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Lower incomes exempt from health-care levy
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However, the government is taking measures to reduce the effects on lower income earners. Unlike the old health premiums that were killed in 2008, the new health-care contribution levy will be assessed according to income.. F" J. k1 M# _9 Y# t7 X7 l
" ?; j- o" N8 E: g6 KPeople who make under $50,000 a year in taxable income will be exempt.7 N1 ~5 n) v/ g5 z# \+ |
( l$ U0 D: B! s% G) QFor example, someone earning between $50,000 to $70,000 will pay a maximum of $200 a year. The amount will be capped at $1,000 a year for those earning over $130,000 a year. The payments will be deducted from people’s paycheques and will not be paid by employers.6 ]" K( z* ]* N% I
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By 2016-17, the first year the levy will be in place for the entire year, government will take in $530 million.
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" V: w, r z* e0 z# ], C- hThe government is also introducing the new Alberta working family supplement, which will assist families that earn between $2,760 and $41,220 a year. A working family with one child will be eligible for a maximum credit of $1,100. The supplement will be paid in addition to the Alberta family employment tax credit, which has increased. |
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