Yesterday the Federal Government handed down the much-anticipated 2009 budget. As many suspected, the two-year $64 billion stimulus package is not aimed squarely at one target but spread amongst many groups, regions and projects.
Here are some of the highlights from the government’s plan to ease the pain of these troubled times.
Taxes
A $20-billion cut to personal income taxes, increasing the basic personal amount and top of the two lowest income tax brackets by 7.5 per cent.
Housing
- Home Renovation Tax Credit, offering $1,350 in tax relief for home renovations
- An additional $50-billion to the Insured Mortgage Purchase Program
- First-time home buyers to get up to $750 in tax relief
- $2-billion for social housing for low-income earners, seniors, people with disabilities and native Canadians
Employment
- $8.3-billion skills budget over two years
- Employment Insurance program enhancements
- Training programs for jobless Canadians
- Extend EI by five weeks to 50 weeks
- Improve work sharing provisions
Infrastructure
- Almost $12-billion in new project funding over two years, including $4-billion for shared-cost projects with provinces and municipalities to repair roads other infrastructure
- $500-million fund for recreational facilities like hockey arenas
Consumer credit
New disclosure rules and a minimum grace period on credit cards
Business
- Improved access to capital from $13-billion in additional financing for Canada Mortgage and Housing Corp., Export Development Canada and the Business Development Bank of Canada
New life insurance debt guarantee facility
Investing
- Create a national securities regulator, with provincial participation on a voluntary basis
- Develop a national strategy on financial literacy
Broadband
- $225-million over three years to extend broadband coverage to unserved communities
Autos
- Offering short-term repayable loans to the industry
- Create a $12-billion credit facility to support vehicle and equipment financing
Forestry
- $170-million over two years
Mining
- Mineral exploration tax credit extended by one year
Energy
- $350-million over two years for Atomic Energy Canada Ltd
- New Clean Energy Fund, to generate more than $2.5-billion in investments
- Accelerated write-offs for companies that invest in carbon capture and storage technology
- New $1-billion green infrastructure fund, including transmission lines to connect renewable energy projects
Education
- $2-billion to repair post-secondary institutions
- $50-million for the Institute for Quantum Computing in Waterloo, Ont
- $87.5-million for additional doctoral and masters' scholarships
Aboriginals
- $515-million over two years for schools, water and key community services
- $200-million for skills and training
- $400-million for social housing on reserves
- $325-million to aboriginal organizations and provinces to deliver health programs and child and family services
Health
- $500-million to expand the use of electronic health records
Child care
- Raise the level at which the National Child Benefit supplement and Canada Child Tax benefit are phased out
Farming, food
- $500-million agricultural flexibility program
- $50-million over three years to increase slaughterhouse capacity
Arts
- $200-million over two years for the Canadian Television Fund
- $60-million over two years for community theatres, libraries and museums
- Increased funding for the National Arts Training Contribution program
- $30-million over two years for magazines and community newspapers
Tourism
- $100-million over two years for “marquee festivals” and events to promote tourism - $40-million over two years to the Canadian Tourism Commission
- $24-million to support cruise ship infrastructure along the Saint Lawrence and Saguenay rivers
- $75-million over two years for Parks Canada facilities, and an additional $75-million for national historic sites
(source: Globe and Mail)
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