As we explained some time ago, the benefits of these tax cuts were heavily concentrated on the rich, but Littlejohn tries to spin it like all the money went to senior citizens and the poor. You can read it all in Hansard, but the tax relief he describes (using his numbers) is:"BE IT RESOLVED that this hon. House commends the government for returning half a billion dollars a year to Newfoundlanders and Labradorians by reducing personal income taxes and supports the government in its decision not to increase personal income tax rates to address the Province's fiscal challenge. "
- $30 million increase for Low Income Seniors Benefit,
- $7 million for Seniors tax credit (my calculation based his information),
- $42 million home heating rebate,
- $17 million on a low-income tax deduction (rough calculation based on his numbers).
"In 2013, a single individual with taxable income of $50,000 will save over $1,600, or 30 per cent, compared to the amount of taxes they would have paid in 2006 ... So, what we are doing, Mr. Speaker, the tax reductions are benefiting the lower income earners. It is not benefiting the rich – again, whoever the rich may be."
Wow I guess he's right. All the money must go to low income earners, because rich people don't exist. Next thing those craaazy lefties will have us taxing leprecauns and unicorns.
But hang on, don't provincial cabinet ministers make something like $150,000 a year? Someone earning that much will save about $7,000 a year from the tax cuts. Sounds like a better deal than $1,600 to me, but what do I know? I'm not a finance minister.