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Lower incomes exempt from health-care levy, w5 C/ V4 N- x& O
! ~) b' M! j3 ~7 pHowever, 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." ^3 T- G7 \2 \; s6 j* Q3 y- _
% c7 u; i6 a- B' TPeople who make under $50,000 a year in taxable income will be exempt.) Z8 t+ L: O. I3 H, T6 d% z7 l
2 i2 j, d5 j' T8 J% _; d, D5 gFor 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.% W a& }+ ?* x- `& M% l
# A c* |/ p/ C" Z7 ~; M: RBy 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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The 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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