1. No category

Budget 2015 News Conference
March 26, 2015
Three levers – a balanced approach
• Spending restraint
• Enhancing revenue
• Using savings in the Contingency Account
Economic Outlook – Oil and nat. gas
(WTI, US$/bbl)
120
Oil Price (left)
Natural Gas Price (right)
(ARP, $/GJ)
9
8
100
7
80
6
5
60
4
40
3
2
20
1
0
0
Economic Outlook – GDP 0.4%
(% change in real GDP)
6
5
4
3
2
1
0
Economic Outlook – falling loonie
(US cents/CDN$)
105
100
95
90
85
80
75
Five-year plan – return to surplus
3
2
$ Billion
1
0
-1
-2
-3
-4
-5
-6
2015-16
16-17
17-18
18-19
19-20
Spending – above national average
Spending – holding the line
50
49.5
$ Billion
49
48.5
48
47.5
47
46.5
46
2014-15
15-16
16-17
17-18
Capital Plan
Capital Plan
• $29.5B over five years
$ Millions
Capital Plan
•
•
•
•
$7.9B funding for municipalities
$6.7B for roads, bridges, ring roads, Hwy. 63
$5B schools
$926M Edmonton and Calgary health care
planning and capacity expansion
• $779M in flood recovery and mitigation
Health Care Contribution Levy
Taxable Income
Health Care Contribution Levy Payable
From
To
$0
$50,000
No Health Care Contribution Levy
$50,000
$70,000
(Taxable Income - $50,000) x 5%
to a maximum of $200
$70,000
$90,000
$200 + (Taxable Income - $70,000) x 5%
to a maximum of $400
$90,000
$110,000
$400 + (Taxable Income - $90,000) x 15%
to a maximum of $600
$110,000
$130,000
$600 + (Taxable Income - $110,000) x 15%
to a maximum of $800
$130,000
and up
$800 + (Taxable Income - $130,000) x 25%
to a maximum of $1,000
Health Care Contribution Levy
Two Income Family with Two Children
1,200
2,500
1,000
2,000
Health Levy/Premium ($)
Health Levy/Premium ($)
Individual/Single Income Family
800
600
400
200
0
Income ($)
AB Health Care Contribution Levy (New)
1,500
1,000
500
0
Income ($)
AB Health Premium (Old)
BC
ON
Revenue – tax and fee increases
•
•
•
•
•
•
•
Insurance Premiums Tax
Fuel tax
Tobacco tax
Liquor mark-ups
Traffic fines
Land titles transactions
Motor vehicle registrations
Personal income tax – new structure
Taxable Income
2015
2016
2017
2018
2019
and Later
From
To
$0
$100,000
10.0%
10.0%
10.0%
10.0%
10.0%
$100,000
$250,000
10.0%
10.5%
11.0%
11.5%
11.5%
$250,000
and up
10.0%
11.0%
11.5%
12.0%
11.5%
Alberta Tax Advantage, 2015
• Albertans would pay at least $10.9 billion
with the same tax system as other provinces
BC
Sales Tax
Personal Income Tax
Fuel Tax
Health Levy/Premium
Other Taxes
SK
NL
ON
NB
MB
QC
PE
NS
$Billions
0
4
8
12
16
20
24
Protecting vulnerable Albertans
• Alberta Family Employment Tax Credit
• Alberta Working Family Supplement
• $110M in NEW tax relief targeted at working
families
• More than 85,000 families will benefit
Savings – Contingency Account
$6.5B by the end of 2014-15
$2.5B by the end of 2015-16
$1B by the end of 2016-17
$5B by 2019-20
7
6
$ Billions
•
•
•
•
5
4
3
2
1
0
2014-15
2015-16
2016-17
2017-18
2018-19
2019-20
Savings – Heritage Fund
• Heritage Fund forecast to
increase
• $18B forecast to be
added over six years
• $34B by 2024-25
40
35
$ Billions
30
25
20
15
10
5
0
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