The Ontario government delivered a budget Thursday that emphasized breaks for seniors and a renewed commitment to public education.
In the budget the government proposed:
- a $450 million tax credit for seniors;
- the restoration of corporate tax cuts that were postponed last year, including the completion of the 20% reduction by Jan. 1, 2004;
- eliminating the surtax for people earning less than $75,000 per year by Jan. 1, 2005; and
- reducing capital tax rates by 10% on Jan. 1, 2004, with an intention to eliminate the capital tax by the time the federal government eliminates its capital tax.
The tax break for seniors who own or rent their homes is a small one, providing the typical senior with $475 in tax relief.
The relief reimburses seniors for the share of their property taxes that go to support education.