2008 Federal Budget Contains Good News for Northerners
YELLOWKNIFE (February 27, 2008) – Yesterday's federal Budget offered a number of initiatives that will benefit the North, said Northwest Territories (NWT) Premier and Minister of Finance Floyd Roland.
"The Budget tabled yesterday afternoon is a stay the course budget, given the uncertainties surrounding the Canadian economy, but it does take some steps to address NWT priorities," Premier Roland said.
The federal Budget announced a 10 per cent increase, or $547, in the residency component of the Northern Residents Deduction, starting in 2008. The Deduction was introduced in 1988 to improve the fairness of the tax system and increase incentives for Canadians to live in the North, but has not been increased since then.
The Premier said he is pleased that the federal Minister has agreed to increase this Deduction. "This is an issue I raised personally with my provincial and territorial Finance colleagues, and with Minister Flaherty," he said. "This increase in the Northern Residents Deduction is a good first step. It helps make the tax system fairer for Northerners who have to cope with the higher cost of living and encourages people to live and work here."
The Budget also provides additional funding for the provinces and territories for recruitment of police officers and for investment in public transit infrastructure. The Budget's announcement making the Gas Tax funding to municipalities permanent will help provide a stable source of infrastructure funding for NWT communities. This program provides approximately $7.5 million annually to communities in the NWT.
"The federal Budget provides some good news for Northerners. We appreciate the Government of Canada listening to our concerns and continuing to pay attention to Northern priorities," said Premier Roland.
For more information contact:
Julia Mott
Coordinator, Cabinet Communications
Office of the Premier
Government of the Northwest Territories
(867) 669-2304
(867) 445-5669 cell
Julia_mott@gov.nt.ca