in the other income groups. [...] This is the major shortcoming of the Budget in respect of offsetting some of the most serious consequences of the recession for ordinary Canadians.
Page Count:
36
Publication Date:
2009-01-01
ISBN-10:
1553823400
ISBN-13:
9781553823407
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