Ontario Premier Doug Ford will promise to cut income taxes for Ontarians earning less than $50,000 a year in his 2022 budget on Thursday, sources say.
A source told CP24 that the budget, which will likely be held until after the election, would increase eligibility for the Low-Income Individuals and Families (LIFT) tax credit from $38,000 to $50,000.
The source said the change would mean about 1.1 million people will see an average of $300 more in tax relief in 2022.
LIFT was first introduced in 2018 by the Ford government as a way to counter the cancellation of a $15 minimum wage, a decision that was made once the Progressive Conservatives took office.
At the time, the government claimed LIFT would give low-income and minimum wage employees up to $850 a year in tax relief.
The expanded eligibility aligns with the Ford government’s theme for the 2022 budget—affordability.
The document, which will effectively be used as the PC’s campaign platform, is expected to be chalk-full of promises that would save the average voter, including a refund for license plate renewal fees and six months of relief at the gas pumps.
There will also be a 50-cent minimum wage increase.
In their post-writ election platform launch, the Ontario NDP said they will implement a four-year income tax freeze for low and middle-income households. However, their cut-off for the freeze—an estimated $200,000 a year per person—would impact a larger population.
The party did not say if income tax would increase for those earning more than $200,000 a year.
Finance Minister Peter Bethlenfalvy will table the budget Thursday afternoon.