Report Archive

Blog Archive : January, 2016

Expenditure Monitor 2015-2016 Q2

Total government expenditures for the first half of 2015-16 were $124.7 billion, an increase of 5.5 per cent over the same period last year.

The Fiscal and Distributional Impact of Changes to the Federal Personal Income Tax Regime

PBO estimates that the introduction of the new 33 per cent personal income tax (PIT) rate and the reduction of the
second tax rate to 20.5 per cent will reduce PIT revenues by $0.4 billion in 2015-16 and about $1.7 billion annually
on average from 2016-17 to 2020-21. Reducing the first personal income tax rate from 15.0 to 14.0 per cent would
reduce PIT revenue by $0.9 billion in 2015-16 and about $4.1 billion on average annually from 2016-17 to 2020-21.
Introducing the new tax bracket for taxable income over $200,000 at a rate of 33.0 per cent will primarily affect the
top 1.4 percent of taxpayers. The second bracket change will affect the top 30 percent of taxpayers, while a
reduction in the first bracket would affect the top 60 percent of taxpayers.

Household Indebtedness and Financial Vulnerability

This report reviews the evolution of household indebtedness in Canada and assesses prospects for household financial vulnerability over the medium term.